Advertisment

34% of CMOs see AI as crucial for media strategy in 2025: Dentsu study

The study shows that media is undeniably seen as a strategic lever to drive business growth by an overwhelming majority of CMOs, with 88% seeing it as very important or critical.

author-image
Social Samosa
New Update
123

Dentsu has announced the launch of its 2024 CMO Navigator, Media Edition, a study of 1900+ CMOs in 13 countries, and the latest in its Navigator series, following the publication of recent Creative and CX editions. The study reveals how CMOs view media’s evolution from pure performance power to a strategic driver of business growth requiring a highly nuanced approach fit for the fully addressable, shoppable, and accountable algorithmic era.

Conducted during August 2024, the study shows that media is undeniably seen as a strategic lever to drive business growth by an overwhelming majority of CMOs, with 88% seeing it as very important or critical. They are readying their organisations to seize new opportunities in a world where algorithms increasingly connect culture to commerce, evidenced by priority investment areas aimed at standing out in consumers’ busy feeds. These include increased investments in short-form content (45% agree), social commerce (43% agree), production/sponsorship of original content (43% agree), influencer marketing (42% agree), and retail media networks (41% agree).

With AI becoming increasingly influential across the marketing landscape, 34% of CMOs see it will have broad applicability when it comes to media, from strategy to planning to prospects of new partnerships next year. However, 39% agree that their biggest priority will be truly understanding the use cases, opportunities, and risks of AI in 2025.

While there is an optimistic outlook for increased investment across the board in 2025, a number of key challenges were outlined by CMOs, with 29% agreeing their biggest concern was the tightening of data privacy regulations, 29% were anxious about planning media for both business performance and sustainability goals, 28% see that a lack of transparency or visibility from closed tech platforms such as Amazon, X, or WeChat may cause issues, and a further 28% worry about integrating emerging tech solutions.

“This view of CMO priorities going into 2025 shows a clear determination to dig deep into the craft of media at a time when the industry is hurtling into a new era, one in which algorithms and AI will more closely govern the brand-to-consumer experience and in which the brute force of spend and scale is not enough,” commented Will Swayne, Global Practice President - Media, dentsu. “The opportunities of the modern nuanced media mix must be tempered by the various challenges that new technology brings, but by balancing brand and performance, progressive CMOs will wield a new level of influence in determining the success of organisational transformation.”

Anita Kotwani, CEO - Media, South Asia, dentsu added, “Media has cemented its position as a critical driver of strategic growth, particularly as we navigate the complexities of the algorithmic era. As CMOs recalibrate their strategies to align with evolving consumer behaviours, regulatory landscapes, and the rapid infusion of AI, the focus must remain on crafting media solutions that are both innovative and sustainable. At dentsu, our commitment lies in empowering brands with nuanced strategies that harmonise performance with purpose, ensuring they lead with confidence in this transformative era.”

 

Dentsu Dentsu CMO Navigator Chief Marketing Officer cmo dentsu report