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AI threatens billable hour revenue model for PR firms

Artificial intelligence (AI) is rapidly changing the way businesses operate, and the public relations (PR) industry is no exception.

AI can now automate many of the tasks that PR professionals currently perform, such as generating creative content, conducting research, and writing pitches. This could have a major impact on the billable hour revenue model, which is the traditional way that PR firms charge their clients.

Under the billable hour model, PR firms charge clients by the hour for the time that their employees spend working on a project. This model is based on the assumption that the more time that a PR professional spends on a project, the more value they are adding to it. However, AI can automate many of these tasks, which means that PR professionals can complete them much faster. This could lead to a decrease in the number of billable hours that PR firms can charge their clients.

Some PR firms are already beginning to adapt to the rise of AI. For example, some firms are using AI to generate creative content, such as blog posts and social media posts. Others are using AI to conduct research and compile reports. By using AI to automate these tasks, PR firms can free up their employees to focus on more strategic and high-value work.

Other firms are still reluctant to adopt AI because they are worried about losing their competitive advantage. Some do not have the resources to invest in AI. As a result, they may be forced to exit the market.

The sources for this piece include an article in Axios.

IT World Canada Staff
IT World Canada Staffhttp://www.itworldcanada.com/
The online resource for Canadian Information Technology professionals.

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Jim Love, Chief Content Officer, IT World Canada

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