Coca-Cola's AI advert, sparks backlash

AI developments marketers need to know this week

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This controversy serves as a case study for marketers, illustrating the complexities and potential risks of integrating AI into advertising strategies, especially for well-established brands with strong emotional connections to their audience.

Why this is important for marketers:

  • AI adoption in advertising: the growing trend of using AI in marketing campaigns, showcasing both the potential and pitfalls of this technology.

  • Brand perception: the controversy affects Coca-Cola's brand image, illustrating how AI usage can impact consumer perception of a company.

  • Creative industry concerns: the backlash reflects broader anxieties within the creative community about AI potentially replacing human jobs in advertising and marketing.

  • Emotional connection: underscores the challenge of maintaining emotional resonance in marketing when using AI.

Perplexity is testing ads in the form of sponsored follow-up questions, with AI-generated answers. Brands like Indeed, Whole Foods Market, and PMG are among the first to test this new ad offering.

Key takeaways for marketers:

  • Non-intrusive Ads: By integrating ads as sponsored follow-up questions, Perplexity could offer a less disruptive advertising experience.

  • Contextual Relevance: If done well, this could be perceived as valuable rather than annoying.

  • Transparency: Perplexity emphasizes that these ads will be clearly labeled and that the AI-generated answers will remain unbiased.

  • Maintaining Objectivity: It's important to ensure that the AI remains truly objective and doesn't subtly favor sponsors.

  • User Experience: Too many sponsored questions could clutter the interface and detract from the core search experience. Finding the right balance will be key.

OpenAI has officially launched its ChatGPT search product, with a wider rollout expected in the coming months.

Key takeaways for marketers:

  • Conversational Search is Here: Search is becoming more conversational, with AI like ChatGPT changing how people find information.

  • Optimize for Dialogue: Marketers must adapt their content to be discoverable through conversational queries. This means using natural language, Q&A formats, and concise answers.

  • Deeper Engagement: Conversational search allows for follow-up questions and deeper dives.

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