The Future of AI and Customer Experiences with Crosshatch CEO Soren Larson
Jan 29, 2025
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Soren Larson discusses the future of AI and its impact on customer experiences. The conversation highlights the limitations of first-party data for personalization and the significance of user consent. They explore the evolving role of AI in advertising and the challenges faced by startups in a tech-driven landscape. Humor emerges as they compare Miami and Los Angeles, adding a light touch to their insightful dialogue on data privacy and the transformative potential of AI in enhancing consumer interactions.
47:39
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Quick takeaways
Soren Larson emphasizes that traditional first-party data alone cannot effectively deliver personalized customer experiences, necessitating a new approach rooted in user consent and contextual data.
The integration of AI into user interactions offers significant potential for improved customer engagement, but it must be balanced with privacy concerns and consumer trust.
Deep dives
Adlib's Innovative Advertising Approach
Adlib offers a self-serve DSP solution that eliminates the need for large contracts and minimum spends, allowing growing agencies to access a comprehensive media buying platform. This innovation connects users to various digital advertising channels including TV, display, and native ads without the usual hurdles, making it accessible for smaller agencies. The platform is designed to automate tasks that typically consume a lot of manual effort, significantly improving operational efficiency. Its ranking as the top solution for support underscores its commitment to assist users in navigating this complex landscape.
Crosshatch's AI-Driven Identity Layer
Crosshatch is developing a new identity layer for personalization that relies on user consent and leverages their comprehensive data. By allowing users to log in with all their contextual data—from purchases to exercise history—brands can deliver highly personalized experiences. This approach addresses common frustrations with traditional first-party data methods, which have been deemed ineffective at generating meaningful customer engagement. The initiative stems from real-world challenges observed at major retailers, highlighting the limitations of standard consumer data practices.
Challenges of First-Party Data Utilization
Despite having access to extensive first-party data, brands often struggle to meet consumer expectations for personalized experiences. Historical efforts at Walmart illustrated that even top-tier data could not predict consumer behavior beyond a certain point, revealing limitations inherent in conventional data aggregation strategies. This inefficiency has led to what some call 'CDP fatigue,' as businesses grapple with the cost and complexity of managing first-party data. Crosshatch aims to resolve these issues by enabling users to bring their data to applications directly, thus enhancing contextual relevance.
The Future of AI in Consumer Interactions
The integration of AI into consumer applications is poised to transform user experiences, emphasizing the need for context-driven interactions. While AI has the potential to enhance personalization, it requires users to actively share their data to be effective, leading to privacy concerns that must be navigated carefully. Brands expressing optimism about AI are increasingly recognizing its role in improving customer engagement and operational efficiency. However, the challenge remains in balancing the collection of data with consumer trust and autonomy, a core principle driving Crosshatch's value proposition.
Crosshatch CEO Soren Larson joins Eric Franchi and Joe Zappa to discuss how AI will improve customer experiences, why first-party data isn’t enough to power personalization, the intersection of AI agents and advertising, and the role of the agency in an AI-driven advertising industry.
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