A new global study, Marketers and GenAI: Diving Into the Shallow End by SAS and Coleman Parkes Research, highlights a significant disconnect in the marketing industry regarding generative AI (GenAI). Despite 90% of organizations planning to invest in GenAI for marketing by 2025, a similar percentage of CMOs admit to not fully understanding GenAI and its potential impact. This gap in understanding may be impeding the adoption of more advanced and beneficial uses of GenAI.

• Current GenAI Adoption:

  • General Usage:
    • 75% of marketers are currently using GenAI in their daily work.
    • Marketing leads other business functions, including IT, in GenAI adoption.
  • Basic Applications:
    • GenAI is predominantly used for simple tasks like copywriting, editing, and content creation.
    • More sophisticated applications are underutilized:
      • 18% use GenAI for building audiences.
      • 16% for customer journey mapping.
      • 14% for price optimization.
      • 19% for audience targeting.

• Benefits of GenAI:

  • Return on Investment:
    • Strong returns reported in various areas:
      • Personalization (92%)
      • Customer satisfaction and retention (89%)
      • Processing large data sets (88%)
      • Accuracy in predictive analytics (88%)

• Challenges in Adoption:

  • Lack of Understanding:
    • 90% of CMOs lack a full understanding of GenAI's potential, affecting its effective use.
    • Education and training are critical to overcoming this obstacle and realizing GenAI's benefits.
  • Privacy and Security Concerns:
    • Data security (61%) and data privacy (61%) are top concerns.
    • Only one-third of organizations have a comprehensive data governance framework, which is even less for GenAI.

• Future Outlook:

  • Expanded Use Predictions:
    • Marketers plan to expand GenAI use within 1-2 years to save time and costs (63%), improve risk management and compliance (62%), and process large data sets more efficiently (60%).
    • Anticipated advancements include immersive applications like adaptive virtual reality, with 20% of marketers expecting these innovations.

• Expert Insights:

  • Jenn Chase (CMO, SAS):
    • Emphasized the need for education and training to fully leverage GenAI and improve customer experience and business growth.
  • Jonathan Moran (Head of Martech Solutions Marketing, SAS):
    • Highlighted the gap between the potential and current use of GenAI, stressing the importance of education, enablement, and robust data governance.
      
      

The study underscores a significant gap in the understanding and application of GenAI among senior marketing leaders. While the current use of GenAI in marketing is growing, many marketers are only scratching the surface. To fully capitalize on GenAI's potential, organizations must invest in education, address data privacy and security concerns, and develop comprehensive governance frameworks. The anticipated expansion of GenAI use in marketing holds promise for enhanced efficiency, risk management, and innovative applications in the near future.