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The hidden cost of outdated AI revealed as it drains marketers’ time and budgets

June 25, 2025 — Hootsuite launches OwlyGPT, the first social AI assistant powered by real-time social data, giving marketers the answers outdated AI tools can’t

  • Research reveals 88% of senior marketing leaders are encouraging their teams to use AI tools, yet 81% admit budgets are being wasted on tools not fit for purpose. 

  • Nearly a quarter (24%) say up to 20% of their marketing spend has been squandered on inefficient AI tools, while 16% admit losing more than a fifth of budget. 

  • Marketing leaders face a real time data gap, with 64% wrongly assuming generative AI delivers in-the-moment insights. 

  • AI tools powered by outdated data are forcing marketers to spend up to three full working days weekly manually tracking trends, costing businesses nearly $41,500 annually. 

Marketers are pouring time and money into generative AI tools, yet seeing little in return — and it’s impacting their bottom line. That’s according to new research from Hootsuite, based on a survey of social media managers (SMMs) and senior marketing leaders across the US and UK.

AI adoption is soaring, with nearly 80% of SMMs using AI tools up to 20 times a day and 83% of marketing leaders increasing their AI budgets. Yet higher use and spend haven’t translated into stronger results or greater confidence. At the core of the issue: most generative AI tools rely on outdated static web data or external sources* that aren’t designed for the real-time, fast-changing pace of social media.

That’s why today, Hootsuite is launching OwlyGPT: the first generative AI assistant built for social media. Powered by live social data and customized for each brand, OwlyGPT helps marketers cut through the noise and create content that resonates, surfacing insights based on what audiences care about right now.

AI attitudes shift from concern to necessity

Marketers’ attitudes toward AI have transformed over the past 12 months. A year ago, nearly half (49%) of global SMMs feared AI might make their jobs obsolete. Today, 52% say they couldn’t imagine doing their job without it, and nearly half (42%) report spending up to 24 hours using AI to inform their social strategy.

Leadership echoes this shift: 88% actively encourage their teams to use AI tools, and 87% have a formal AI strategy in place. But while adoption is rising, so are the growing pains.

The ‘real-time’ knowledge gap 

In an industry where speed is everything, marketers have a false sense of confidence. While 64% of senior marketing leaders believe their teams are using AI tools powered by up-to-the-minute data, only 39% of social media managers agree — revealing a significant disconnect between the AI solutions marketing leaders invest in and trust, and the performance experienced by teams on the ground.

Even more concerning: the research reveals many leaders overestimate how current the insights generated by their AI tools really are. The disconnect stems from a fundamental flaw: most generative AI tools aren’t designed to track real-time audience behavior. Instead, they draw from static web-sourced data with cut-off knowledge points, leaving marketers without the fresh, relevant insights they need to respond to fast-moving trends.

Billy Jones, Head of Marketing at Hootsuite, says: “Real time is the new bottom line. Social moves at the speed of culture and marketers need tools that can keep up - but the truth is, most generative AI tools are already out of date the moment marketers use them. Traditional AI has its place, but falls short for marketers who operate where their customers do: on social. If they can’t reach their audience with data that reflects what’s happening right now, they can’t drive real impact. That’s the gap OwlyGPT is closing.”

Social teams stuck chasing insights, draining time and revenue

The limitations of AI insights are pushing social teams into an inefficient, manual grind: 40% of SMMs regularly verify AI-generated outputs, and a staggering 47% spend between 11 to 24 hours each week manually scanning social platforms to find relevant trends and insights. That’s up to three full working days before publishing a single post, costing businesses almost $41,500 per employee annually.**

This also hurts campaign performance. Over half (59%) of senior marketers say their social campaigns underperform because the trend has moved on by the time content is ready to go live. This leaves social media teams stuck in a relentless cycle of chasing trends manually, only for campaigns to miss the mark. 

Budgets rising, waste mounting

Amid ongoing challenges with AI tools, it’s no surprise that 81% of senior marketers admit wasting budget on AI that didn’t deliver. Nearly a quarter (24%) say they’ve lost up to 20% of their marketing budget on AI, while one in five (20%) report wasting more than a fifth on underperforming AI solutions.

And this is happening at the worst possible time. Half of marketing leaders are under pressure to prove the value of social and marketing spend, while nearly a third face budget freezes (28%), job insecurity (27%), or heightened C-suite scrutiny (27%).

Hootsuite launches OwlyGPT to meet the moment

To bridge this widening gap between AI promise and performance, Hootsuite has launched OwlyGPT, the industry’s first social AI co-pilot trained on real-time social media data. 

Unlike traditional AI tools trained on outdated sources, OwlyGPT is purpose-built for marketers. It understands trends, brand tone, and sentiment, surfacing real-time insights generated from the conversations happening across social every day. Designed for the speed of culture, OwlyGPT addresses the fast-moving challenges social media teams face, helping marketers stay relevant, move faster, and make smarter decisions.

Irina Novoselsky, CEO at Hootsuite commented: "This should be a wake up call to all marketers: traditional AI isn’t as sophisticated as you think it is. With five billion people spending up to five hours a day online, social is one of the richest sources of real-time data sources available and yet, traditional AI tools still can’t harness it, leaving the insights marketers truly need hiding in plain sight. OwlyGPT brings them to the surface, turning insights from real-time social data into real business impact.”

About Hootsuite

Hootsuite pioneered the social media management category in 2008, and has been leading the global social space ever since. Today, Hootsuite is the social media performance engine that helps organizations unlock the value of their social media relationships, by turning social insights into clear action and measurable business impact. 

With unparalleled expertise in social marketing, social listening (powered by Talkwalker), employee advocacy, and social customer service, Hootsuite is the trusted choice for hundreds of thousands of customers, from small businesses to the largest in the world.

To learn more, visit www.hootsuite.com.

Methodology

The research was conducted by Censuswide, surveying 500 social media managers in the UK and US, along with 500 senior marketing leaders, including chief marketing officers, VPs of marketing, directors of marketing, and similar roles. The study took place between June 10 and 18th, 2025. 

* Generative AI context: Based on publicly available information, generative AI models are typically trained on a combination of publicly accessible web content, licensed materials, and proprietary datasets, varying by provider. These models have fixed knowledge cutoff dates that limit how current their data is. As of June 2025, the most widely used AI models have knowledge cutoffs ranging from early 2024 to April 2025, meaning their training data does not include information published after those dates and is not in real time. 

** US methodology: Based on research showing social media managers spend up to 24 hours weekly manually monitoring social trends, cultural moments, and competitor analysis. The calculation uses an average US salary of $62,519 and assumes 235 working days per year (excluding federal holidays and vacation) with 8 working hours per day. This results in an hourly rate of $33.25. Multiplying this by the annual hours spent on trend monitoring (1,248 hours) estimates a cost of approximately $41,496 per year.

Hootsuite Media Team

media@hootsuite.com