ii
A thriving digital ecosystem depends on
digital advertising powered by innovation,
creativity and efciency. We are pleased to have
worked with Xaxis on this research which highlights
that the application of Artifcial Intelligence in
digital advertising can deliver better targeting,
optimisation and business growth.
— Townsend Feehan, CEO, IAB Europe
Executive Summary
Introduction
Methodology & Participants
What is AI
The Current Application of AI in
Digital Marketing
Achieving Core Business and Digital
Advertising Objectives with AI
Challenges and the Future of AI
Conclusion361016
CONTENTS
1EXECUTIVE SUMMARY
The Understanding the Current and Future Impact of Artifcial
Intelligence survey undertaken by Xaxis in association with IAB
Europe sought to explore how Artifcial Intelligence (AI) helps
brands to achieve business and digital advertising objectives.
The results overall highlight how AI is a valuable tool for all
stakeholders, producing tangible business outcomes.
° 80% of those surveyed, viewed AI as the next
industrial revolution.
° Almost 80% of respondents have a good understanding
of AI. Intermediaries were
the most confdent in
understanding AI with 91%
somewhat or very confdent.
80% of agencies said
they felt confdent in their
understanding.
° AI has been seen to have had a positive impact/infuence
on business objectives.
Nearly 50% of those
surveyed felt AI improved
productivity and increased
competitive advantage.
° AI was seen to facilitate efective targeting and
was able to enhance digital
advertising objectives – right
person, right place, right time.
Indeed, better targeting was
cited by 61% of agencies;
43% ofpublishers and 53%
ofintermediaries.
° Furthermore, identifying better qualifed users/
audience was cited by 30% of
advertisers; 55% of agencies;
40% of publishers and 42% of
intermediary stakeholders.
° Respondents highlighted the key concerns for the future of
AI as relying less on human
control (47%), and gaining
trustworthy insights (55%).
THE KEY FINDINGS OF THE SURVEY ARE:This survey, titled 'The Understanding
the Current and Future Impact of
Artifcial Intelligence’ identifed that
decision makers from all parts of the
industry recognise the signifcant value
AI can bring to achieve results across
the digital advertising ecosystem.
The core application of AI in digital
advertising is currently in delivering
better audiences and deeper and
faster analytics. In terms of overall
business outcomes, AI was seen
to deliver improved productivity,
faster innovation and growth. 53% of
agencies believe AI delivers faster
and deeper marketing analytics.
Many respondents agreed with the
statement that ‘AI will be the next
industrial revolution’, with the potential
to deliver instrumental change in the
digital advertising industry.
However, there is work to do in terms
of reliability and trust; respondents
highlighted the key concerns facing
AI in digital advertising as relying less
on human control, and the ability to
gain trustworthy insights. It’s about
maintaining a positive and productive
balance between AI, a human
workforce, and end customers, the
study found.
The most powerful, and largely unfulflled,
potential of AI lies in the bigger picture,
in its ability to optimise towards business
outcomes rather than simple metrics.”
— John Wittesaele. President EMEA, Xaxis。