A recent study conducted by leading digital marketing agency Embryo has exposed the substantial financial advantages enjoyed by UK businesses incorporating artificial intelligence (AI) into their core operations.
The study disclosed that AI-driven companies, across 53 different sectors, rake in over £9 million more in annual revenue compared to their non-AI counterparts.
Embryo’s comprehensive analysis encompassed the financial performance and growth trajectories of 3,715 AI-focused companies in the UK against a massive sample of 5,418,323 non-AI companies in the same sectors.
The findings highlighted a staggering 152 percent higher average revenue for businesses making AI an integral part of their service offerings.
The research, based on data sourced from the widely trusted platform Data City, revealed an exponential growth rate of 12.2 percent for AI-adopting businesses, overshadowing the 6.5 percent estimated growth rate of their non-AI counterparts.
AI has “game-changing potential”
James Welch, Chief Innovation Officer at Embryo, emphasised the transformative shift occurring among UK businesses as they increasingly integrate AI into their core functions. “Business owners are becoming increasingly more aware of AI’s capabilities and its game-changing potential to accelerate growth and boost revenue efficiently,” Welch commented.
He further noted that as more companies become educated on the benefits of AI, the momentum behind this transformative trend is expected to escalate in the years to come.
The explosive growth observed among AI-driven businesses is attributed to the surging adoption rate, estimated at 12.2 percent year-on-year, outpacing traditional businesses. As AI becomes more accessible, businesses are seizing the opportunity to enhance efficiency, overall performance, and competitive advantage, leading to rapid growth.
Machine learning
Among the industries surveyed, the ‘data analysis’ sector emerged as the front-runner, constituting 41 percent of the total 3,715 UK AI companies studied. Following closely behind was ‘machine learning,’ commanding a 31 percent share.
Moreover, the study highlighted a diverse application of AI across various industries, with notable increases in adoption rates for ‘image processing’ (10%), ‘green tech’ (10%), and ‘natural language processing’ (10%) between 2022 and 2023. This trend underscores the versatility of AI, which is expected to expand across even more sectors in the coming years.
James Welch anticipates a continued surge in AI adoption, emphasising that the automation of routine tasks, advanced data analytics, and machine learning algorithms empower companies to make informed decisions, streamline processes, and significantly increase their revenue streams. As AI continues to permeate various facets of business, the next few years are poised to witness its application in areas yet to be contemplated.
Amelia Brand is the Editor for HRreview, and host of the HR in Review podcast series. With a Master’s degree in Legal and Political Theory, her particular interests within HR include employment law, DE&I, and wellbeing within the workplace. Prior to working with HRreview, Amelia was Sub-Editor of a magazine, and Editor of the Environmental Justice Project at University College London, writing and overseeing articles into UCL’s weekly newsletter. Her previous academic work has focused on philosophy, politics and law, with a special focus on how artificial intelligence will feature in the future.
