The news: Nearly 70% of large organizations are using genAI tools in marketing, but at the same time, only 7% of marketing leaders strongly agree that genAI use has improved the effectiveness of campaigns, per a new study from Capgemini.

Only 15% of marketing leaders strongly agree their AI setup lets them focus on high-value work and 18% strongly believe they are personalizing customer interactions effectively with AI.

The challenge may lie in budget control: More than half of AI initiatives are funded by IT, and the percentage of CMOs involved in critical decision-making has dropped from 70% to 55% in just two years. If marketing rarely owns the tech or the budget for pilots, genAI’s impact will remain minimal.

“AI tools offer great potential but often fail to deliver results as budgets, strategy, and technology aren’t fully aligned,” said Gagandeep Gadri, managing director of Capgemini. 

Why it’s worth watching: Martech and data stacks still operate in silos, which keeps real-time personalization out of reach. 

Capgemini’s report points to skill gaps, data-privacy hurdles, security risks, ethical concerns, and low trust in autonomous AI decisions as the core blockers to realizing AI’s full marketing potential. 

Takeaway for brands: For AI to become the engine of growth that leaders envision, marketing needs to assume ownership, budget, and strategic influence to bridge the gap between its potential and its realized value.

Failing to address these issues could mean companies risk falling behind in the race to capture customer loyalty and drive revenues.

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