AI in Social Media Market Research Report, by Technology (Deep Learning, NLP), Application (Sales & Marketing, Customer Experience Management), Component (Solution, Service), Enterprise Size (Large Enterprise, SME), End-User— Global Forecast till 2030

AI in Social Media Market overview:

The AI in Social media market is projected to grow by more than USD 5.32 Billion by 2030 at a CAGR of 28.70% over the forecast period. Social media platforms are growing tremendously in recent times and gathering an unlimited amount of data every day. To properly align and manage the data piles, artificial intelligence is utilized in such frameworks. Chatbots which are the most prominently utilized artificial intelligence software has resolved over 65% of the customer’s queries and over 1.4 billion people are utilizing them daily. The advent of such software has enabled the assuring interaction with the customers and computer systems. Several other application of AI which includes predictive analysis has aided the growth of the social selling and other businesses based on social media.

The increased adaptation of AI technologies in the social media sector and AI-based smartphones has increased the overall growth of AI in the social media industry. The unstructured data that is generated from social media utilizes machine learning and AI technology to derive the data patterns and thereby augmenting the business growth. Self-learning applications and automated social media applications have impacted the growth of the AI in Social media industry in recent years.

COVID 19 Analysis:

The COVID 19 pandemic has forced the governments to impose stringent laws on movement in several countries. Hence the residents of several countries are increasingly utilizing e-commerce to stock up their utilities. The advent of mobile wallets has replaced email notifications in the e-commerce industry. Such changing trends in e-commerce have hugely impacted the growth of AI in the social media industry in recent times. Additionally, the social media news reporting regarding the coronavirus has been providing deeper insights on the situation in several countries. The delay in the traditional way of passing the news has been replaced by the social media platforms like Twitter. The public health care information and tracking down the outbreaks have helped people utilizing social media platforms.

Market dynamics:

Market drivers:

The growing usage of social media users across the world has been projected as a potential platform for advertising. To engage the customers and provide the best user experience, AI-based technologies like virtual assistants are utilized. Additionally, the customer-centric marketing strategies, security and privacy measures combined with good appeal and increased functionality have augmented the number of social media users and improve the quality of the content. Such factors have augmented the growth of the AI in Social media industry.

The main focus of AI is to provide a solution to complex problems similar to the handling of humans with enhanced reasoning and logic. Experts claim that fully automated AI is much likely to take over the various areas of marketing in the coming few years. The increasing applications of AI-based technologies like auto-traffic analysis, virtual assistant, image recognition, intelligent search, and automated writing bots are immensely utilized by social media marketers. 

Market opportunities:

A recent study by the leading market player, IBM states that over 91% of the retailers are familiar with the usage of AI-based technologies and their applications. Especially, the technologies like image recognition and intelligence search enable the organizations to analyze the preferences of customers and also uncovers the hidden patterns of the datasets. Such reports have propelled organizations to implement AI-based solutions.

The increasing investments in the e-commerce industry in recent years have presented favorable conditions that would increase the utilization of AI-based technologies in social media. The deep learning, deep text, and face recognition features of Facebook have enhanced the user experience; the face recognition features suggest the users tag people while sharing pictures. The advent of the Deep Face AI system has acquired an accuracy of over 97% in recognizing people in pictures. The other AI-based technologies utilized in Facebook have provided the power of eliminating unwanted messages on Facebook. Such factors have increased the revenue generation from Facebook.

Market restraints:

The lack of AI experts in the field and slow digitization rate across the globe are impacting the AI in social media market value. Additionally, with the increasing data generation in social media, the unstructured data formats are burdening the platforms. Such factors are hindering the overall growth of AI in the social media industry. Since ingesting, sorting, linking the data sets have become difficult, the inadvertent usage of data, exposing sensitive information are the major concerns of utilizing the AI systems.

Lack of expertise in AI in social media platforms is also imposing higher challenges on the growth of AI in social media market.

