Artificial Intelligence (AI)
July 17, 2024
Product Survey Findings: Only 15% of Users Are Embracing AI Features
Who’s leading the development of AI products? In May, we surveyed product professionals worldwide to see how AI is being used in their work and the products they offer to users.
The survey revealed an interesting split. While both European and North American product professionals are equally likely to use AI in their personal work, North Americans (58%) are much more inclined to add AI features to their products than Europeans (34%).
However, Todd Olson, CEO and co-founder of Pendo, notes that even though there’s great potential for AI to boost productivity, fear and regulation often dominate the AI narrative, especially in Europe.
AI Features Are Underused
User engagement with AI features remains a challenge. Only 15% of product leaders in North America and Europe report that their users are embracing AI features. Furthermore, less than 10% of product managers said users engaged with AI features only after extensive adjustments by the team. This highlights the need for businesses and product teams to find ways to drive AI feature adoption.
Moreover, two-thirds of European businesses have expanded their UX and research teams, compared to less than a third (27%) in North America. Francesca Buckland, Vice President of Product at Clarivate, emphasizes the importance of understanding user needs to successfully implement AI features. She believes that a user-centered approach is crucial for widespread user adoption of AI.
Using AI for Daily Tasks
Product managers are quite happy to use AI tools for their daily tasks, even if their users are hesitant about new AI features. Over two-thirds (69%) of European product managers and 62% of North American product managers have adopted AI to assist with their daily activities.
OpenAI’s ChatGPT remains a leader in the AI field, with 71% of North American and 65% of European product professionals using it. However, the use of custom-made large language models (LLMs) is still in its early stages, with only 17% of North American and 5% of European product managers developing AI features using self-trained models.
Establishing Product in Organizations
When looking at the current state of product management, our findings show that the role is becoming more established in the executive suite. About 28% of organizations have fully embraced a Chief Product Officer (CPO), while one-third (32%) partially recognize the importance of product leadership. However, 13% of respondents are still in engineering-led organizations, indicating that some businesses have yet to adopt a product-led approach.
Resource allocation remains a contentious issue. Nearly half (43%) of respondents feel that senior business leaders understand the product function but still need more resources. Conversely, 30% feel that leaders lack both understanding and resources. Clear communication and alignment between product teams and executive leadership are essential for business growth.
Another noteworthy trend is the growing demand for growth-focused product managers. About one in four (23%) organizations have built and established growth teams in the past two years, and another 21% plan to do so in the near future. This reflects the increasing recognition of the crucial role product managers play in driving business growth.
We plan to periodically survey our readers on these topics to keep track of AI adoption trends. Stay tuned for more findings!