Almost 60% of organizations are implementing generative AI in marketing: Report

The majority of marketers (62%) believe that generative AI will augment human creativity, enhancing unique human qualities such as intuition, emotion, and context understanding. Organizations already investing in generative AI for marketing dedicate 62% of their total marketing technology budget towards it, seeing this breakthrough technology as a catalyst for creativity and innovation in marketing.

That’s according to Capgemini Research Institute’s latest report ‘GenAI and the evolving role of marketing: A CMO's Playbook’, which reveals that half of organizations have already set aside specific budgets and almost half (47%) have allocated teams for the implementation of generative AI in marketing.

The report found that 57% of marketers expect generativeAIto act as a catalyst for unlocking new creative possibilities, particularly when collaborating between human andAI-driven innovation; 55% foresee this motivating teams to think beyond conventional boundaries. In the next two to three years, marketers already using generativeAIexpect it will be applied across data analysis (90%), search engine optimization (89%), customer services (89%), content creation (88%) and image and video generation (86%). As a result,marketingfunctions are actively establishing practices to use generativeAIacrossmarketingdomains. 

According to the research, organizations believe that this technology can help in building a unique brand image (67%), accurate analysis of customer and market trends (65%), reduction inmarketingcosts (66%), and increase efficiency in generating content and results (65%).

Gagandeep Gadri, Managing Director of frog, part of Capgemini Invent, said, “The future of marketing will undeniably be influenced by the widespread adoption of generative AI to deliver personalized content and communication; its value realization will need a fusion of strategic choices, human centred creativity and a good understanding of the art of the possible in a very fast-moving space. In many ways, this feels like the Digital boom from 20 years ago, where the brands that succeeded were those that stayed true to their values but were brave and bold on how digital could deliver growth for their business. The same will apply for generative AI.” 

Addressing ethical and regulatory issues will be key

AsAIalgorithms become increasingly sophisticated, marketers will continue to face complex ethical considerations around issues such as the responsible use of customer data, the transparency ofAI-driven decision-making processes, and ensuring algorithms do not reinforce social inequalities. 

The research indicates that only 30% of organizations have implemented clear guidelines for the use and oversight ofAIsystems and less than half consider attributes of trust, privacy, and responsibility when selectingAIsystems formarketingactivities. Less than half of organizations (42%) are implementing measures to protect themselves from challenges related to the use of generativeAIinmarketing, such as monitoring or searching forAI-derived versions of their work, including logos and artwork. 

Bridging the generativeAIskills gap

According to the report, the majority of organizations (71%) anticipate that certainmarketingroles will be significantly or moderately impacted by generativeAIincluding SEO specialists, digitalmarketingand creative directors, PR/communication specialists, copywriters, and customer insight specialists.  

The majority (63%) of organizations recognize that the demand for generativeAIskills inmarketingsignificantly outstrips supply. To address this skills gap and harness the full potential of generativeAIinmarketing, organizations are implementing internal and external strategies. On average, 53% of companies are planning to provide generativeAItraining for theirmarketingteams in the next six months, with companies in the Netherlands, India, Australia, and the US most likely to implement this initiative. Sectors such as media, insurance, automotive, and life sciences also show higher-than-average commitment to generativeAItraining for theirmarketingteams.

Marketingis emerging as a strategic force to drive organizational success

The research shows thatmarketinghas transformed in recent years, with ChiefMarketingOfficers (CMOs) increasingly playing a central role in strategic decision-making processes. In business-to-consumer (B2C) sectors, 71% of C-suite respondents seemarketingas a strategic partner in driving business growth and 72% of B2C organizations involve theCMOin critical decisions to drive business goals and objectives. CMOs have assumed greater direct responsibility for contribution to revenue growth (49%) and profit-related decisions (44%) over the past two years, increasing by 25 and 19 percentage points from 2021 respectively.

Almost 60% of organizations are integrating generativeAIinto theirmarketingefforts, out of which 37% are actively implementing it across various initiatives, while an additional 21% are in the experimental phase. In order to succeed, organizations are adopting diverseAIstrategies tailored to their specificmarketingneeds and available resources. Nearly a quarter of organizations rely solely on external applications and platforms for generativeAIinmarketing, however, half of them are in the process of either developing or using in-house applications alongside external tools.

Methodology

The Capgemini Research Institute surveyed 1,800 executives overseeingmarketingstrategies across diverse organizations worldwide with an annual revenue of over USD 1 billion. The organizations came from a range of sectors, including automotive, banking, consumer goods, insurance, retail, telecom, utilities, high-tech, manufacturing, life sciences, public sector and media. They are based in 14 countries across North America, Europe, and APAC. In addition, 25 in-depth interviews were conducted with ChiefMarketingOfficers andmarketingleaders with firsthand knowledge or awareness of their organizations generativeAIinitiatives. Charts comparing 2021 and 2023 data exclude respondents from B2B sectors, as they were not part of the 2021 survey. The covered sectors include automotive, banking, consumer goods, insurance, retail, telecom, and utilities.

You can read the full report below.