Market challenges:

The Technology issues and the process issues across the operating landscape are also considered as the major challenges for AI in social media market growth. Additionally, the financial burden after the failure of the software and other trading issues are the key market challenges of AI in social media market.

The advent of new AI models to social media platforms might present security breaches to the system. Currently, the Social media platforms are working in Software-as-a-system, whenever any new intelligent features are added to the system, the new model is being introduced which impacts the system adversely.

Cumulative growth analysis:

Over 75% of the customer expects consistency in interactions during their presence on e-commerce websites. And over 58% of the customers claim that they are conversing with various departments and not a single source. Such factors have affected the overall growth of AI systems in several other sectors. Over 166 million users of twitters have utilized the Delphi methodology for identifying the potential keyword. Such strategies and AI-based solutions have augmented the growth of social media platforms in recent years.

The AI in Social media market is expected to witness a growth of over USD 2.6 billion by the year 2023 with a CAGR of 28.6% during the forecast period. The advent of AI-based solutions has helped several social media companies to analyze the data generated from the social media platforms and convert them to structured and tangible data.

Value chain analysis:

The Sole purpose of AI is to provide solutions that are logical enough to solve the problems of the customers just like a human. However, primarily, AI-based solutions are deployed to increase the sales of the industry. Since the number of social media users has increased in recent years, AI-based solutions have propelled sales and generated revenue from social media platforms. The major restraining factor of social media is the changing trends and customers’ preferences, AI-based solutions have aided the retailers and digital marketers to gather information about the customers and their preferences which have helped them to develop their businesses.

The marketing campaigns, broader audience, easy access to the target audience are some of the key benefits that social media offers to digital marketers. The targeting filters that are based on age, gender, demographics have projected relevant ads and products to the social media user. The AI system analyses the ads and gets them to the right set of audiences, then propel them to click on them. Additionally, the advanced features of the chatbots that are capable of conversing with the customers based on recent purchases are the major factors of the AI in Social media market.

Segment overview:

Based on Technology:

• Machine Learning and Deep Learning


• Natural Language Processing (NLP) 

Based on Application:

• Sales and Marketing


• Customer Experience Management


• Predictive Risk Assessment

Based on Component:

• Solutions

• Software tools


• Platforms




• Services




• Support and maintenance


• System Integration


• Training 

Based on Enterprise Size:

• Small and Medium-sized Enterprises (SMEs)


• Large Enterprises 

Based on End-user:

• Retail and eCommerce


• Banking, Financial Services, and Insurance (BFSI)


• Media and Advertising


• Education


• Public Utilities


• Others 

Regional analysis:

The proliferation of the internet and smartphones to a wider range of people has increased the number of social media users in several countries. Especially, North America is witnessing a huge growth in Artificial Intelligence (AI) in Social Media Market. Moreover, Asia-pacific is also considered the fastest-growing region in the AI in the Social media industry. The region is currently witnessing huge growth owing to the changing trends and higher disposable income in the region.

However, the dominant market player, North America holds its leading position because of the factors including, effective usage of technology, increasing investments in the market, and proper risk management systems.

Competitive landscape:

• Google (US)


• Facebook (US)


• AWS (US)


• IBM (US)


• Adobe Systems (US)


• Baidu (China)


• Salesforce (US)


• Twitter (US)


• Snap (US)


• Clarabridge (US)


• Conversion (US)


• Sprinklr (US)


• Unmetric (US)


• Pentium (US)

Recent developments:

• In January 2020, the leading market player IBM has announced its new launch of Advertising Accelerator which enables the organization to predict the optimal combination of the elements that drive the customers towards the organization and retain the customers.


• In the year 2018, a leading company has introduced the codeless platform that is capable of building custom machine learning models.

Report Overview:

This report has covered:

• Market Overview


• COVID 19 Analysis


• Market dynamics


• Cumulative growth analysis


• Value chain analysis


• Segment overview


• Regional analysis


• Competitive landscape


• Recent developments