Forrester predicts rising software costs will force marketers to drop AI projects

Research firm Forrester projects that climbing software fees will force marketing leaders to abandon roughly one-third of their active AI projects over the coming year. The warning arrives as software providers increasingly replace flat monthly subscriptions with usage-based meters, turning each automated workflow, agent run and generated asset into a separate bill.

According to Forrester data, 82 per cent of surveyed marketing executives report that their leadership now demands stricter proof of return before approving new AI expenditure. More than a third of respondents, 37 per cent, state that adjusting to consumption-based software fees represents the single largest pressure on their budgets heading into 2027. Another 26 per cent note that overall AI project expenses climbed substantially faster than initial forecasts suggested.

As a result, marketing budgets are swinging away from wide-ranging experiments towards stricter financial discipline. Forrester expects companies to trim content generation programmes first, cutting approximately 25 per cent of automated text and image production in favour of lower volumes and tighter human oversight.

At the same time, the research firm notes a sharp split between business buyers and sellers. While companies pull back on mass internal content production, corporate buyers are using software agents to research suppliers, collect product details and compare vendor contracts. However, Forrester found human contact remains central to final deals, with business buyers doubling their direct conversations with sales teams to verify AI recommendations before signing contracts.

What this means for Australian businesses

For Australian small and medium business owners, runaway software bills are a real hazard as providers transition to metered pricing. Managing this shift requires a tighter grip on monthly tools and clearer operating rules.

• Audit monthly software invoices. Check whether your marketing platforms, customer relationship tools or automation systems have switched from flat monthly seats to metered credit consumption. Set strict account spending limits and usage alerts to prevent unexpected end-of-month spikes.
• Trim low-value content automation. Stop spending time and tool credits on automated bulk blog posts or social updates that do not directly generate inbound leads. Direct your AI tools towards tasks that save measurable staff hours, such as customer email sorting, quote drafting or inventory reporting.
• Keep humans in the sales loop. As business buyers increasingly rely on automated search and summary tools to compare suppliers, make sure your pricing and technical details are clean and easily readable online. When a buyer reaches out, ensure an experienced team member responds promptly, because business customers still want human confirmation before committing funds.