The Global Artificial Intelligence (AI) In Marketing Market size is expected to reach $78.8 billion by 2030, rising at a market growth of 26.9% CAGR during the forecast period.
Sales & Marketing Automation sector is growing as AI can assist businesses in automating their digital marketing while maintaining their ability to target specific audiences. Hence, Sales & Marketing Automation segment registered $1,856.2 million revenue in the market in 2022. The use of automation and personalization achieved via the application of artificial intelligence are perfect combinations that lead to a high level of personalization in marketing. Businesses can also gain a competitive advantage in pursuing customers, essential for any business operating in a sector experiencing rapid expansion. Automation of pay-per-click (PPC) ads, search engine marketing (SEM), search engine optimization (SEO), social media marketing (SMM), conversion rates, and keyword research are now possible for businesses that utilize AI systems. Automation of marketing procedures that AI enables has the potential to save time. This frees up time and mental space for marketers to concentrate on other areas of their jobs, such as developing new ideas and strategies.
The major strategies followed by the market participants are Partnerships as the key developmental strategy to keep pace with the changing demands of end users. For instance, In June, 2023, Salesforce partnered with Google Cloud to develop solutions for their business customers regarding customer experiences. Together, the companies would be able to serve their joint customers in a better way by providing them with a comprehensive suite of solutions for personalized customer experience. Additionally, In May, 2023, Intel Corporation entered into a partnership with Boston Consulting Group to provide their clients with generative AI solutions. The partnership aids Intel in providing its customers with services to build generative AI applications.
Based on the Analysis presented in the KBV Cardinal matrix; Microsoft Corporation and Google LLC are the forerunners in the Market. In January,2023, Microsoft Corporation extended its partnership with OpenAI, an AI research laboratory based in the United States, regarding AI supercomputing. The partnership provides the joint customers of the two companies with advanced AI infrastructures. Companies such as Intel Corporation, Oracle Corporation, NVIDIA Corporation are some of the key innovators in the Market.
Customers are an organization's most valuable asset, regardless of the type of company. To flourish in the competitive marketplace for AI in marketing, businesses should primarily emphasize developing long-term relationships with their customers. Companies have become more customer-centric as they have transitioned away from product-driven marketing methods and toward customer-centric marketing techniques. The organization could understand its clients better and forecast their behavior based on the products they had previously purchased after implementing the adjustments. Thus, the increasing adoption of customer-centric marketing tactics and the benefits these methods give firms would increase market growth over the forecasted period.
AI can assist businesses in automating their digital marketing while maintaining their ability to target specific audiences. The use of automation and personalization achieved via the application of artificial intelligence are perfect combinations that lead to a high level of personalization in marketing. Businesses can also gain a competitive advantage in pursuing customers, essential for any business operating in a sector experiencing rapid expansion. Automation of pay-per-click (PPC) ads, search engine marketing (SEM), search engine optimization (SEO), social media marketing (SMM), conversion rates, and keyword research are now possible for businesses that utilize AI systems. As a result, the expanding trend of using AI automation for marketing is anticipated to cause a spike in the expansion of the market.
Even the most straightforward applications of AI can be challenging to implement. Although it has a lower level of technological sophistication, stand-alone task automation AI can still be difficult to set for particular workflows, and it requires businesses to acquire appropriate AI skills. When incorporating any artificial intelligence into a workflow, it is necessary to integrate human and machine jobs so that AI improves people's abilities rather than being used in a way that causes problems. For instance, many companies automate their customer care processes using rule-based chatbots. The market expansion is likely to be hampered by the drawbacks associated with using AI in marketing.
The leading players in the market are competing with diverse innovative offerings to remain competitive in the market. The above illustration shows the percentage of revenue shared by some of the leading companies in the market. The leading players of the market are adopting various strategies in order to cater demand coming from the different industries. The key developmental strategies in the market are Partnerships & Collaborations.
Based on component, the market is segmented into software and services. The software segment dominated the market with maximum revenue share in 2022. This is due to careful advancements in data storage capacity, powerful computing, and the ability to supply high-end services through parallel processing. Furthermore, the segment is well-positioned to take the largest share of the market owing to its capacity to extract data, offer real-time insight, and support decision-making. Libraries for developing and deploying AI applications, such as those for primitives, inference, linear algebra, video analytics, sparse matrices, and numerous hardware connection capabilities, are included in artificial intelligence software packages.
