Gartner Marketing Survey Finds Awareness and Conversion Account for 62.6% of Total Media Spend

Analysts Explore Strategic Implications of AI-Driven Shifts Toward Digital, Acquisition and Human Capability During Gartner Marketing Symposium/Xpo, June 8-10, in Denver

Awareness and conversion now account for 62.6% of total media spend, as CMOs shift budget toward acquisition and digital channels in pursuit of growth, according to a survey by Gartner, Inc., a business and technology insights company.

Gartner analysts are discussing the key issues facing CMOs during Gartner Marketing Symposium/Xpo, taking place here through Wednesday. The survey showed that labor is claiming a larger share of marketing budgets, underscoring that AI value depends on people, skills and execution, not just technology.

The annual Gartner 2026 CMO Spend Survey was conducted January through March 2026 among 401 CMOs and other marketing leaders in North America, the United Kingdom and Europe across different industries, company sizes and revenue, with the vast majority of respondents reporting annual revenue of over $1 billion.

"As AI reshapes the marketing mix, many CMOs are channeling more investment into digital channels and customer acquisition in pursuit of growth," said Ewan McIntyre, VP Analyst and Chief of Research in the Gartner Marketing practice. "However, AI is not a shortcut around marketing capability. The organizations that will pull ahead are those that pair AI investment with the people, processes and discipline required to turn it into business results."

AI Accelerates Shifts Toward Digital and Acquisition

CMOs are rapidly shifting budget from offline to digital channels, with digital media now representing more than two-thirds of total media investments in 2026, up 18% since 2024. AI is a key driver of this shift, with CMOs citing enhanced personalization and the need to prioritize channels that can be effectively AI-optimized among the biggest influences on their channel mix.

The survey also shows CMOs are prioritizing customer acquisition over loyalty and retention. As previously stated, awareness and conversion now account for 62.6% of total media spend, a rise of over 10% since 2024, while spending on customer loyalty and retention has declined 29% over the same period to less than 15% of total media spend.

However, the most AI-mature marketing organizations allocate a larger share of budget to customer loyalty and retention and a lower share to digital channels, suggesting that less mature organizations may be over-indexing on short-term optimization and channels that are easiest to measure and automate.

"AI can help marketers optimize faster, but optimization is not the same as strategy," said McIntyre. "CMOs must guard against letting AI steer too much budget toward the channels and stages of the journey that are easiest to tune, while underinvesting in the touchpoints that build long-term customer value."

Rising Labor Share Signals That AI Requires People, Not Just Platforms

Despite the assumption that AI should reduce people costs, labor is claiming a larger share of marketing budgets. Labor's share of the total marketing budget rose from 21.9% in 2025 to 24.5% in 2026, suggesting CMOs increasingly recognize that AI value depends on people, skills and execution, not just technology.

This challenge is compounded by low organizational readiness. Seventy percent of CMOs say their internal marketing processes are not mature enough to effectively implement and scale AI, and only 30% report mature or fully developed AI readiness capabilities. In addition, lack of internal AI expertise and talent is the top barrier preventing CMOs from achieving AI-driven efficiency, cited by 38% of respondents.

"AI changes the kind of marketing capability organizations need, but it does not eliminate the need for capability," said McIntyre. "As CMOs invest in AI-powered transformation, they must also invest in the talent, governance and operating maturity required to make those tools work in the real world."

Additional Insights Available

Gartner clients can read more in the report "Insights From The 2026 CMO Spend Survey."

Gartner is the World Authority on AI

Gartner is an indispensable partner to C-Level executives and technology providers as they implement AI strategies to achieve their mission-critical priorities. The independence and objectivity of Gartner insights provide clients with the confidence to make informed decisions and unlock the full potential of AI. Clients across the C-Level are using Gartner's proprietary AskGartner AI tool to determine how to leverage AI in their business. With more than 2,500 business and technology experts, 6,000 written insights, as well as more than 4,000 AI use cases and case studies, Gartner is the world authority on AI. More information can be found here.

About Gartner Marketing Symposium/Xpo

Gartner Marketing Symposium/Xpo is taking place June 8-10 in Denver, providing marketing leaders with actionable advice about the trends, tools and emerging technologies they need to deliver business results in an AI-driven world. Gartner analysts address the biggest opportunities, challenges and priorities marketers face today, including CMO leadership, marketing strategy and customer engagement. Follow news and updates coming out of the conference on the Gartner Newsroom and on X and LinkedIn using #GartnerMKTG.

About Gartner for Marketers

Gartner for Marketers provides the objective, expert advice, and proven tools that CMOs and other marketing leaders need to seize the right opportunities with clarity and confidence, and to stay ahead of the trends that matter. With in-depth research and analysis, Gartner for Marketers helps you focus on the opportunities with the greatest potential to deliver results. More information on Gartner for Marketers is available online at www.gartner.com/marketing. Follow news and updates from the Gartner Marketing practice on X and LinkedIn using #GartnerMKTG. Members of the media can find additional information and insights in the Gartner Marketing Newsroom.

About Gartner

Gartner (NYSE:IT) delivers actionable, objective business and technology insights that drive smarter decisions and stronger performance on an organization's mission-critical priorities. To learn more visit gartner.com.

View source version on businesswire.com: https://www.businesswire.com/news/home/20260608855793/en/

Elizabeth Bishop

Gartner

elizabeth.bishop@gartner.com



Juliette Dixon

Gartner

juliette.dixon@gartner.com