Mid‑market executives overwhelmingly agree that artificial intelligence (AI) is valuable for business performance, yet most organizations still struggle to translate this belief into broad strategic adoption, according to new survey data from Virtuous AI in partnership with the Chief Executive Group.
The survey of more than 300 mid‑market CEOs showed that while 98.5 % believe AI delivers business value, only 7 % have established company‑wide AI strategies that span multiple initiatives. Over half of respondents (52 %) are still in pilot phases with isolated projects, and around a third (31 %) have explored AI but not implemented it.
This research highlights a significant execution gap between enthusiasm for AI and effective deployment across organizations. Despite high confidence in AI’s potential, many companies lack the expertise, systems integration, and data quality needed to scale their efforts beyond individual use cases.
Barriers to Broader Adoption
The survey identifies several common obstacles slowing AI progression:
- 86 % of CEOs cite a lack of internal AI expertise as a major challenge.
- 81 % point to integrating AI with legacy IT systems as a core difficulty.
- 65 % report issues with data accessibility or data quality, impeding reliable AI insights.
Even in the absence of formal strategies, a majority of companies are experimenting with AI projects. About six in ten CEOs report active initiatives underway—often aimed at efficiency improvements and cost reduction, the top reason for AI investment cited by 78 % of respondents. Meanwhile, only 19 % said generating new products, services, or revenue streams is their primary focus.
Retail Examples and Broader Context
In the retail industry, AI is being used for a range of functions—from marketing and IT optimization to merchandising and pricing strategy—as companies look to extend the benefits of data‑driven tools across the enterprise. Other reports indicate that while some retailers lead with advanced pilots, many still wrestle with where AI fits within core operational processes, from supply chains to customer personalization.
Executives in sectors like large‑format retail and grocery have publicly explored AI for forecasting, inventory management, and customer engagement, illustrating the varied and evolving use cases for AI in business operations.
Looking Ahead
The Virtuous AI research underscores a common pattern: mid‑market companies acknowledge AI’s strategic importance but lack the organizational readiness to scale it effectively. After initial pilots, leaders often face fragmented systems and insufficient integration, which can stall broader adoption and dilute potential benefits.
Closing this execution gap requires not just standalone projects, but enterprise‑level planning, investment in expertise, improved data governance, and coherent integration across business functions. With AI poised to reshape competitive dynamics in retail and beyond, companies that bridge the divide between experimentation and strategic implementation may unlock significant operational value and long‑term growth.
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