By end-use, the market is classified into, BFSI, consumer goods & retail, media & entertainment, IT & telecommunication, and others. The consumer goods & retail segment procured a remarkable revenue share in the market in 2022. This is due to the increased emphasis on delivering a better shopping experience; it is projected that the retail sector will experience a significant increase. An increase in the volume of digital text, sound, and image data from various social media sources is driving the demand for data mining and analytics. Additionally, AI in retail uses behavioral analytics and consumer intelligence to improve a variety of customer care touchpoints and gain insightful knowledge about various market demographics, driving the segment's growth.
On the basis of technology, the market is divided into machine learning, natural language processing (NLP) and computer vision and others. The machine learning segment held the highest revenue share in the market in 2022. The segment's growth is due to the significant investments in AI that have been made in machine learning and deep learning. They encompass AI platforms and cognitive applications, making it easier to create advisory, intelligent, and cognitively enabled solutions. These cognitive applications include tagging, clustering, categorization, hypothesis-generating, alerting, filtering, navigation, and visualization.
Under application, the market is bifurcated into content curation, social media advertising, virtual assistant, search engine marketing, sales & marketing automation, analytics platform, and others. The social media advertising segment recorded a remarkable revenue share in the market in 2022. Social media marketing uses AI to produce written & video content, schedule posts, analyze data, and more. As in the past, AI will play a bigger part in social media marketing in the future. Social media marketers will embrace the power of AI content generation, scheduling, predictive modeling, and other goodies.
| Report Attribute | Details |
|---|---|
| Market size value in 2022 | USD 12.1 Billion |
| Market size forecast in 2030 | USD 78.8 Billion |
| Base Year | 2022 |
| Historical Period | 2019 to 2021 |
| Forecast Period | 2023 to 2030 |
| Revenue Growth Rate | CAGR of 26.9% from 2023 to 2030 |
| Number of Pages | 351 |
| Number of Table | 503 |
| Report coverage | Market Trends, Revenue Estimation and Forecast, Segmentation Analysis, Regional and Country Breakdown, Competitive Landscape, Market Share Analysis, Companies Strategic Developments, Company Profiling |
| Segments covered | Technology, Component, Application, End User, Region |
| Country scope | US, Canada, Mexico, Germany, UK, France, Russia, Spain, Italy, China, Japan, India, South Korea, Singapore, Malaysia, Brazil, Argentina, UAE, Saudi Arabia, South Africa, Nigeria |
| Growth Drivers |
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| Restraints |
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Region-wise, the market is analyzed across North America, Europe, Asia Pacific, and LAMEA. The North America region registered the highest revenue share in the ar market in 2022. This is due to the encouraging government policies that promote the adoption of artificial intelligence (AI) across numerous businesses. The region's several well-known IT firms are utilizing the promising possibilities presented by AI in marketing. In addition, both small and large companies are using AI at a respectable rate in the region, especially compared to other parts of the world. The high usage of AI by various industries in the region is aiding the expansion of the regional market.
Free Valuable Insights: Global Artificial Intelligence (AI) In Marketing Market size to reach USD 78.8 Billion by 2030
The market research report covers the analysis of key stake holders of the market. Key companies profiled in the report include Amazon.com, Inc., Baidu, Inc., IBM Corporation, Microsoft Corporation, Oracle Corporation, Salesforce, Inc., NVIDIA Corporation, Google LLC (Alphabet Inc.), Intel Corporation and Twitter, Inc.
By Technology
By End User
By Component
By Application
By Geography
This Market size is expected to reach $78.8 billion by 2030.
The automation of marketing are driving the Market in coming years, however, Difficulties faced during the usage of AI-based marketing restraints the growth of the Market.
Amazon.com, Inc., Baidu, Inc., IBM Corporation, Microsoft Corporation, Oracle Corporation, Salesforce, Inc., NVIDIA Corporation, Google LLC (Alphabet Inc.), Intel Corporation and Twitter, Inc.
The Content Curation segment is generating the highest revenue share in the Market by Application in 2022 thereby, achieving a market value of $15.9 billion by 2030.
The Media & Entertainment segment is leading the Market by End User in 2022 thereby, achieving a market value of $22.2 billion by 2030.
The North America market dominated the Market by Region in 2022, and would continue to be a dominant market till 2030; thereby, achieving a market value of $26.3 billion by 2030.
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