How AI tools are driving business revenue growth

How AI tools are driving business revenue growth

  • 25.03.2025 14:02
  • businessday.ng
  • Keywords: AI, Google

Businesses are using AI tools in advertising to boost revenue, with studies showing significant growth for early adopters. Examples include Nigerian companies like FairMoney and Wakanow, which saw major increases in customer engagement and sales. While AI offers opportunities, it’s important to maintain brand authenticity when using generative AI.

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Estimated market influence

Google

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Analyst rating: N/A

Google is a major player in AI tools for advertising and search, driving significant revenue growth for businesses.

BCG

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Analyst rating: N/A

BCG collaborated with Google on a study showing AI's impact on revenue growth.

FairMoney

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Analyst rating: N/A

A digital bank in Nigeria using Google App campaigns for significant business growth.

Wakanow

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An online travel platform that used Google's AI tools to boost revenue and bookings.

Shopify

Shopify

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Analyst rating: Buy

Highlighted the importance of AI in streamlining campaign management and enhancing customer experiences.

Dimensional Insight

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Analyst rating: N/A

A data analytics company that raised concerns about generative AI diluting brand authenticity.

Context

Analysis of AI Tools Driving Business Revenue Growth

Market Trends

  • 60% revenue growth: Marketers using AI tools report 60% more revenue compared to their peers.
  • 15% daily searches: 15% of Google's daily searches are new, indicating a shift toward complex queries.
  • 80% advertisers: Over 80% of advertisers use at least one AI-powered search ad product.

Consumer Behavior

  • Gen Z reliance: Gen Z increasingly uses Google for shopping.
  • Voice and image searches: AI enables voice and image-based searches, driving user engagement.

Competitive Landscape

  • Adoption rate: High competition with 80% of advertisers already using AI tools.
  • Efficiency gains: 95% of marketers believe AI streamlines campaign management and enhances personalization.

Case Studies

  • FairMoney: Achieved a 47% increase in app installs, 30% rise in loan applications, and 24% boost in loans disbursed using Google App campaigns.
  • Wakanow: Doubled booking revenue and saw a tenfold increase in volume with AI tools.

Challenges

  • Authenticity risk: Generative AI may dilute brand voice if not properly managed. Kathy Sucich advises marketers to use AI-generated content as a starting point, not the final product.

Strategic Considerations

  • Opportunity recognition: Google's AI helps businesses identify new opportunities, driving growth.
  • Regulatory and ethical considerations: Potential long-term impacts on authenticity and branding require careful management.

This analysis highlights the transformative impact of AI in advertising and marketing, emphasizing both opportunities and challenges for businesses.