By Mark Boothe, Chief Marketing Officer, Domo
Across most organizations, there’s a conversation happening amongst marketing leadership that isn’t being talked about enough. It goes something like this: “We invested in AI. We ran the pilots. We saw productivity gains. So why does our AI bill keep going up?”
As AI adoption matures, a new challenge is emerging that few organizations saw coming: the cost of running AI at scale. Increased usage, combined with the very real need to monitor, correct, and govern AI outputs, is making it more expensive to operationalize AI than most marketing leaders initially expected.
This challenge doesn’t mean that companies need to slow down AI adoption or reevaluate spend, instead it’s a time to be smarter about what they’re putting into their AI models. The organizations that figure out how to scale AI responsibly, without watching their budgets spiral, will have a genuine competitive advantage. The ones that don’t will spend more and trust the outputs less.
The Problem Isn’t The Technology, It’s The Governance Gap.
Most AI cost overruns aren’t driven by the models themselves. They’re driven by the absence of the infrastructure around them. When marketing teams deploy AI tools without a clear view of what data is going in, what’s coming out, and whether those outputs can be trusted, teams end up in a cycle of human review, correction, and rework that erodes the efficiency gains they were counting on.
Putting trash into an AI will generate trash out, leading to teams spending more hours monitoring and fixing the results that it would have taken them to produce on their own. A “good” environment needs to be established before valuable results come out. Thoughtful data, and a plan to catch errors are governance issues, not a technology problem.
The organizational overhead of managing systems no one fully trusts is the true cost of scaling AI.
What “AI Readiness” Actually Means
Many marketing leaders are talking about AI readiness differently than most vendors do. AI readiness isn’t about having the right tools. It’s about having the right data foundation, the right governance structure, and critically, the right visibility into what AI is actually doing.
Marketing teams are under pressure to defend spending with real financial evidence, not assumptions or correlations. That pressure is only going to intensify as AI becomes a larger line item on the budget. The teams that can show precisely what their AI investments are driving, where they’re underperforming, and what they’re doing about it will be the teams that keep their budgets intact when the CFO asks hard questions.
This is why centralized, governed data isn’t a back-office concern for IT. It’s a marketing imperative. When AI is drawing from fragmented, ungoverned data sources, teams don’t just get bad outputs. They get bad outputs that look good, which is a much harder problem to catch and correct.
The Shift From Experimentation to Accountability
The era of anonymous AI pilots is over. Boards, CFOs, and CEOs are asking hiring and background questions about their AI. What have those pilots produced? What do they cost? Are they worth investing in at scale? That’s a fundamentally different conversation than the one most marketing leaders were having 18 months ago.
The marketers who are winning these interviews don’t have the most impressive demos. A clear line from AI investment to business outcome is a much better part of an AI pilot’s resume. Systems that treat measurement not as a continuous, living process that improves with every campaign, every data point, and every decision are coming out ahead, and leadership wants to make sure they’re bringing those programs onto their team.
These platforms must also be capable of orchestrating intelligence across people, data, and systems.They are moving beyond dashboards that describe “what happened” toward AI-driven systems that help organizations understand “why it happened” and “what to do next”.
What To Do Right Now
For marketing leaders whose AI costs are climbing faster than their confidence in the outputs, it’s time to review.
The first step is getting clarity before scaling. Before adding more AI tools or expanding usage, organizations need a single, governed view of what their AI is doing and what it’s costing. Not just the bottom line, the full cost. Measure the platform’s computing cost, plus the human review, plus correction cycles and then ask honestly whether the outputs are good enough to trust at scale.
AI innovation doesn’t have to be a zero-sum game where capability comes at the expense of cost control. The organizations that treat data governance as the foundation, not an afterthought, will be the ones that scale AI profitably. The rest will keep paying for efficiency gains that never quite materialize.
The good news is that the gap between those two groups is still closable. But not for much longer.
Mark Boothe is the Chief Marketing Officer at Domo, the AI and data products platform. Prior to Domo, Mark held marketing leadership roles at Instructure and Adobe. He worked as an adjunct professor in public relations at BYU and received his MBA from Utah State University.
