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From Mad Men to Machines: Big Advertisers Shift to AI

by Tech Desk
2 minutes read
From Mad Men to Machines: Big Advertisers Shift to AI

According to a recent article, some of the world’s biggest advertisers are turning to generative AI software like ChatGPT and DALL-E to enhance their advertising strategies. Companies such as Nestle and Unilever are experimenting with this technology in an attempt to cut costs and boost productivity.

Generative artificial intelligence (AI) has gained significant attention in various industries over the past year. It offers the potential for cheaper, faster, and virtually unlimited ways to advertise products. Marketing teams believe that AI can revolutionize how they bring products to market.

Executives from Nestle, Unilever, and WPP (the largest advertising agency in the world) have expressed their belief that AI will transform the advertising industry. They anticipate significant investments in this technology as it offers new possibilities for creating content based on past data.

WPP is already collaborating with consumer goods companies like Nestle and Mondelez (maker of Oreo) to incorporate generative AI into their ad campaigns. By using AI-powered tools, WPP has been able to create virtual advertisements without the need for expensive film crews or physical locations. For example, they worked with Mondelez on an AI-powered Cadbury campaign featuring Bollywood superstar Shah Rukh Khan. The campaign generated numerous versions of ads featuring local stores, resulting in millions of views on YouTube and Facebook.

WPP’s CEO Mark Read believes that generative AI can lead to substantial cost savings compared to traditional methods. He mentioned that instead of physically shooting commercials in Africa, they can now create them virtually at a fraction of the cost.

Nestle is also exploring ways to leverage generative AI software like ChatGPT 4.0 and DALL-E 2 for marketing purposes. Aude Gandon, Nestle’s global marketing director, stated that these tools provide great ideas and inspiration aligned with their brand strategy. The creative team then develops these ideas into content for websites and other platforms.

While generative AI has shown promise in advertising, there are still concerns surrounding security, copyright risks, and biased information. Many companies remain cautious about these issues and understand the importance of human involvement in the process.

Unilever, for instance, has developed its own generative AI technology that can generate product descriptions for retailer websites and create visual content. However, the company is mindful of potential biases embedded in the data processed by AI models. They strive to ensure a non-stereotyped view of the world through their technology.

The article also highlights a case involving the Dutch gallery Rijksmuseum and WPP’s use of OpenAI’s DALL-E 2 generator system. The research team at Rijksmuseum used X-rays to reveal hidden objects in a famous painting, and WPP utilized generative AI to create imaginary scenes beyond the painting’s frame for an advertisement. This campaign generated significant media value for Nestle without any production costs.

Despite the excitement surrounding generative AI in advertising, some companies remain cautious due to security risks and copyright infringement concerns. Ben King from Okta advises treating interactions with AI services as confidential information to prevent potential leaks or misuse of sensitive data.

To sum up, generative AI software is gaining traction among major advertisers as they seek innovative ways to cut costs and enhance productivity. While there are challenges related to security and bias, companies like Nestle, Unilever, and WPP are optimistic about the potential benefits this technology can bring to their marketing strategies.



This article is based on information from

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