UBS gave a comprehensive look at the artificial intelligence revolution and concluded that the “visible” effect is at least 3 years for consumer companies

“It has become an essential and competitive strategic focus across the entire value chain, not just a tool for efficiency,” the authors write. They see extensive use, from prediction to the supply chain automation to product recommendations, and they believe that it should provide a “more enjoyable customer experience” in addition to improving processes. They add that the use of artificial intelligence will be a crucial factor to move forward separating the winners and losers in the consumer space. It is very early.

Despite prominent state studies and high executive interest, UBS finds that the direct financial and quantitative measurement of artificial intelligence remains limited, as it simply shows profits and losses, or P&L: “The impact of artificial intelligence on P&L is not material, but we expect it to be visible in the next three years.” Meanwhile, although many major headlines about the dismissal of the behavior associated with the prosecution, UBS finds few evidence of discounts in the number of employees: “We have heard some anecdotal evidence but not within our coverage.” These applicable discounts may come, though, though, add UBS.

Depending on the in-depth interviews with analysts and the company’s disclosure in more than 20 global sectors, the report shows how artificial intelligence restores everything from supply and marketing chains to customer experience, while emphasizing the most important changes-competitive divisions-so far. “Most consumer companies expect the impact of artificial intelligence more clear in 3 to 5 years,” the note added.

Artificial intelligence moves from the back office to the meeting room

Central topic: Artificial intelligence has moved beyond being the background efficiency tool to an essential part of the work strategy. Big companies directed towards retail and consumers, especially Wal MartThey appoint the executives dedicated to the transformation of artificial intelligence, which confirms its increasing importance. Amnesty International has doubled in collective calls to consumer sectors since 2022, and major investments are made not only to simplify operations, but also to energy growth through personal recommendations, more intelligent stock management and targeted marketing.

The leading companies have found a wide range of artificial intelligence applications.

• Wal Mart Use recommendations and assistants moved by AI to customize the shopping experience and improve loyalty. Its automation is attributed to its supply chain of up to 30 % discounts in unit costs in loyalty centers.
• L’Oréal It depends on artificial intelligence to improve marketing and innovation of products, with 10 % to 15 % of productive gains in advertising tasks due to a dedicated Betiq tool, which expects to cover 60 % of its marketing spending by 2024.
• P & G Artificial intelligence is used for logistics services, and has set an amount from 200 million dollars to $ 300 million from savings from scheduling more intelligent trucks.

Globally, companies facing the consumer also publishes Amnesty International for tasks ranging from product design (for example, ROBAM LLM, which is called “gourmet gourmets” in China), to dynamic pricing, to scope the most intelligent workers. In Australia, travel and retail companies were killed by saving costs and improving margins of automation that supports artificial intelligence.

It will concern arrogance

Repeated ready -made meals are that owners of large capitalist positions are scheduled to benefit in the short term to average. These players, like Wall Mart, Home Depotand coca colaL’oréal, Midea and Haier in China can better carry investments and need customer data to increase the advantages of artificial intelligence. On the contrary, smaller and less advanced companies may struggle technologically for competition, accelerate the unification of the industry or leave the followers in an improper position.

While the patterns of adopting artificial intelligence are widely similar all over the world, the effects vary according to the region and the sector. Retail in the United States and restaurant chains focused on operational efficiency and customer participation. The European luxury sector, most of the craftsmanship and brand, should witness a lower effect in the near -term intelligence. In Asian markets, market leaders take advantage of artificial intelligence to push products differentiation and cost benefits, but there is little evidence of the impact of the wide profit so far.

Only a few companies are usually industry giants with deep sinuses and rich data groups, reporting clear improvements in margins or revenues that are attributed directly to the adoption of artificial intelligence. Most companies, especially smaller companies, have not yet seen P&L improvements. In many cases, the gains of artificial intelligence are reinforced to stimulate growth, rather than decrease to minimal.

Expectations: gains to achieve more than 3-5 years

Most analysts expect the real financial benefits – the higher margins, the growth of revenue, and the productivity of work “visible” within three to five years, with artificial intelligence applications mature and become more deep in basic commercial processes. Meanwhile, a wave of experimentation – especially in marketing, logistical services and customer experience – places the basis for a possible transformation contract for consumer industries.

At the present time, UBS concludes that despite all the excitement, the effects of the artificial intelligence revolution on the profits of the consumer sector and the workforce structure began to feel a feeling.

For this story, luck The artificial intelligence is used to help with a preliminary draft. Check an editor of the accuracy of the information before publishing.