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Coca-Cola's AI Holiday Ads: A Controversial Take on Tradition

Coca-Cola’s recent foray into artificial intelligence for its holiday advertising has sparked significant conversation among marketers and consumers alike. The new AI-generated versions of the classic “Holidays Are Coming” campaign have been met with criticism, with some branding them as “a soulless and creepy dystopian nightmare” while others assert that Coca-Cola has “destroyed the spirit of Christmas.” Such strong reactions beg the question: has the company’s global chief marketing officer, Manuel “Manolo” Arroyo, jeopardized his career with this decision?

In a recent analysis conducted by DAIVID, the three AI-generated holiday ads did not even break into the top 30 most effective holiday campaigns of 2024, falling short against 90 other Christmas ads. This result signals that while AI holds promise for the advertising industry, it might not be the panacea that many hope for. The ads were developed by three separate agencies: Secret Level, Silverside, and Wildcard, each attempting to capture the essence of the holiday spirit through AI.

Upon comparing these new advertisements with the original 2020 version available on Coca-Cola’s Great Britain & Ireland YouTube channel, notable differences arise. All three AI ads generated significant attention initially, yet they failed to replicate the emotional depth of the classic ad, which begins with a heartwarming scene of a boy ringing a bell. Human connection and relatability serve as essential components in creating memorable holiday advertising, and unfortunately, the AI versions missed this mark.

The emotional response to the AI-generated ads was also significantly lower compared to the 2020 version. According to DAIVID’s evaluations, the original campaign evoked almost double the warmth compared to the industry average, while viewers found the AI versions lacking in genuine emotional engagement. While they did score above the average for correct brand recall, they could not generate the same intense feelings of warmth that the audience experienced with the original ad. Ian Forrester from DAIVID stated that while the AI ads quickly grabbed attention, they fell flat in creating deep emotional connections, particularly warmth—a vital component of Christmas advertising.

Interestingly, the AI versions did score significantly higher in evoking feelings of craving, likely attributed to close-up shots of cold bottles of Coca-Cola being opened. This contrasts with the original that focused more on the emotional narrative surrounding Christmas. The heartwarming sensations of nostalgia and anticipation, which are characteristic of holiday ads, simply did not resonate as they should have.

The mixed reactions to Coca-Cola’s new campaign highlight a broader trend regarding the perception of AI in marketing. To better understand why AI is facing backlash, I consulted Barney Worfolk-Smith, the Chief Growth Officer at DAIVID. He explained that the negative outlook stems from the nascent state of generative AI. As marketers encounter this new landscape, anxiety over its potential pitfalls can lead to a reluctance to embrace it fully. He maintained, however, that experimentation with AI is essential, provided brands maintain a balance with traditional methodologies that prioritize human creativity.

Worfolk-Smith emphasized the importance of maintaining emotional authenticity in advertising as AI becomes a more prevalent tool. Brands must tread carefully to avoid alienating their audience, especially in holiday campaigns that heavily rely on warmth and nostalgia. It leads to a critical observation: while AI can generate visually appealing content, it falters when attempting to replicate the authenticity of human emotions. Incidentally, this notion aligns with the concept of “the uncanny valley,” where audiences respond negatively to representations that seem close but not quite human.

In navigating the challenges posed by integrating AI into marketing strategies, decision-makers must focus on communication. Rather than treating AI as a replacement for human creativity, it should be viewed as a tool that can complement and enhance that creativity. Marketers should prioritize genuine emotional storytelling, especially in holiday advertising, to cultivate deeper connections with their audiences.

With Coca-Cola’s campaign serving as an illustrative example, the ongoing tension between human emotion and AI-generated content will remain a significant consideration for brands in the future. As businesses push the boundaries of innovation, the importance of keeping human elements at the forefront cannot be overstated. Success in advertising, particularly around the holiday season, hinges not only on attention-grabbing visuals but also on cultivating a genuine emotional experience that resonates with consumers.

As we advance into a future increasingly shaped by technology, the lesson for brands is clear: while AI can offer efficiency, it cannot replace the nuanced understanding of human emotions that defines effective marketing.