Capgemini Report Finds CMOs Struggling to Unlock AI’s Full Potential Despite High Optimism

Mumbai: A new report from the Capgemini Research Institute reveals that while nearly 70% of marketing leaders believe agentic AI will be transformative, only a small fraction are seeing tangible results. The report, titled “From Complexity to Clarity: How CMOs Can Reclaim Marketing to Build Competitive Edge,” highlights a growing disconnect between AI adoption and marketing effectiveness, calling for a fundamental reimagining of the CMO’s role.

Despite widespread use of generative AI (Gen AI)—now deployed by 7 in 10 organizations—only 7% of marketers strongly agree that AI has improved marketing effectiveness. Just 15% say their current setup enables them to focus on high-value work, and only 18% feel they are successfully personalizing customer interactions using AI.

CMOs Face Expanding Expectations, Shrinking Influence

The report finds that while CMOs are expected to drive growth, meet sales targets, and lead AI integration, their strategic influence is declining. Marketing budgets have tightened to an average of 5% of company revenue, and CMO involvement in critical decision-making has dropped from 70% to 55% in two years.

“CMOs today must market to both humans and agents, but many lack the resources, control, or clarity to meet these demands,” said Gagandeep Gadri, Managing Director, frog, part of Capgemini. “This is a pivotal moment to reposition marketing as a driver of enterprise growth.”

AI Adoption Grows, But Impact Remains Limited

• Gen AI’s share of martech investment rose from 64% in 2023 to 79% in 2025.
• Only 15% of marketing leaders report automation of low-value tasks.
• Most teams remain bogged down in manual work, limiting innovation and customer connection.

While optimism for agentic AI is high—nearly 70% see potential use cases—few organizations are actively testing or deploying it. Key barriers include lack of skills, data privacy concerns, security risks, and low trust in autonomous AI decisions.

Collaboration and Capability Building Are Critical

The report underscores the need for tighter CMO–CIO collaboration, especially as less than 40% of CMOs control martech budgets. Integrating sales and go-to-market strategies is a top priority for 61% of marketers, yet fewer than 25% report having shared KPIs—leading to fragmented execution.

To reclaim marketing’s strategic role, the report recommends:

• Redesigning operating models to integrate AI across the value chain
• Investing in AI, ethics, and business strategy upskilling
• Aligning data, systems, and teams to deliver measurable business value
• Building human-centric, future-ready marketing functions

Report Methodology

The findings are based on a July 2025 survey of 1,500 senior marketing executives across 15 countries, each from organizations with annual revenues exceeding $1 billion. The study also includes insights from interviews with approximately 30 CMOs and marketing leaders.