Many brands moved marketing functions in-house but have not applied the same playbook to AI. Some companies pursue hybrid models, using internal AI for customer experience and research while outsourcing complex or resource-intensive tasks like synthetic audience creation. Brands are actively testing AI across the marketing funnel to assess cost, time savings, and effectiveness for brand building. Some advertisers have retreated from certain AI platform solutions. Other firms are building bespoke in-house AI systems. Industry analysts predict AI will alter in-housing decisions once technologies and operational foundations become more stable.
The industry has moved functions in-house, establishing playbooks from everything from social to programmatic media buying. But brands are not using the same in-housing play for AI.
Take U.S. Bank. The financial institution is using AI-powered marketing tools in everything from the customer experience to research analysis. But for heavier marketing efforts, like building synthetic audiences to serve as focus groups for real-time feedback, that's handed off to Supergood, an ad agency owned by the holding company Supernatural AI. There are a few reasons as to why a hybrid approach - mining out some AI functions while retaining others - is appealing, says Michael Lacorazza, CMO at U.S. Bank. On one hand, the brand doesn't want to break up with its agency partners. On the other, it's a heavy lift with tech that's "not very user friendly," making it cumbersome for a brand to adopt, he said.
"Over time, AI will likely shake up many brands' attitudes about in-housing different parts of their advertising and marketing operations. But the ground beneath everyone's feet needs to firm up a bit first," said Max Willens, senior analyst at eMarketer.
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