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AI, What Have You DoneFor Me Today?
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Marketing

In our series: AI, What Have You Done for Me Today? we delve into how AI tools track and analyze how people interact with your brand at every point of the customer journey.

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​While many are familiar with Artificial Intelligence (AI) through chatbots and virtual assistants, the impact of AI extends far beyond these applications. In fact, AI has become an intrinsic part of our daily lives, often in ways not immediately visible to the public. Today, in industries as diverse as agriculture, transportation, energy, and healthcare, AI is often behind the scenes, quietly revolutionizing business processes, and enhancing efficiencies and accuracy.​Detailed image showing a marketing team disucssing targeting customers and A-B testing for conversion​ ​​​

AI & Marketing

Few industries are being reshaped by AI as quickly or as visibly as marketing. From A/B testing to zero-click search, AI is changing how brands reach, engage, and convert their audiences. Work that once demanded large teams, long lead times, and repeated iteration now happens in real time and at scale. AI systems generate tailored advertisements in seconds, design campaigns and personalized journeys, and predict when a prospect is ready to buy.

Imagine for instance that you’ve just launched your dream product—sustainably made tote bags with hand-drawn designs. You’ve built a beautiful website, posted on social media, and even ran a few ads. Traffic trickles in, but sales? They’re sporadic at best. You’re left wondering: Why are some people clicking but not buying? What can I do differently? ​

Enter AI-powered customer journey mapping. Behind the scenes, advanced AI tools track and analyze how people interact with your brand at every step—from the moment they first see your ad, to what page they land on, how long they linger, and where they drop off. Instead of guessing, you’re armed with actionable insights: maybe most people are leaving when they hit the shipping calculator, or perhaps returning visitors are more likely to buy when shown a discount. AI connects these dots quickly so you can adjust design, pricing, and the checkout experience in real time.

Here are just a few examples of how AI is helping expand the modern marketing toolbox:​​
  • Personalized Email Campaigns at Scale: AI analyzes engagement timing, product interests, and browsing to tailor both message and send time, lifting opens and conversions with minimal manual work.
  • Faster Content Creation: What once required hours of brainstorming and drafting can now be generated in moments. AI helps marketers quickly create compelling ad headlines, product descriptions, or brochure text, often providing multiple draft options to choose from, sparking ideas and saving time. (AI even helped develop this flyer!).
  • ​ Simplified Visual Design: Without needing design software expertise, marketers can input a few creative prompts and get polished visual layouts, social media images, or ad mockups instantly. This helps small teams maintain high-quality, on-brand visuals effortlessly.​

Sample Holdings:

​ Meta Platforms has woven AI deeply into the fabric of modern marketing, powering tools that automate and optimize ad performance across Facebook, Instagram, and Messenger. Its platform employs AI tools that tailor ads by dynamically adjusting targeting, creative assets, and bidding strategies based on performance. Recent additions include AI-generated video snippets and dynamic ad variations. Together, these capabilities streamline content delivery and help advertisers improve personalization, engagement, and return on ad spend with less manual effort.
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​AppLovin’s AXON is an AI-powered recommendation engine that drives its performance-based advertising solutions. It’s the core of AppDiscovery, matching advertiser demand with publisher supply through real-time auctions. AXON 2.0, the latest iteration, uses predictive machine learning to target app install ads to users most likely to engage. This AI engine has been instrumental in AppLovin’s growth, particularly in the mobile gaming sector, and is expanding into e-commerce.

Pinterest is advancing idea discovery through AI-powered visual search and advertising. Features such as auto-generated collages and AI background generation expand creative options, while trend prediction and visual discovery tools help marketers reach people through visual intent—not just keywords. Brands can turn product catalogs into engaging, shoppable media that surfaces when users are planning, comparing, or ready to buy. ​
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The views expressed are the views of Fred Alger Management, LLC (FAM) and its affiliates as of August 2025. These views are subject to change at any time and may not represent the views of all portfolio management teams. These views should not be interpreted as a guarantee of the future performance of the markets, any security or any funds managed by FAM. These views are not meant to provide investment advice and should not be considered a recommendation to purchase or sell securities.
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​​​Risk Disclosures:
Investing in the stock market involves risks, including the potential loss of principal. Growth stocks may be more volatile than other stocks as their prices tend to be higher in relation to their companies’ earnings and may be more sensitive to market, political, and economic developments. Past performance is not indicative of future performance. Investors whose reference currency differs from that in which the underlying assets are invested may be subject to exchange rate movements that alter the value of their investments. Companies involved in, or exposed to, AI-related businesses may have limited product lines, markets, financial resources, or personnel as they face intense competition and potentially rapid product obsolescence. These companies may be substantially exposed to the market and business risks of other industries or sectors and may be adversely affected by negative developments impacting those companies, industries, or sectors, as well as by loss or impairment of intellectual property rights or misappropriation of their technology. Companies that utilize AI could face reputational harm, competitive harm, and legal liability, and/or an adverse effect on business operations as content, analyses, or recommendations that AI applications produce may be deficient, inaccurate, biased, misleading or incomplete, may lead to errors, and may be used in negligent or criminal ways. Companies exploring new technologies may face regulatory, political or legal challenges that may adversely impact their competitive positioning and financial prospects.

