Businesses Face Rising Costs as AI-Generated Content Falls Short

In recent months, businesses have increasingly turned to artificial intelligence (AI) for content creation, only to find themselves grappling with the repercussions of subpar outputs that necessitate human intervention. The trend is underscored by the experiences of professionals like Sarah Skidd, a product marketing manager, who recently shared her challenges in addressing AI-generated content that failed to engage potential customers.

Skidd recounted a project where she was hired to revise website copy created by generative AI for a hospitality client. "It was the kind of copy that you typically see in AI outputs – just very basic; it wasn’t interesting," Skidd noted. The task, which took her approximately 20 hours, cost the agency $2,000. Instead of minor edits, the entire content required a complete overhaul, highlighting the limitations of current AI technologies.

The growing reliance on AI tools, such as OpenAI's ChatGPT and Google's Gemini, has been driven by a desire to streamline operations and cut costs. According to a report by the Federation of Small Businesses published in April 2023, over a third (35%) of small businesses plan to expand their AI usage within the next two years, with this figure rising to 60% among those targeting rapid sales growth. However, this rush to adopt AI often overlooks the potential pitfalls associated with its implementation.

Sophie Warner, co-owner of Create Designs, a digital marketing agency based in Hampshire, UK, has observed a significant uptick in clients seeking assistance after encountering issues with AI-generated solutions. "Clients are now going to ChatGPT first rather than consulting us directly," she said. This shift has sometimes led to disastrous outcomes, such as website crashes caused by inappropriate code generated by AI.

Warner recalled an incident where a client opted to use ChatGPT for instructions on updating an event page. The result was a costly error that rendered their website inoperative for three days, resulting in an estimated loss of £360. Warner emphasized the need for educating clients about the risks associated with AI, noting that fixing these mistakes often incurs additional costs beyond their original project budgets.

Prof. Feng Li, associate dean for research and innovation at Bayes Business School, cautions businesses against overestimating the capabilities of current AI tools. He explained, "AI is known to hallucinate, generating content that is irrelevant, made-up, or inconsistent. Human oversight is essential. Poor implementation can lead to reputational damage and unexpected costs, often requiring rework by professionals."

In Gujarat, India, copywriter Kashish Barot echoes similar sentiments, revealing that she spends a considerable amount of time editing AI-generated content to enhance its readability for US clients. Despite the rapid turnaround promised by AI, Barot insists that quality editing requires time and effort. "Good copyediting, like writing, takes time because you need to think and not just curate as AI does."

The current landscape illustrates a disconnect between businesses’ expectations of AI and the reality of its limitations. Many organizations are experimenting with AI without a clear strategy or understanding of the technology’s capabilities, as noted by Prof. Li. He emphasizes that companies must evaluate whether they possess the necessary data infrastructure and governance processes to effectively leverage AI.

OpenAI acknowledges that while ChatGPT can assist with a variety of tasks, the quality of the output is contingent on the user’s familiarity with AI and how effectively prompts are crafted. Each model of ChatGPT has varying capabilities, which can affect the outcome of the generated content.

Warner remains ambivalent about the future of AI in her industry. "While it seems like a quick and inexpensive option, AI rarely takes into account unique brand identity, target demographics, or conversion-focused design," she stated. She believes that while AI can serve as a helpful tool, it cannot replace the nuanced understanding and expertise that human professionals bring to the table.

As the debate around AI’s role in content creation continues, it is evident that businesses must tread carefully. The initial allure of cost-saving measures may lead to unforeseen expenses and challenges that could outweigh the intended benefits. Moving forward, the integration of AI into business practices will require a more nuanced understanding of the technology’s limitations and a commitment to maintaining quality and authenticity in content creation.