AI isn't just a technological advancement; it's a revolution in business thinking. Consider the rapid adoption of generative AI and large language models like ChatGPT and Microsoft Co-pilot: ChatGPT reached 100 million monthly active users in just two months, a feat that took TikTok nine months and Instagram over two years 

 This explosive growth isn't just impressive; it signals a seismic shift in future businesses' operations. AI's influence permeates every facet of the 

, from streamlining operations and enhancing efficiency to innovating in product development and customer engagement. It's not just about doing things better; it's about doing entirely new things, potentially giving rise to novel business models and revenue streams.

Business Model Concept 

AI and the revolution in business thinking

Echoing the efficiency leap of Henry Ford's assembly line, AI is set to drastically speed up production, manufacturing, routine tasks, and ways of working. A McKinsey report suggests that tools like GitHub Co-pilot could enhance software development productivity by up to 45%, a significant leap in operational efficiency (a study suggested software developers using Co-pilot completed tasks 56% faster than those not using it) (

AI's predictive capabilities and data analytics are reshaping decision-making and process optimisation, from supply chain logistics to market trend forecasting. Its ability to generate human-like responses allows it to act as an assistant to tedious tasks, or even automate tasks

ultimately reducing time spent on finishing jobs, thus reducing operating costs. For example, Schibsted's journalists freed up 10,205 hours of work from January 2023 to September, using their AI tool JoJo to transcribe interviews. This enables them to spend more time researching and writing stories (INMA, 2023).

Supercharged operations and ways of working

AI is revolutionising how businesses interact with their customers. Chatbots and AI-powered virtual assistants provide 24/7 customer service, bridging the gap between businesses and consumers. These AI interfaces are responsive and adaptive, learning from each interaction to improve future communications. They enable businesses to offer customers information and resolution quickly, removing unnecessary frustrations that can degrade reputation and customer experience. Furthermore, AI is crucial in refining marketing strategies, targeting customers more effectively through data-driven insights, and creating more engaging, personalised customer experiences.

Better customer experience with generative AI

At the heart of any business model lies the value offering, the products and services offered to a targeted customer. How AI will supercharge our products, services, and offerings is still in its early stages. However, based on the quality and innovation of what has been launched to market in recent years, we should be very excited. AI-enabled products and services are not just improvements of existing offerings but often entirely new solutions to customer needs.

True personalisation is being actualised as AI tailors products and services to individual customer preferences with unprecedented precision. A clothing brand may learn from your purchases, behaviour and lifestyle to create a custom style and wardrobe for you only. Powered by generative AI, we see new tools for creatives like Krea or Vizcom, enabling the creation of hundreds of product concepts or iterations in a heartbeat, improving the speed of the creative process, and aiding brainstorming and concept exploration. Services like Autodesk Forma (formerly Spacemaker) offer architects and design teams AI-powered analyses of build sites and plans, considering sun hours, daylight potential, noise, wind, etc., to provide new insights.

From AI-curated content in media to personalised wardrobes or intelligence, AI is redefining what businesses can offer.

New value propositions

AI will also influence our cost structures and revenue models. OpenAI has applied a SaaS model to their GPT service; in addition, due to the nature of the GPT service, they have been able to add a pay-for-performance model on top of the SaaS. Another area is data monetisation, where businesses leverage AI to analyze and sell insights derived from customer data. On the cost side, AI is a powerful tool for cost reduction, automating routine tasks, and optimizing resource allocation, leading to significant savings and increased operational efficiency. We might even see changes in where and how operating and production costs originate, from production, marketing and operations to more value-creating activities such as R&D, sales and customer relations.

An AI roadmap can define new revenue models and value propositions

In conclusion, AI is not just a technological tool; it's a catalyst for a fundamental rethinking of how we design, operate, and grow businesses. As business designers at EGGS, we embrace AI as an imperative to stay ahead in this rapidly evolving landscape. The future AI supercharged business model will bring efficiency to new levels and shift cost structures; it will enable the offering of novel value propositions to our customers with new, optimised revenue business models and help companies gain a deeper, more intuitive understanding of and connection with customers. It's an exciting time, with lots of innovation and opportunities still to be discovered. As a business leader, you can either lag behind or become the navigator of this blue ocean opportunity.

Why an AI roadmap will supercharge your business model innovation