Investing in innovation is not without risk and there is no guarantee that investments in research and development will result in a company gaining market share or achieving enhanced revenue. Also, developing technologies to displace older technologies or create new markets may not in fact do so, and there may be sector specific risks as well. As is the case with any industry, there will be winners and losers that emerge, and investors therefore need to conduct a significant amount of due diligence on individual companies to assess these risks and opportunities.

Important Information for US ​Investors: This material must be accompanied by the most recent fund fact sheet(s) if used in connection with the sale of mutual fund and ETF shares. Fred Alger & Company, LLC serves as distributor of the Alger mutual funds.

Important Information for UK and EU Investors: This material is directed at investment professionals and qualified investors (as defined by MiFID/FCA regulations). It is for information purposes only and has been prepared and is made available for the benefit investors. This material does not constitute an offer or solicitation to any person in any jurisdiction in which it is not authorised or permitted, or to anyone who would be an unlawful recipient, and is only intended for use by original recipients and addressees. The original recipient is solely responsible for any actions in further distributing this material and should be satisfied in doing so that there is no breach of local legislation or regulation.

Certain products may be subject to restrictions with regard to certain persons or in certain countries under national regulations applicable to such persons or countries.

Alger Management, Ltd. (company house number 8634056, domiciled at 78 Brook Street, London W1K 5EF, UK) is authorised and regulated by the Financial Conduct Authority, for the distribution of regulated financial products and services. FAM, Weatherbie Capital, LLC, and/or Redwood Investments, LLC, U.S. registered investment advisors, serve as sub-portfolio manager to financial products distributed by Alger Management, Ltd.

Alger Group Holdings, LLC (parent company of FAM and Alger Management, Ltd.), FAM, and Fred Alger & Company, LLC are not an authorized persons for the purposes of the Financial Services and Markets Act 2000 of the United Kingdom (“FSMA”) and this material has not been approved by an authorized person for the purposes of Section 21(2)(b) of the FSMA.

Important information for Investors in Israel: Fred Alger Management, LLC is neither licensed nor insured under the Israeli Regulation of Investment Advice, of Investment Marketing, and of Portfolio Management Law, 1995 (the “Investment Advice Law”). This document is for information purposes only and should not be construed as an offering of Investment Advisory, Investment Marketing or Portfolio Management services (As defined in the Investment Advice Law). Services regulated under the Investment Advice Law are only available to investors that fall within the First Schedule of Investment Advice Law (“Qualified Clients”). It is hereby noted that with respect to Qualified Clients, Fred Alger Management, LLC is not obliged to comply with the following requirements of the Investment Advice Law: (1) ensuring the compatibility of service to the needs of client; (2) engaging in a written agreement with the client, the content of which is as described in section 13 of the Investment Advice Law; (3) providing the client with appropriate disclosure regarding all matters that are material to a proposed transaction or to the advice given; (4) a prohibition on preferring certain Securities or other Financial Assets; (5) providing disclosure about “extraordinary risks” entailed in a transaction (and obtaining the client’s approval of such transactions, if applicable); (6) a prohibition on making Portfolio Management fees conditional upon profits or number of transactions; (7) maintaining records of advisory/discretionary actions. This document is directed at and intended for Qualified Clients only.

The following represents the noted percentages of firmwide assets under management as of June 30, 2025: Pinterest, Inc. Class A, 0.4%, Meta Platforms Inc Class A, 5.1%, AppLovin Corp. Class A, 3.8%.

Fred Alger & Company, LLC 100 Pearl Street, New York, NY 10004 / 800.305.8547 / www.alger.com

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ETF Investors

This ETF is different from traditional ETFs.

Traditional ETFs tell the public what assets they hold each day. This ETF will not. This may create additional risks for your investment. Specifically:

You may have to pay more money to trade the ETF’s shares. This ETF will provide less information to traders, who tend to charge more for trades when they have less information.

The price you pay to buy ETF shares on an exchange may not match the value of the ETF’s portfolio. The same is true when you sell shares. These price differences may be greater for this ETF compared to other ETFs because it provides less information to traders.

These additional risks may be even greater in bad or uncertain market conditions.

The differences between this ETF and other ETFs may also have advantages. By keeping certain information about the ETF confidential, this ETF may face less risk that other traders can predict or copy its investment strategy. This may improve the ETF’s performance. If other traders are able to copy or predict the ETF’s investment strategy, however, this may hurt the ETF’s performance. For additional information regarding the unique attributes and risks of this ETF, please refer to the prospectus.

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