A recent MIT report revealed a sobering reality: 95% of organizations are not realizing ROI from their $30-40 billion investment in artificial intelligence(AI). Despite headlines about generative AI breakthroughs, most leaders are struggling to see measurable business benefits.
Why? The short answer: AI is different from previous digital transformations. Unlike past drivers like cloud computing or mobile, AI abstracts complexity in unprecedented ways. And generative AI is uniquely dependent on content as both input and output, which makes success or failure hinge on how an enterprise handles content.
From our research at Content Science and our experience with diverse clients, we see seven reasons organizations fail to realize AI ROI. The good news? Each has some clear steps forward.
History shows us that digital transformation is hard: Up to 69% of initiatives have failed due to missteps like myopic focus on technology, lack of vision, poor planning, or ignoring customer adoption. Unfortunately, many organizations are repeating those same mistakes with AI.
For example, Sitecore rolled out a composable cloud CMS with little customer education or communication. The backlash was swift—public complaints, frustrated users, and ultimately a failed attempt to make Gartner’s Magic Quadrant.
What to Do Instead:
AI introduces unprecedented unknowns. Unlike a CRM, CMS, DAM, or ERP rollout, the outcomes of AI systems aren’t always predictable. CIO Magazine recently reported that in the manufacturing industry alone security concerns with AI have tripled, accuracy worries have grown fivefold, and transparency issues quadrupled.
From IP leaks to inaccuracies and hallucinations, organizations are rightly concerned. But freezing AI adoption entirely means missing opportunities competitors are seizing and risking obsoletion. From the year 2003 to 2023, 52% of the Fortune 500 disappeared, largely due to rapidly changing technology and business models.
What to Do Instead:
Here’s the uncomfortable truth: most organizations’ content operations aren’t ready for AI. Our research todate shows 58% of enterprises are at level 1 or 2 maturity—still stuck in chaotic or piloting stages. That immaturity becomes a bottleneck for scaling AI.
Think of AI as a high-performance car. If your roads (content workflows) are full of potholes and dead ends, the car won’t get you far.
We’ve seen organizations succeed by investing in workflows and governance first. Cedars-Sinai, for example, ensured AI supported—not replaced—clinicians in their triage system, improving throughput with safety and trust intact.
What to Do Instead:
Many enterprises approach AI with a narrow goal: “How much faster can we produce content?” While speed matters, it’s only part of ROI. If the content is inaccurate, irrelevant, or fails to influence decisions, faster production just means faster failure.
For instance, Air Canada’s chatbot generated fake policies to give quick answers, ultimately resulting in legal action against the airline. A textbook case of efficiency without effectiveness.
What to Do Instead:
AI doesn’t start and stop at content creation. It touches every stage of the content lifecycle—from strategy and modeling to governance, training, measurement, and optimization across every phase of the customer journey. Yet too many organizations limit their AI experiments to one-off pilots in marketing or customer service.
Success stories like Novo Nordisk (cutting regulatory document drafting from 12 weeks to 15 minutes) or Anthropologie (boosting engagement with AI-driven personalization) came not from isolated tools but from integrated, end-to-end approaches.
What to Do Instead:
Many organizations rush straight to content generation as their first AI use case. On the surface, it seems like the fastest way to demonstrate AI ROI: Crank out articles, campaigns, emails, or product descriptions more quickly. But in reality, content generation is one of the riskiest and most challenging AI applications.
Why? See number two above and also note:
By contrast, other AI use cases can be less risky and more immediately impactful. AI can enhance content analysis by identifying gaps, redundancies, and opportunities in massive ecosystems. It can help engineer personalization at scale, tailoring messages and visuals to audiences with precision. It can strengthen governance by enforcing consistency and compliance as well as helping resolve content debt. And it can advance content measurement and intelligence, surfacing insights about effectiveness that humans alone might miss.
In other words, consider whether ROI can come faster when AI isn’t asked to replace human content creation, but to augment the intelligence, governance, and impact of your content systems.
What to Do Instead:
Another major obstacle is the temptation to build AI solutions in-house, even when proven, off-the-shelf tools imbued with AI exist. That same MIT study we mentioned earlier also found internal builds of AI solutions fail twice as often. This aligns with broader industry observations collected by Andreessen Horowitz that as the AI ecosystem matures, enterprises are increasingly choosing to buy rather than build.
Why is buying often smarter?
But “buy” does not mean “lock in blindly.” The best path forward is to balance build and buy.
What to do instead:
The MIT report is a wake-up call: AI won’t magically deliver ROI. Success requires avoiding old mistakes, managing new risks, maturing content operations, measuring effectiveness (not just efficiency), and embracing an end-to-end content approach.
Enterprises that do this are already seeing measurable returns—from the time it takes to draft regulatory documents cut by 99% for Novo Nordisk, to GTM content production accelerated by 50% for Pfizer, to millions of advisor hours saved for Merrill Lynch. And that’s only the start of possible rewards.
Enterprises who don’t follow suit risk wasted investment, reputational damage, or worse. In the era of AI, the organizations that thrive will be the ones that realize a simple but powerful truth: AI transformation is driven by technology, but it must be led by content. If even a third of that $30-40 billion investment had gone toward content leadership, strategy, and operations, we’d see much more progress in enterprise adoption of AI—and much higher returns.
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