65% of executives expect the use of AI to drive growth in 2025 – Econsultancy

Adobe’s latest AI and Digital Trends Report, produced in partnership with Econsultancy, suggests that 2025 is the year where executives expect generative AI to truly transform how brands operate. 

Based on a global survey of 3,400 executives and 8,301 consumers, the report provides a deep dive into how businesses and consumers view AI’s role in shaping the next era of digital experiences – from improving ways of working to meeting expectations around personalisation to the emergence of virtual shopping assistants. 

However, the road ahead isn’t without its hurdles. Data silos, the need for transparency, and moving projects beyond the experimental phase all stand in the way of unlocking generative AI’s potential. 

The other thing the results from this research reveal is that this shouldn’t be seen as just another hype cycle. Instead, it’s a reality check on what’s working, what’s not, and where we’re headed next.

Generative AI is offering tangible benefits – but the challenge is in moving from pilot to proof

Senior executives who are using generative AI point to tangible benefits – with 53% reporting that it has led to significant increases in productivity and efficiency in teams, while 50% report significantly faster content ideation and production. Close to half (49%) report significant improvements to decision-making using AI-driven insights. 

Senior executives’ assessment of benefits experienced from generative AI over the past year

However, progress is not straightforward. For the majority of organisations, the challenge is in moving from pilot to proof. While more than half are either undertaking pilot projects (27%) or evaluating the effectiveness of solutions (27%), just 12% of executives say they have working solutions in place and can demonstrate clear ROI. 

Without a solid data foundations, clear goals, and a way to track success, organisations risk sinking investment into AI without the ability to see and understand its impacts. Given that 65% of senior executives expect the use of AI and predictive analytics for customer retention and loyalty to drive growth in 2025, transitioning from testing to full-scale adoption will be the key to unlocking these opportunities. 

Closing the experience expectation gap

Consumers’ experience expectations are not being met. According to the report, 78% of consumers expect a seamless experience across digital and physical channels, yet only 45% of brands meet this expectation.  

Similarly, 71% of consumers expect brands to anticipate their needs and provide relevant information or offers, but only 34% say brands deliver this. That’s a huge disconnect. 

Achieving this kind of personalised customer experience requires a strong data foundation. However, a staggering three-quarters (76%) of practitioners report that data fragmentation results in them being unable to deliver personalisation in real time. This issue spans every aspect of personalisation, from understanding customer behaviour to delivering consistent messaging at critical moments. 

Working with disjointed, and disconnected data is like trying to navigate a city with only half a map – you need the full picture to make the right moves. 

That’s why businesses are increasingly recognising the need for a unified data platform. Indeed, 30% of senior executives are planning to increase their tech and data transformation budgets by more than 10% in 2025 to get their data house in order before going all-in on AI-driven personalisation. Without a strong data foundation, AI just isn’t as effective. 

Where brands get this right, though, the results are impressive. For instance, Danish telecoms business Telmor combined customer understanding and AI personalisation to boost sales by 11%. 

Generative AI in the customer journey

Once companies have their data houses in order, generative AI presents new opportunities for customer engagement. The report found that 19% of companies using AI-powered chat and customer support tools are already seeing a return on investment.  

Consumers are getting more comfortable with AI handling customer interactions. When asked to choose between an AI-powered chatbots or assistants versus websites or FAQs, 49% of people opted for the chatbot for scheduling appointments, and 47% for help when placing an order.

Consumers’ preferred channel when seeking information and support: AI-powered chatbots or assistants versus websites or FAQs

AI-driven customer engagement is already a part of a growing number of consumers’ purchase journeys. During Cyber Monday 2024, retail site traffic in the US from chatbot interactions skyrocketed by 1,950% compared to the previous year.  

Looking ahead, we may see a greater, more autonomous role for AI – particularly among younger shoppers. Nearly half of consumers under 45 feel positive about the idea of a virtual shopping assistant that will add personalised items to their cart on their behalf.  

Trust and transparency: A dealbreaker for AI?

Consumers are getting savvier. Nearly half (45%) want visibility and control over how data is used, and a third want to know how AI is making recommendations. Brands shouldn’t look to hide behind algorithms – transparency about what data is used where is increasingly non-negotiable. 

Companies that succeed with AI will be those that make it clear how they’re using data and give users control over their preferences. It’s all about building trust, and when brands get this right, this leads to better experiences and stronger customer relationships. 

So, how can businesses make AI work for them rather than just chasing the hype? The report lays out a few key takeaways: 

1. Use AI to solve real problems. AI isn’t just about automation; it should drive meaningful value for both businesses and customers. 
2. Fix the data fragmentation problem. Unified data strategies are essential for effective AI implementation. 
3. Invest in dynamic, behaviour-driven personalisation. Ditch static, rule-based systems and embrace technology that adapts in real-time. 
4. Prioritise human-AI collaboration. AI should complement human strengths, not replace them. 

AI is revolutionising customer engagement, but it’s not just about technology: it’s also about people. The most successful brands will be those that strike the right balance between automation and human connection, using AI to enhance experiences rather than replace them. 

The future isn’t AI or humans. It’s AI and humans working together to create smarter, more meaningful interactions. And that’s where the real magic can happen. 

For more results and the roadmap for AI success in 2025, download the Adobe Digital Trends 2025 report, conducted in partnership with Econsultancy.