San Francisco, 05 May 2025: The Report Artificial Intelligence In Marketing Market Size, Share & Trends Analysis Report By Component (Software, Services), By Application (Social Media Advertising, Search Engine Marketing), By Technology, By End User Industry, By Region, And Segment Forecasts, 2025 - 2030
The global artificial intelligence (AI) in marketing market size is expected to reach USD 82.23 billion by 2030, according to a new report by Grand View Research, Inc. The market is anticipated to expand at a CAGR of 25.0% from 2025 to 2030. The rising demand for digital assistance and the growing demand for customer-driven marketing and advertisement drive the market's growth. Advancements in big data analytics and increased use of AI-based products and services to improve consumer experience are also responsible for market growth. The increased adoption of cloud-based services and the growth of marketing analytics are expected to create lucrative opportunities for AI in the marketing market.
AI in marketing can be used to understand customer behavior, social media marketing, advertisements, data filtering, and analysis. AI enables marketing teams to go beyond traditional demographic data and discover consumer preferences on a personal level, enabling brands to develop experiences based on a customer's particular preferences. Moreover, data plays an essential role in enhancing the recommendation patterns of content served to users via machine learning algorithms. For instance, Amazon.com, Inc.'s Prime Video and Netflix, Inc. use a robust recommendation system to improve recommendations based on user viewing history on their platforms.
With the advancement of natural language processing through AI, chatbots are becoming a priority for businesses as the need to develop more prominent communication platforms grows. Customers with more fundamental questions can use chatbots to respond immediately and accurately. Chatbots can use previous questions and historical data to deliver personalized results, freeing time for customer service agents to work on more complex requests requiring more human nuance. For instance, H&M, a Sweden-based fashion company, uses a chatbot to assist mobile customers in their search for outfit options. Dominos, a U.S.-based restaurant chain, created a Facebook chatbot to expedite orders.
Asia-Pacific is expected to be the fastest-growing market during the forecast period. This region includes India and China, the most populous and developing countries. These countries rapidly adopt advanced technologies to support government initiatives to digitalize nations. Adopting AI by large, small, and medium-sized businesses in this region creates lucrative growth opportunities for artificial intelligence in the marketing market. In January 2023, CyberAgent Inc., a digital advertising company in Japan, is planning to create large volumes of video advertising using artificial intelligence. This initiative aimed to improve the effectiveness of advertising.
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The growing adoption of machine learning and artificial intelligence to offer increased acceptance of social networking platforms, individualized consumer experiences, and the rise of online shopping are the primary factors driving artificial intelligence in the marketing market expansion. For instance, Google Responsive Search Ads is a text ad format available in Google Ads, an online advertising platform developed by Google that enables advertisers to generate multiple headlines and descriptions for a single advertisement. Using the Google advertisement feature, entrepreneurs can start their ads by tailoring them to a geographic range, budgetary needs, and other factors.
AI assists marketers in better targeting and segmenting audiences and providing more personalized experiences. AI has been used to drive success in various industries, including automotive, insurance, finance, retail, and healthcare. AI is poised to increase the effectiveness, efficiency, and impact of advertising, from more precise target audiences to automating ad creation and delivery. For instance, IBM Watson, a data analytics processor developed in IBM's DeepQA project, uses artificial intelligence to assist retail companies in creating more personalized purchasing experiences by utilizing real-time data that more accurately reflects a customer's current purchasing status.
The healthcare industry marketing can benefit from Artificial intelligence in many areas of medicine. Chatbots can assist healthcare marketers by increasing on-site engagement and conversion or directing potential patients to respond online, improving the overall patient experience. Predictive analytics enables forecasting of demographic groups' future behavior and creating marketing campaigns specific to each demographic or analyzing spikes in patient visits by town or time by analyzing demographic trends. Youper is a healthcare technology company dedicated to making mental health care. Youper's A.I. tracks and improves users' emotional health using quick, personalized conversations and psychological techniques.
Companies have gradually shifted from a product-driven marketing strategy to a customer-centric one. Businesses focus on developing long-term relationships with their customers to survive in the competitive Artificial intelligence in marketing market. The motivation for the change is to understand their customers better and predict consumer behavior based on product purchases. A customer-centric strategy focuses on providing exceptional customer experience before and after the sale to increase order repetition and customer loyalty and encourage business development. AI-powered tools can produce ad copy, images, and videos based on the advertiser's objectives, target market, and messaging. This can help advertisers create ads more quickly and efficiently and lower the cost of working with advertising agencies.
