It’s been just over a year since the European Union’s AI Act was introduced—the world’s first sweeping attempt to regulate artificial intelligence. And according to new research from SAP Emarsys, the impact on UK marketing has been both transformative and divisive.
More than a third (37%) of UK marketers say they’ve dramatically changed how they approach AI since the Act went live. Nearly half report their use of AI has become more ethical (44%), while 46% claim a stronger grasp of AI ethics, and 48% say they’re now fully compliant.
In short: compliance is climbing, but not without trade-offs.
Regulation vs. Innovation
The EU AI Act was designed to safeguard consumers through transparency, accountability, and responsible AI usage. But in fast-moving industries like retail and marketing, not everyone is celebrating.
Over a quarter of UK marketers (28%) worry the regulation risks slowing innovation, especially in areas like creative experimentation and personalized campaign testing. The tension reflects a broader European debate: how to enforce guardrails on AI without stifling its commercial potential.
As SAP CEO Christian Klein recently put it in The Economist, Europe needs “smart regulation that governs outcomes, not ideas.” It’s a call for balance: protect consumers, yes, but don’t smother the very innovation the Act is supposed to enable.
AI in Retail: Compliance Meets Customer Experience
The research also highlights how deeply AI has already penetrated retail marketing—90% of retail marketers now use AI in some capacity. From predictive segmentation to automated content generation, AI is shaping how brands personalize and scale experiences.
SAP Emarsys, for example, says it has embedded responsible AI directly into its platform, partnering with brands like PUMA to deliver omnichannel personalization while remaining compliant. Its tools range from AI-driven product recommendations to automated campaigns, all designed to tick both regulatory and ROI boxes.
Dr. Stefan Wenzell, Chief Product Officer at SAP Emarsys, frames it this way: “The AI Act gives marketers a chance to reset and embed AI with greater intention. But regulation must continue to support agility and experimentation, especially in early development. That’s how we accelerate innovation that’s both effective and ethical.”
The Bigger Picture
Whether you see the EU AI Act as a compliance milestone or a creativity roadblock depends on your vantage point. On one hand, it’s driving higher standards for ethical AI use—something long overdue in data-hungry industries like marketing. On the other, the fear of overregulation looms large, particularly as US and Asian competitors move at breakneck speed with fewer restrictions.
What’s clear is that the EU has set the tone globally. And for marketers in the UK, adapting to this new reality isn’t optional—it’s the new baseline. The next question isn’t whether AI will reshape marketing, but how much regulation will shape AI.
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