AI adoption: Aussie marketers lagging

Australian Marketers and AI Adoption

According to ACAM co-founder Douglas Nicol, marketers recognize AI's potential but often lack clear direction. Research indicates that many Australian marketers are just beginning to prepare for and adopt AI practically. The inaugural AI Readiness Benchmarking Report from the Australian Centre for AI in Marketing (ACAM) found that over half of marketing teams are at the "Beginner" level in AI maturity. The study surveyed 60 Australian CMOs and introduced the first AI Readiness Score to evaluate leadership, ethics, data, and governance capabilities. Mediaweek spoke with Douglas Nicol to discuss the report, the risks of prematurely adopting AI, and the obstacles to progressing in AI readiness.

Key Questions and the AI Readiness Benchmarking Report

Douglas Nicol stated that ACAM consistently encountered three questions when assessing AI adoption among Australian marketing teams: "Are we ready for AI as a team?" “Is our marketing strategy AI-ready?” and “Am I, as a leader, prepared for AI?” Nicol explained that they aimed to provide data to guide Australian marketers on best practices and competitive positioning. The AI Readiness Benchmarking Report attempts to quantify AI preparedness for marketing teams across strategy, skills, ethics, leadership, data, and governance and ACAM intends to publish the benchmark annually to monitor industry progress. Nicol hopes that every Australian marketer will confidently and clearly adopt AI, viewing it as a means to improve marketing rather than just cut costs.

AI Readiness Score and Team Tiers

ACAM's research introduces the AI Readiness Score, a framework for benchmarking AI adoption progress. The score assesses team skills, leadership, governance, strategy, data, ethics, and measurement, categorizing marketing teams into three tiers: Beginner (52%) with early interest but minimal implementation, Emerging (40%) showing momentum but lacking consistency and leadership confidence, and Advanced (8%) with strong leadership, strategic alignment, and integrated AI capabilities. Nicol believes the score will benefit both leadership and marketers, allowing them to holistically plan using the seven dimensions identified.

Challenges and Barriers to AI Progress

Nicol emphasized that AI readiness requires a strategic and cultural shift, with leadership viewing it as a business opportunity for growth, not just cost reduction. While most marketing teams are in the "Beginner" category (52%), time constraints, ethical concerns, and skills gaps hinder their advancement. Many marketing teams lack the time for long-term planning, and risk and compliance issues slow progress. 61% of CMOs cite skills gaps as the main obstacle to AI adoption. Nicol believes that while tool competence is important in the short term, the long-term focus should be on improving marketing, driving growth, and reducing costs through AI.

Priorities for GenAI Deployment and Ethical Considerations

While GenAI is often used to speed up content production, many marketers are focusing on customer research. According to the report, 61% of CMOs prioritize research for AI deployment, above strategy (27%) and media buying (27%), but behind personalization (75%), analytics (80%), copy/design (80%), and process automation (88%). Nicol sees AI as a transformative opportunity, enabling affordable and frequent customer insight. This shift could lead to data-informed decisions, moving away from instinct. However, many Australian marketing teams are unprepared for AI risks related to ethics and governance. The report found that 48% of CMOs lack an AI ethics or risk framework, and those with a framework often find it's not well understood. Nicol warns that this poses a brand risk, especially as generative AI becomes customer-facing. Without AI policies and ethical guidelines, marketers risk repeating past mistakes by adopting technologies that don't align with brand and business strategy.