World’s Biggest Advertisers Embrace Generative AI Software for Cost-Cutting and Productivity Boost
Some of the world’s largest advertisers are turning to generative AI software to reduce costs and increase efficiency, according to industry executives. Companies like Nestle and Unilever are experimenting with software such as ChatGPT and DALL-E to explore cheaper and faster ways to advertise their products. However, concerns about security, copyright issues, and the potential biases of the raw data used are causing some companies to approach the technology with caution.
Generative artificial intelligence (AI) has gained significant attention across multiple industries in recent years. It allows for the production of content based on past data, offering seemingly limitless possibilities for advertising. As a result, investment in AI is on the rise, as advertisers anticipate that it will revolutionize the way products are brought to the market.
WPP, the world’s largest advertising agency, is collaborating with consumer goods companies like Nestle and Mondelez to integrate generative AI into their advertising campaigns. By leveraging AI, WPP achieved substantial savings by virtually creating content previously produced through expensive film shoots. For instance, WPP collaborated with Mondelez in India to create AI-generated Cadbury ads featuring Bollywood actor Shah Rukh Khan, resulting in a staggering 94 million views on YouTube and Facebook.
WPP has also recognized the importance of training young talent in AI. The company has partnered with the University of Oxford to offer AI for business diplomas, which provide data and AI training for client leaders and WPP executives. WPP’s CEO, Mark Read, believes that AI will disrupt various job markets but also create new opportunities.
Nestle, too, is exploring the potential of generative AI software like ChatGPT 4.0 and DALL-E 2 to enhance their marketing efforts. Aude Gandon, Global Chief Marketing Officer at Nestle, explains that the software helps generate ideas and inspiration for campaign briefs, which are then further developed by the creative team. Nestle remains committed to prioritizing security and privacy in their AI initiatives.
Unilever, which owns numerous well-known brands, is also utilizing generative AI technology. Their AI tools can write product descriptions for retailers’ websites and provide automated visual content for platforms like Amazon.co.uk. However, the company is cautious about potential copyright and security risks, as well as ensuring that the AI models do not reinforce stereotypes that may exist in the data.
While generative AI holds great promise for the advertising industry, companies must contend with potential risks and biases associated with the technology. Privacy concerns, copyright breaches, and unintentional propagation of biases pose challenges that must be addressed to ensure ethical and responsible use of generative AI.
In conclusion, the world’s biggest advertisers are increasingly adopting generative AI software to cut costs and drive productivity. By leveraging AI, companies like Nestle and Unilever are exploring new ways to advertise their products more quickly and affordably. However, they remain cautious about potential risks and biases and emphasize the importance of addressing them to ensure the responsible use of AI technology in advertising.