Artificial Intelligence in Marketing Market Size, Share Global Analysis Report, 2024 – 2032

Industry Insights

[223+ Pages Report] According to Facts & Factors, the global artificial intelligence in marketing market size was valued at USD 20.23 billion in 2023 and is predicted to surpass USD 193.28 billion by the end of 2032. The artificial intelligence in marketing industry is expected to grow by a CAGR of 28.50% between 2024 and 2032.

Artificial Intelligence in Marketing Market: Overview

Artificial intelligence in marketing refers to the inclusion of artificial technologies in marketing processes and strategies. Artificial intelligence helps businesses and brands analyze consumer behavior and take relevant steps to expand their product offering and boost sales revenue.

Various technologies like data analytics, natural language processing, machine learning, automation, and many others are also used under AI tech to foster highly personalized marketing strategies that can help boost customer engagement and conversion rates. It also includes chatbots and virtual assistance for real-time support. It allows brands and businesses to interact with customers and helps them guide them throughout the purchasing journey. AI tools can easily create content on the basis of given data sets, thereby helping marketers produce relevant content in less time.

Key Insights

• As per the analysis shared by our research analyst, the global artificial intelligence in marketing market size is estimated to grow annually at a CAGR of around 28.50% over the forecast period (2024-2032).
• In terms of revenue, the global artificial intelligence in marketing market size was valued at around USD 20.23 billion in 2023 and is projected to reach USD 193.28 billion by 2032.
• AI-powered content creation is driving the growth of global artificial intelligence in marketing market.
• Based on the applications, the content curation segment is growing at a high rate and is projected to dominate the global market.
• Based on technologies, the machine learning segment is anticipated to grow with the highest CAGR in the global market.
• Based on the end-users, the media & entertainment segment is projected to swipe the largest market share.
• Based on components, the software segment is expected to dominate the global market.
• Based on region, North America is expected to dominate the global market during the forecast period.

Artificial Intelligence in Marketing Market: Growth Drivers

• AI-powered content creation is driving the growth of the global market.

Businesses are increasingly adopting artificial intelligence technology in marketing to create content like personalized newsletters, automated video production, ads, and many others. Also, growth in voice search with assistants like Alexa and Google Assistant is further driving huge demand for AI technology in marketing.

Businesses are integrating AR and VR technology with AI for a more immersive marketing experience, particularly in the entertainment and retail sectors. The growing adoption of big data analytics for data-driven decision-making is further likely to widen the scope of the industry. AI-powered analytic tools are in demand because they help marketers optimize campaigns and get valuable insights.

Therefore, all these factors are expected to propel the growth of global artificial intelligence in marketing market during the forecast period. For instance, Coca-Cola unveiled its plan to create personalized content like ad copy and images using ChatGPT and DALL-E platforms in 2023. The company deals in the US-based drink industry.

Artificial Intelligence in Marketing Market: Restraints

• Data privacy is likely to hinder the growth of the global market.

There are many rules and regulations regarding consumer data privacy, like GDPR, which is likely to slow down the growth of the industry. Moreover, consumers are also reluctant to share their personal information because of the mistrust of AI.

Also, the implementation cost for AI technology in marketing needs heavy upfront investment in infrastructure, technology, and professional teams, which is further expected to limit the growth of artificial intelligence in marketing industry.

Artificial Intelligence in Marketing Market: Opportunities

• Growing demand for personalized customer experience is likely to foster growth opportunities in the global market.

Customers are more inclined towards personalized experiences, which is a major reason brands include AI in their marketing strategies to understand consumer behavior better. AI technology helps marketers get deep insights into consumer behaviors. They can deliver relevant content, tailored recommendations, and offers, which are likely to increase consumer engagement and conversion rates.

AI technology can create dynamic content that can help marketers build loyalty. The expansion of the e-commerce sector is another major factor in the high growth rate of the industry. AI is increasingly used in e-commerce for dynamic pricing, customer segmentation, and many others.

Therefore, such a landscape is expected to foster growth opportunities in the global artificial intelligence in marketing market during the forecast period. For instance, Cadbury came up with an initiative in 2022 to help small businesses create their free ads using celebrity voice and facial features with AI solutions.

Artificial Intelligence in Marketing Market: Challenges

• Resistance to change is a big challenge in the global market.

Many organizations are still skeptical of new technologies like AI. Also, employees are worried about job replacement in the new environment. Additionally, AI is constantly evolving, and therefore, there is a need to constantly keep up with the changes, which is again a challenge for many organizations. Therefore, such a landscape is expected to slow down the growth of artificial intelligence in marketing industry.

Artificial Intelligence in Marketing Market: Segmentation

The global artificial intelligence in marketing market can be segmented into applications, technologies, end-users, components, and regions.

On the basis of applications, the market can be segmented into analytics platforms, sales & marketing automation, content curation, virtual assistants, search engine marketing, social media advertising, and others. The content curation segment is likely to dominate artificial intelligence in marketing industry during the forecast period.

AI-powered content curation tools help analyze huge amounts of data from different sources, which in turn will help deliver personalized content to their target audience. This is expected to increase the engagement rate and customer loyalty. AI also helps in automating many content management activities like content selection and distribution. Therefore, it helps save time for marketing teams. Also, these factors help brands maintain their online presence.

AI offers valuable insights into this kind of content, thereby helping people with more effective content strategies to provide better results. AI content curation also helps marketers with scalability, thereby helping brands reach diverse audiences across the world and get better engagement.

