This Week in Marketing: A Look at AI, Consumer Behavior, and Financial Fitness

1. Marketers Embrace AI: A Growing Trend

The use of Artificial Intelligence (AI) in marketing is on the rise. Over half (54%) of marketers report using AI in their current roles, a significant increase from 37% just a year ago. Notably, marketers are leading the way in AI adoption compared to other industries like finance (16%), engineering (17%), education (22%), and even technology (39%). Furthermore, a substantial portion of marketers leverage AI during their job search, with 26% using AI tools for applications and 34% planning to do so in the future (Source: Hays).

2. UK Online Spending on the Rise

The UK’s online retail sector continues its positive trajectory. March 2024 saw online spending reach £8.5 billion, marking a 3.7% year-over-year growth and the fifth consecutive month of increase. While holidays like Mother’s Day and Easter boosted sales, Easter weekend spending dipped slightly by 6% compared to the previous year. This upward trend suggests growing consumer confidence, but also a rise in shoppers relying on Buy-Now-Pay-Later (BNPL) services to manage costs. Notably, BNPL usage for online purchases reached £1.35 billion in March, representing an 8% increase and 15.9% of total online spending (Source: Adobe Analytics).

3. British Consumers Prioritize Quality Over Flaunting Wealth

New research by Effie and Ipsos reveals an interesting consumer trend in Britain. Nearly half (48%) of Britons prioritize spending extra on high-quality products. However, only 10% express a desire to display wealth through possessions or experiences. This suggests a growing embrace of “quiet luxury” – valuing quality over conspicuous consumption. The study also explores success metrics for Britons. Interestingly, treating others well (82%) is considered more important for achievement than hard work (77%). Additionally, skills and talent (64%) are seen as key success factors, compared to a wealthy background (22%). While kindness is valued over wealth, there’s a perceived recognition gap. Over half (56%) of Britons believe they are successful, but only 34% feel acknowledged for their achievements (Source: Effie and Ipsos).

4. Online Ads Top the ASA Complaint List in 2023

The Advertising Standards Authority (ASA) reported online ads as the most complained-about media in 2023, receiving 20,944 complaints for around 17,174 ads. This represents a 14% increase from 2022. Television followed with 13,604 complaints (12% increase) for 4,399 ads. Email marketing overtook outdoor advertising in 2023, with 1,210 complaints against 1,058 ads. In total, the ASA processed 39,034 complaints regarding 25,041 adverts, leading to the withdrawal or amendment of 27,378 ads. The ASA’s AI-powered system also monitored millions of ads in 2023, with projections exceeding 10 million for 2024 across all channels (Source: ASA).

5. Marketers Acknowledge Need for Financial Fluency

A Marketing Week poll on LinkedIn revealed that nearly 70% (69%) of marketers believe the industry needs to improve its financial literacy. The survey, involving 377 participants, highlights a desire for enhanced financial understanding within marketing teams and the industry as a whole. One in five (19%) even consider a lack of financial skills in marketing a “major issue”. Only 12% of respondents believe their industry or team possesses strong financial fluency (Source: Marketing Week).