GroupM has released a new report, The Next 10: Artificial Intelligence, exploring the future of AI-powered advertising and what advertisers can do to prepare for it.
In key sectorsThe Next 10: Artificial Intelligence—written by Kate Scott-Dawkins and other contributors in our group—explores the technology and behaviors that will shape the next decade of advertising with major implications, including:
- Diminishing linear TV reach and less tolerance for irrelevant and disruptive ad modules
- Growth of audio-first devices with digital assistants (e.g. headphones and smart home speakers) means voice search will overtake text search
- Data will most often be managed on-device and will increasingly be obfuscated or anonymized by AI and privacy services
The global forecast: AI-based marketing already accounts for over $370 billion in global ad revenue, or about 45% of all ads. And its growth will only continue. By 2032, AI-based advertising is expected to account for $1.3 trillion in advertising revenue, or more than 90% of the total.
Additional takeaway meals:
Advances in AI and these evolving media channels could lead marketers to increasingly connect products, consumer experiences, and advertising experiences:
Automotive: The use of generative AI and digital twins will enable greater personalization of advertising in the industry, i.e.: a personalized color model displayed in-car in the shopper’s city.
GIC: machine learning coupled with genomic sequencing will increasingly make personalized nutrition and personal care products possible.
Clothes: Computer vision, machine learning algorithms and generative AI could disrupt the apparel and retail industry by creating a vast gray market of copied products or user-generated designs competing for image searches.
Entertainment: Personalized storytelling could become a reality as ads and IP are personalized based on audience data and/or selections.