In Episode 92 of the Digital Velocity Podcast, Erik Martinez talks with Timothy Peterson—an executive leader with 25+ years across retail, e‑commerce, data, and operations—about how to integrate artificial intelligence thoughtfully and profitably. Drawing on roles from Bloomingdale’s and Pottery Barn to CPG business intelligence and today’s fractional CEO work, Timothy shares a pragmatic, cross‑industry view of what it really takes to make AI create business value.

Timothy highlights hyper‑personalization at scale as the standout opportunity: using hundreds of relevant data sources to tailor experiences that deepen engagement and drive growth. But he cautions that rushing in can erode trust—especially when AI replaces human judgment in customer service or when proprietary content is scraped into training sets without authorization. The takeaway for brand leaders is clear: protect your data, protect your customers, and don’t let AI tools redefine your value proposition without intent.

To prioritize investments, Peterson lays out a simple sequence: first upskill people (think weekly lunch‑and‑learns, practical workshops, and targeted certifications), then pilot tools to learn what really moves the needle, and only then fund larger infrastructure. He also introduces “governance as a service,” ensuring responsibility for privacy, compliance, and ethics is shared across legal, marketing, and operations—rather than bolted onto a single role within the company. Clear accountability and measured rollout beat shiny‑object adoption every time.

For direct‑to‑consumer marketing leaders, the playbook is refreshingly grounded: personalize to lift conversion and LTV, document and simplify processes so AI augments what already works, narrow your focus to the channels and products that matter, and measure the impact on sentiment, conversion, lead flow, and revenue. Above all, stay adaptable and keep learning—the real competitive advantage isn’t any one model or tool, but a culture that can turn new capability into sustained customer value.