New research from Amazon Ads reveals that small and medium-sized businesses across the UK are bullish about the future impact of AI in advertising on their business. The research shows that 94% of SME marketing leaders believe that AI advertising will help support future growth by creating more time for strategic business priorities. The study also found that 69% of SMEs are already either using or actively testing AI tools for advertising purposes. However, many face challenges in implementation, with approximately half feeling overwhelmed by the number of tools available and others eager to adopt AI in advertising but uncertain how to begin.
Unlocking future growth
SME marketing leaders estimate they could save approximately 5.5 hours each week – about 30 working days annually – by implementing AI tools to create and manage their advertising campaigns. They plan to use this time to drive business growth in various ways: nearly one-third intend to focus more on sales activities, 28% on developing team skills, and 27% on exploring new marketplaces and channels they previously lacked time to pursue.
AI Advertising Efficiencies
SMEs also expect AI-enabled efficiencies over the next year through:
- Reduced time on data analysis (40%)
- Better predicted campaign performance (32%)
- Improved campaign reporting and optimization (25%), and
- Media planning support (22%)
AI advertising in action
Of the 69% of SME marketing leaders currently using or testing AI advertising tools, many are already seeing tangible benefits. Those implementing these tools are enhancing their advertising campaigns through:
- Automated visual creation (27%)
- Improved performance forecasting (22%), and
- Automated ad copy generation (19%)
These capabilities that were once available only to businesses with substantial resources. The study also found that SMEs expect to experience additional benefits to their advertising campaigns in the future, including:
- Improved audience reach (45%)
- Accelerated creative content generation (44%), and
- Automation of repetitive advertising operations (40%)
Amazon Ads introduced AI tools [in the UK] last year, which is speeding up the process and giving us rich data in terms of titles, bullet points and descriptions. We find it a huge part of our daily workflow.
– Craig Wilson, Co-founder of Gardeners Dream, Rising Star for Amazon Adsin the UK.
Confidence gaps remain
Despite widespread use and testing of AI tools, confidence isn’t universal among SMEs. The study found that 49% of marketing leaders feel overwhelmed by the number of tools available:
- 44% are excited about AI in advertising but don’t know where to start
- 33% admitted feeling like they’re “faking it” when using AI
This highlights the need for easy-to-use advertising solutions that can be adopted without technical expertise or a steep learning curve.
Control still matters
Despite these implementation challenges, SMEs have a clear vision of how AI best fits into their advertising strategy. The research shows that SMEs want to preserve human involvement in key decisions, particularly:
- Final creative approval (48%)
- Budget allocation (42%) and
- Understanding cultural and emotional context (36%)
This balanced perspective indicates that SMEs see AI as a powerful assistant that complements rather than replaces human expertise and judgment.
Time is a critical resource for SMBs. These entrepreneurs constantly balance multiple priorities – from marketing efforts to product development and customer service, often with limited resources. We’ve integrated generative AI capabilities into our existing advertising tools to make adoption practical and accessible. Tools like Amazon Ads’ AI image generator and AI creative studio help businesses create ads efficiently and enable SMBs to produce on-brand campaigns with just a few clicks, giving them back valuable hours to focus on other business priorities.
– Ludovic de Valon, Director of SMB Marketing and Product Marketing, Amazon Ads