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Artificial Intelligence (AI) is transforming the world of marketing, with companies like Nestle and Unilever using generative AI software to improve productivity and reduce costs. However, concerns about security, copyright risks, and biased data mean that humans will still play a crucial role in the marketing process.
The Rise of Generative AI
Generative AI, which uses past data to produce content, has become a hot topic across various industries. Marketing teams are particularly interested in its potential to create cheaper, faster, and more diverse advertising strategies.
Top consumer goods companies, such as Nestle and Mondelez, are already investing in generative AI. WPP, the world’s largest advertising agency, is working with these companies to incorporate generative AI into their advertising campaigns. The CEO of WPP, Mark Read, believes that the savings from using AI can be significant, replacing the need for expensive film crews and enabling virtual production.
Real-World Examples
WPP’s collaboration with Mondelez on an AI-driven Cadbury campaign in India demonstrates the power of generative AI in marketing. The campaign featured Bollywood superstar Shah Rukh Khan, who appeared in ads asking people to shop at local stores during Diwali. Using a microsite, small businesses were able to customize the ads to feature their own stores, resulting in 130,000 unique ads and 94 million views across YouTube and Facebook.
Nestle is also leveraging generative AI, using software like ChatGPT 4.0 and DALL-E 2 to help market its products. Aude Gandon, Nestle’s Global Chief Marketing Officer, stated that the AI engine is generating creative ideas that align with the brand’s strategy. These ideas are then further developed by the creative team to create content for Nestle’s websites and other platforms.
The Debate on Creativity
While there is ongoing debate about whether content produced by generative AI models can be considered human creativity, advertisers are already utilizing this technology in their campaigns. An example is the Dutch gallery Rijksmuseum, which used generative AI to reveal new objects hidden in Johannes Vermeer’s painting ‘The Milkmaid,’ generating viral online buzz. WPP then used OpenAI’s generator system DALL-E 2 to extend the scenes beyond the painting’s frame in an ad for Nestle’s La Laitière brand. This video generated 700,000 euros worth of “media value” for Nestle, with no production costs for WPP.
Unilever’s Approach
Unilever, the owner of brands like Dove and Ben & Jerry’s, has also developed its own generative AI technology. This technology can write product descriptions for retailers’ websites and create visual content for digital commerce sites. Unilever is cautious about copyright, intellectual property, privacy, and data concerns. Aaron Rajan, Unilever’s global vice president of Go To Market Technology, highlights the importance of preventing AI models from reproducing human biases embedded in the data they process.
Addressing Concerns
Security risks and copyright breaches are among the concerns that some companies have about using generative AI in marketing. Martin Sorrell, executive chair of advertising group S4 Capital, explains that companies fall into two categories: those fully embracing AI and those taking a more cautious approach.
To address security concerns, Ben King, VP of customer trust at Okta, advises treating AI services as if they were valuable information that should not be shared with others. Companies should consider the potential risks and ensure that sensitive information is not exposed.
The Future of AI in Marketing
Despite the excitement surrounding generative AI, it is important to recognize that humans will continue to play a significant role in the marketing process. Mark Read of WPP emphasizes that while AI may disrupt certain jobs, it will also create new opportunities. WPP is investing in AI education, partnering with the University of Oxford to offer courses on the future of marketing and providing training in data and AI for its client leaders and executives.
In conclusion, generative AI is revolutionizing marketing by offering cost-effective and limitless advertising possibilities. Companies like Nestle and Unilever are already reaping the benefits of using AI in their campaigns. However, concerns about security, copyright, and biased data mean that human involvement will remain crucial in the foreseeable future. As AI continues to evolve, it is important for marketers to embrace its potential while addressing the ethical and practical challenges it presents.
Keywords: AI worldwide marketing
