From Hype to Hero: A Look at Artificial Intelligence in the Consumer Packaged Goods Industry - Bain & Company

Most CPG companies (CPGs) have struggled to find solid footing in a turbulent industry. Bain research has found that 34 of the world's top 50 consumer goods companies experienced a decline in revenues, profits or both in recent years,1 forcing CPG executives to find new ways to compete. Emerging technologies, including AI, have given a sharp advantage to firms in other sectors. Companies at the forefront of AI are household names, known for changing the playing field and reinventing their industries: Amazon, Facebook, Microsoft, Apple. To stay ahead, these leaders are investing heavily in technology. Amazon, for example, ranks No. 1 in R&D, spending more than 10% of its revenues on IT while retailers manage 1% to 2%.