On the basis of technology, the market can be segmented into computer vision, natural language processing, machine learning, and others. Machine learning is the fastest-growing segment in the global artificial intelligence in marketing market. Machine learning can process large data sets, which helps marketers get deep insights into consumer behavior, preferences, and many others. These demographics help in accurate and more precise targeting and personalization.

Machine learning further helps in predictive analysis, thereby helping businesses to approach marketing strategies more effectively and help increase conversion and customer attention rates. Machine learning also helps in automating marketing processes like ad targeting, campaign optimization, and customer segmentation. These are likely to help businesses reduce their overall cost and increase efficiency.

On the basis of end users, the market can be segmented into IT & telecommunication, media & entertainment, consumer goods, retail, BFSI, and others. Media & entertainment segment accounts for the largest share of artificial intelligence in marketing industry during the forecast period. AI technologies help media and entertainment companies with personalized content recommendations.

AI helps improve the user experience by providing insights on relevant streaming services, movies, and shows, which are directly based on users' viewing habits and preferences. The media and entertainment sector depends on advertising revenue.

Therefore, AI is important for ad targeting, which will help organizations in reaching out to the relevant audience. Data-driven tools are likely to assist media companies in increasing their engagement rates with chatbots, interactive experiences, and personal communication. Also, AI helps in real-time analysis, which in turn helps companies make instant decisions based on relevant insights.

On the basis of components, the market can be segmented into services and software. The software segment is anticipated to witness major developments in the coming years. The ongoing advancements in AI algorithms are improving the capabilities of marketing software, which is a major reason for the high growth rate of the segment.

Moreover, AI software can easily be integrated with other marketing tools like CMS and CRM to offer a better and more comprehensive approach to marketing campaigns. The development of user-friendly interfaces is expected to make this software more accessible to a wider audience. Rising demand for customization is further likely to boost the demand for software that can help customers strategically tailor their campaigns and cater to the target audience's requirements and preferences. It will help in boosting their engagement rates and ROI.

AI software is improving its marketing functions like automated content generation, sentiment analysis, predictive analysis, and many others, which help in providing more comprehensive solutions to businesses. People's growing preferences towards cloud-based software are also likely to expand the scope of the segment as it is an ideal solution for organizations of all sizes without the requirement of any high upfront investment.

Report Scope

Artificial Intelligence in Marketing Market: Regional Analysis

• North America to dominate the global market.

North America will account for the largest share of the global artificial intelligence in marketing market during the forecast period. The United States is likely to dominate the regional market because of the presence of a tech-savvy population in the region. Moreover, the US is witnessing growth in the number of martech start-ups, which is another prime factor responsible for the high adoption rate of AI in the marketing field. Canada is also another major country witnessing growing investments in martech start-ups.

However, the growing support of the government to encourage AI development and adoption rate is further expected to foster growth in the region. North American companies are more inclined toward data-driven decision-making.

Also, the growing interest of companies in the region in AI automation in marketing is further expected to widen the scope of the regional market. Repetitive tasks like ad placement, content creation, and customer segmentation can easily be automated, thereby helping marketers focus on creative tasks to improve efficiency and effectiveness in marketing operations. Additionally, increasing investments in AI research and development activities in the US are also likely to bring innovations that are likely to revolutionize the market.

Asia Pacific is another major region likely to see significant growth in the coming years. China is the largest market in the region because of the fast-growing e-commerce sector. The ongoing investments by big companies like Alibaba are further likely to widen the scope of the regional market. India is also likely to see significant development because of the growing interest of people in the country in adopting AI in marketing.

The country's rising young population is more inclined towards AI services to streamline marketing operations and improve customer experiences. Japan and South Korea are also emerging markets for AI-driven marketing because of the region's strong technological infrastructure and government support. South East Asian countries like Malaysia, Indonesia, and Singapore are also attractive markets in the region. Therefore, all these factors are likely to contribute immensely towards the high growth rate of the regional market.

Artificial Intelligence in Marketing Market: Competitive Analysis

The key players in global artificial intelligence in marketing market includes:

• Twitter Inc.
• Salesforce Inc.
• Oracle Corporation
• NVIDIA Corporation
• Microsoft Corporation
• International Business Machines Corporation
• Intel Corporation
• Google LLC
• Baidu Inc.
• Amazon.com Inc.,

For instance, Bain & Company and Open AI came together in 2023 to help end-users in utilizing the full potential of AI. The former is an American management consulting company, and the latter is a US-based AI company.

The global artificial intelligence in marketing market is segmented as follows:

By Applications Segment Analysis

• Analytics Platforms
• Sales & Marketing Automation
• Content Curation
• Virtual Assistants
• Search Engine Marketing
• Social Media Advertising
• Others

By Technologies Segment Analysis

• Computer Vision
• Natural Language Processing
• Machine Learning
• Others

By End-Users Segment Analysis

• IT & Telecommunication
• Media & Entertainment
• Consumer Goods
• Retail
• BFSI
• Others

By Components Segment Analysis

• Services
• Software

By Regional Segment Analysis

• North America
  • The U.S.
  • Canada
  • Mexico
• Europe
  • France
  • The UK
  • Spain
  • Germany
  • Italy
  • Rest of Europe
• Asia Pacific
  • China
  • Japan
  • India
  • Australia
  • Southeast Asia
  • Rest of Asia Pacific
• The Middle East & Africa
  • Saudi Arabia
  • UAE
  • Egypt
  • Kuwait
  • South Africa
  • Rest of the Middle East & Africa
• Latin America
  • Brazil
  • Argentina
  • Rest of Latin America