AI Content material Is 4.7x Cheaper Than Human Content material [+ New Research Report]

We surveyed 879 entrepreneurs to grasp how generative AI is altering content material advertising and marketing: the workflows, the prices, the outcomes…and the dangers.

On this article, we’re trying particularly on the prices and budgets related to AI content material. How a lot does AI content material price? Are firms investing extra, or much less?

• AI-generated content material is 4.7x cheaper than human-written content material.
• The typical price per AI-generated weblog publish is $131, in comparison with $611 for human-written posts.
• Firms utilizing AI spend a mean of $2,475 per thirty days on content material, in comparison with $2,442 for non-AI customers.
• 51% of firms plan to extend their spending on AI-generated content material.
• On common, firms spend simply $188 per thirty days on AI instruments.
• 38% of respondents report saving cash on writers resulting from AI adoption.
• 64% of firms spend lower than $500 per thirty days on AI content material instruments.

We requested respondents how a lot they spend to create a single weblog publish. Unsurprisingly, AI-created content material is less expensive than human-written content material.

On the lowest finish of the spectrum, 87% of AI customers reported a value of $0–100 per weblog publish, in comparison with 39% of non-AI customers.

On the excessive finish, 11% of non-AI customers reported spending larger than $1,000 per weblog publish, in comparison with simply 2% of AI customers. 4% of non-AI customers report spending larger than $5,000 per weblog publish.

We used the midpoints for every vary to calculate an approximate weighted common price. For AI-generated content material, this common price was $131; for human-created content material, it was $611, or 4.7x larger.

Whether or not or not they use AI, our respondents spend the identical quantity on their content material advertising and marketing methods.

The typical month-to-month spend on content material advertising and marketing was nearly the identical within the AI and non-AI segments: $2,475 and $2,442, respectively.

Given the lowered marginal price of AI content material and the elevated publishing frequency it permits, this implies that AI content material is primarily a cost-cutting measure, permitting firms to publish extra content material with the identical finances—as an alternative of unlocking radically new or totally different content material methods.

Segmenting the information additional by firm dimension, AI use appears to avoid wasting essentially the most cash for the smallest (micro) and largest (enterprise) firms:

What the consultants suppose

“It’s attention-grabbing that firms utilizing AI aren’t essentially spending much less—they’re producing extra with the identical finances. Though we’re nonetheless in a tricky budgetary atmosphere, firms are nonetheless investing to shift from the fixed battle of creation to specializing in technique, viewers insights, and measuring precise enterprise impression. We’ve seen the identical at Campfire—the efficiencies AI has created has allowed us to experiment an increasing number of shortly (eg, AB testing advert copy at scale), and we’ve really invested extra in our personal content material in Q1 as a result of we really feel there are economies of scale to AI use that we couldn’t generate earlier than.”

“One technique to learn this knowledge: content material budgets are comparable throughout AI and non-AI-using firms. As a substitute of utilizing AI as a justification for growing spend, AI is as an alternative getting used to make the identical finances go additional, creating extra content material for a similar complete price.”

Unsurprisingly, nearly none of our respondents plan to cut back their spend on AI content material.

Over half of respondents plan to extend spend on AI content material within the subsequent 12 months (17% “enhance considerably” and 34% “enhance”). 43% plan to maintain their spend the identical, whereas simply 6% plan to lower spending (5% “lower” and 1% “lower considerably”).

Grouping knowledge by firm dimension, micro (1–9 worker) firms are the most certainly to extend their spend, whereas enterprises (1,000+ workers) are the least more likely to lower their spend:

AI instruments are extraordinarily low-cost. Virtually two-thirds of our survey respondents (64%) spend lower than $500 per thirty days on content material instruments.

On the low finish of the spectrum, 47% of respondents reported spending $1–100 on AI instruments per thirty days, with 15% spending $101–250. Solely 2.6% of respondents spend over $1,000 per month.

Utilizing the midpoints of every vary, we will calculate an estimated weighted common spend of simply $188 per thirty days.

What the consultants suppose

Generative AI has been so disruptive partially due to its low price. We have now entry to a freemium SaaS product that may write articles, generate code, and create photos. API calls have gotten cheaper and cheaper too, so even superior customers with complicated workflows can entry AI for very low costs.

Though it appears potential that AI content material will eat away at the marketplace for freelance writing, our knowledge recommend that AI content material is way from a wholesale alternative.

When requested how a lot cash AI customers saved per thirty days, the most typical response (45%) was that they have been not saving cash.

38% of respondents reported decreasing their expenditure on writers and freelance writers because of adopting AI. Solely a really small proportion (2.99%) reported saving over $5,000 per month.

Probably the most generally reported financial savings fell into the $1–500 and $501–1,000 vary. Utilizing the midpoints of every vary we will calculate an estimated weighted common saving of $603.

What the consultants suppose

“AI will not be right here to switch content material groups—it’s right here to make them extra environment friendly, inventive, and strategic. 

The manufacturers that put money into AI coaching now may have a transparent aggressive edge, producing high-quality content material quicker whereas sustaining authenticity and model voice.”

“One thing we’ve seen with generative AI is that it may unlock new sorts of client demand, as an alternative of merely changing present demand. Thus far, AI search appears additive to conventional search—and the identical could also be true for entry to content material advertising and marketing. AI may permit firms that couldn’t in any other case afford any sort of content material advertising and marketing to entry it for the primary time.”

Wish to learn the way entrepreneurs use AI for content material creation, or how properly it ranks relative to human-written content material?

You possibly can obtain and skim our full PDF report right here (no e-mail required): The State of AI in Content material Advertising.