Artificial intelligence (AI) has quickly evolved from buzzword to vital business capability.  But how are leading Consumer Goods companies (CGs) are developing these gamechanging enhancements to their tech stack? In this Targeted Research report we examine how leading CGs are tackling the AI development conundrum and where they are on their AI investment roadmap.

Key AI Development Takeaways:

  • An overwhelming majority (70%) of CGs report that their organization’s leadership is committed to leveraging AI in business design and execution and implementing the technology in the field.
  • Just 12% of CGs report that they have the AI development firepower in-house to develop new initiatives without third-party assistance.
  • 59% of CG’s don’t believe they have comprehensive data sets to executive on a next-gen AI initiative.
  • 63% of CGs named demand planning as the area that could best benefit from an AI-based analytic approach.
  • In the next three to six months 21% of CGs will be leveraging AI to improve promotion execution, and 10% have planned upgrades for revenue growth management, supply chain execution and suggested ordering.
  • CGs demand fast ROI for their AI investments ― 69% expect a return within 12 months.
  • 47% of CGs do not have the internal talent pool to effectively manage their AI development needs.

Conclusion
Artificial intelligence has the potential to supercharge every major consumer goods business function, and savvy CGs are hard at work developing, field testing and deploying game-changing AI-powered technology that will set them apart from the competition. But they cannot do it alone. Constructing an internal team of AI experts is costly and difficult, and even the most advanced organizations rely on thirdparty partners to augment their internal resources, with some even turning AI development over entirely to a technology partner. AI is being leveraged throughout the consumer goods industry in various forms, but only through continued investment and commitment to its development will CGs reap the potential massive rewards.

Methodology
This research was conducted in June and July 202, targeting high ranking headquarters staff at major consumer goods manufacturers.

Source: Consumer Goods Technology