The Future of Consumer CTOs: Eight Imperatives for 2025
In 2024, chief technology officers (CTOs) at consumer companies were faced with a rapidly evolving technology landscape. From harnessing the power of AI to modernizing legacy tech systems, these leaders were at the forefront of driving innovation and meeting consumer expectations in a competitive market. Looking ahead to 2025, consumer CTOs must prioritize key tech-forward imperatives to stay ahead of the curve and drive growth in their organizations.
1. Elevate tech teams from support staff to core function
Consumer leaders must shift their mindset and view tech departments as integral to their business strategy. By involving tech leaders in setting the business agenda and holding them accountable for outcomes, organizations can maximize the value of their tech investments. This includes embedding tech capabilities into joint business-tech teams and updating incentive structures to align tech and business goals.
2. Empower cross-functional AI teams to be problem solvers
Establishing centers of excellence (COEs) that go beyond project management and focus on driving AI strategy can significantly impact an organization’s agility and innovation. By empowering COEs to educate other functions about AI’s potential and proactively offer solutions, consumer CTOs can drive impactful change across their organizations.
3. Incorporate gen AI into the full product development life cycle
By incorporating gen AI across the product development life cycle, consumer organizations can streamline processes, free up engineers for strategic thinking, and drive faster innovation. Companies like Mercado Libre have already seen success by adopting gen AI-powered platforms to enhance developer productivity.
4. Strategically insource and invest in tech talent
Building in-house tech talent can provide consumer organizations with a competitive edge and enhance performance. By investing in purpose-driven hiring, upskilling employees, and partnering with leading tech players, consumer CTOs can attract and retain top talent while driving innovation in their organizations.
5. Build platform architecture to support business goals
Identifying the value at stake for each platform and building platforms with an eye toward commercialization can drive significant value for consumer organizations. By adopting modern architectures like microservices and cloud-native solutions, companies can improve scalability, innovation, and personalization in their digital operations.
6. Use AI to modernize the tech stack
AI can help consumer organizations address tech debt, modernize outdated systems, and improve the quality of their tech assets. By leveraging gen AI tools, companies can accelerate timelines for tech debt remediation, reduce costs, and enhance the overall quality of their outputs.
7. Treat data like a product
Consumer organizations must view data as a product and invest in dedicated management and funding to harness its full potential. By delivering high-quality, accessible data to employees across functions, companies can reduce implementation times for new use cases and lower the total cost of ownership. Companies like Nestlé Purina have already seen success by managing high-value data with a product-oriented approach.
8. Recommit to investments in digital trust
CTOs must prioritize building digital trust in their organizations by addressing cybersecurity challenges and establishing guardrails for AI adoption. By investing in cybersecurity positions, improving data governance, and collaborating with cybersecurity firms, consumer organizations can mitigate risks and protect their data assets.
FAQ
Q: How can consumer CTOs drive innovation in their organizations?
A: By elevating tech teams, empowering cross-functional AI teams, and incorporating gen AI into the product development life cycle, consumer CTOs can drive innovation and accelerate growth.
Conclusion
Consumer CTOs have a challenging road ahead in 2025, but by prioritizing these eight tech-forward imperatives, they can position their organizations for success in a rapidly changing landscape. By modernizing technology, investing in talent, and building a culture of innovation, consumer CTOs can drive growth, efficiency, and customer-centric results in an increasingly competitive market.
