Member Article

Gumtree is utilising AI-powered linguistic algorithms to drive customer engagement

UK classified platform Gumtree has begun working with London-based AI startup Phrasee to support its customer engagement efforts and get more people reading its targeted emails.

The business, which is the UK’s biggest classifieds service, has partnered with the AI software provider as part of a wider expansion of its customer relationship engagement programme steered by Head of CRM Matt Button, who joined the firm last summer.

As part of its investment, Gumtree has entered into an agreement to expand its use of the Salesforce cloud suite across its B2B sales, marketing and customer service teams, which it claims will allow it to more effectively engage with customers and target marketing to users across multiple channels.

The partnership with London startup Phrasee is perhaps the most eye-catching part of the announcement, something of an irony considering that is the primary reason behind Gumtree’s adoption of the technology in the first place.

According to the tech firm, which was founded back in 2015, its AI technology uses linguistic algorithms linked directly to the Salesforce platform to create effective and ‘impactful’ subject lines which impel users to click and read a company’s email marketing content in an age where people’s inboxes are more jam-packed than ever before.

While a rather prosaic use of the nascent technology, the application here highlights the potential of AI to transform even the most obscure sectors and aspects of modern life, with Phrasee claiming its tech to be more effective than humans at creating effective copy.

Parry Malm, Phrasee Chief Executive Officer said: “Phrasee’s A.I. software is helping Gumtree’s email marketing stand out even further in often overcrowded inboxes.

“Our product algorithmically generates email subject lines that are proven to generate more click throughs than subject lines written by humans. Gumtree believe in the power of modern A.I. to solve real business problems - and are already reaping the results from Phrasee’s tech.”

Gumtree’s Head of CRM, Matt Button, said that the firm was looking at new ways, including AI, to engage and keep up with its customers during a period of ‘significant’ growth.

He added: “Choosing Salesforce was a natural choice to help us organise our data to gain better insights into our customers’ behaviour. From these insights we can develop campaigns that are truly engaging and personal.

“Using emerging technologies such as A.I. with Phrasee, integrated with Marketing Cloud Einstein’s full capability, will bring our CRM capability right up to speed, and a step closer to our goal of becoming the UK’s number one digital brand.”