By now, you’ve most definitely had a go at Generative-AI text and image tools like ChatGPT, Adobe‘s AI Image Generator or Generative Fill tools, and AI captioning tools built into many social media and advertising platforms.

While still less widely used, and more difficult to access at no cost, Generative-AI video is next in line for the throne.

Market.US published a report earlier this month, sharing that the Global Generative-AI in Video Creation Market is expected to be worth around 2.3 Billion USD By 2033, from 336.1 Million USD in 2023, growing at a compound annual growth rate of 21.2% during the forecasted period (2024 to 2033).

The growing demand from marketers, educators, and businesses for mass-scale and efficient video production puts Generative-AI video in a pinnacle position as a solution that saves time, energy and money. It’s ability to almost instantly create video from text that resonates with audiences presents a significant opportunity for it to transform the way we approach video content creation.

Why is this Valuable to Marketers?

In 2023, the marketing segment held a dominant position in the Generative-AI Video market, capturing more than a 34% share.

AI-Driven Video and Analytics Tools Produce Higher Engagement

AI-driven video and analytic tools can examine vast amounts of consumer data to generate videos that match viewer preferences and behaviors, resulting in higher engagement rates and improved return on investment for marketing campaigns.

AI Video Production is Cutting Costs

It’s no secret that generative-AI tools can be a huge time-saver, and perhaps even moreso, the process of producing a video from its initial stages of screen-writing to filming and editing is a huge time and money suck!  Generative-AI enables marketers to produce high-quality videos at a fraction of the time and cost associated with traditional video production methods.

The Impact of Video Marketing is Undeniable

We already know that video content is often more engaging than static images and easier to digest than text. According to data gathered by WebFX, social media posts that contain videos generate 1200% more shares than text and image-based posts combined. The average conversion rate for websites featuring video content is 4.8%, as compared to 2.9% for sites that don’t, and video content has the potential to dominate organic results on a Search Engine Results Page.

A Few Ways Generative AI Video is Currently Being Used by Marketers

• Editing raw footage, adding captions, music & voiceovers
  • Not only can AI be used to streamline the editing process of your raw video clips, it can generate and combine royalty-free stock footage to create video from scratch with nothing more than a text prompt. AI-voiceovers, captions, and royalty-free music can be overlayed as well. Here’s A Free Tool to Try!
• Blog posts & web content can be turned into scripts that generate narrated videos with custom avatars
  • Simply, type a speech-text, choose your avatar, add captions, music and more! Several tools also offer the ability to clone your own voice into hundreds of different languages.
• Generative-AI can intuitively transform long-form video into shorts for social media
  • So that blog post that you ran through an AI video generator? Might as well condense that content into a 15-second short for social media!
• The rising trend of virtual influencers
  • The concept of using fictional characters to promote a brand or product has been around since brand mascots and cartoon characters were introduced in print. AI-generated personas & avatars are offering brands an influencer devoid of human restraints, available around the clock and without demands for a pay-raise. This AI-generated influencer is pulling in almost $11,000 a month!

We are seeing more and more companies partner with Generative-AI software and tools. Here are a few key partnerships and developments to keep an eye on in the video market:

• io secured $15 million in a Series A funding round in April 2023 to expand its AI video generation platform and enhance its multilingual capabilities.
• Pictory introduced new features in September 2023, including AI-driven scene detection and automatic voiceover generation, enhancing the user experience for creating marketing and instructional videos.
• In October 2023, Canva partnered with Runway, the startup developing various generative-AI tools for creators, to create generative-AI videos.
• In December 2023, Lumen5 was acquired by Adobe for $250 million. They aim to integrate Lumen5’s AI video creation capabilities with Adobe’s suite of creative tools.
• In February 2024, Rephrase AI partnered with Microsoft to integrate their AI video creation tools into Microsoft Teams, allowing users to generate personalized video messages seamlessly.
• In June 2024, Runway announced its latest generative video model, Gen-3, just seven months after announcing “Gen-2” in November 2023.

Source

Some Top Players in the Generative-AI Video MArket:

• Synthesia
• Runway ML
• Pictory
• Lumen5
• Rephrase AI
• DeepBrain
• io

Challenges

Many Generative-AI Tools, especially those emerging in video, are still far from perfect. Challenges surrounding data privacy, copyright infringement and ethical considerations are a major concern. Managing biases in AI algorithms, and the potential for AI-generated content to be misused to spread misinformation need to be addressed to build trust and acceptance of advanced AI technologies.

Example of AI-Generated Video Footage & common limitations and inconsistencies of the technology:

All that being said, use your better judgement when experimenting with these tools. They are far from full proof, but offer a great opportunity to transform and streamline your approach to content creation.