Provocations about AI and Brand Building

As a techno-optimist, I'm excited by AI's potential to revolutionise marketing. However, as these technologies evolve and proliferate, marketers and brand builders must grapple with crucial, unresolved questions.
 

The Personalisation Paradox

Generative AI promises hyper-personalised campaigns, tailoring creative executions to individual consumers. But this raises a critical question: how can brands embrace AI-driven personalisation without eroding the shared meaning that often underpins their success?

Many brands serve as badges of identity, helping consumers signal their values, beliefs, or status. Take Ferrari – its power lies not just in owners knowing their car is pricey, potent and prestigious, but in everyone else recognising this too. Potentially, hyper-personalisation risks fragmenting brand meaning, diluting the common associations that make a brand effective. If Ferrari meant a million different things to a million different people, would it be more successful… or less? This personalisation paradox demands careful consideration from marketers seeking to leverage AI without sacrificing brand effectiveness.

The AI Adoption Dilemma

In a world where generative AI makes parts of the creative process quicker and cheaper, what will it say about a brand when it actively chooses not to use it? Dove has already announced it won't use AI-generated models in its campaigns, reaffirming its commitment to "real beauty." Other brands, particularly those emphasising craft and authenticity, may follow suit. If you’re all about being real, you can’t really fake it. Marketers must develop a nuanced understanding of consumer attitudes towards AI in brand building. How will AI use (or non-use) affect brand perceptions? Brands need to proactively develop AI principles to determine where, when, and how to employ generative AI in a way that supports their brand strategy.

The AI-Driven Consumer Shift

While marketers explore AI-powered campaigns, consumers are turning to AI platforms like ChatGPT for advice and decision-making. As this behaviour becomes mainstream, people may increasingly rely on AI agents for everyday tasks – from weekly shopping to travel planning. Potentially, AI agents might cause consumers to move from existing well-established channels. That not only makes it harder for advertisers to reach them with their hyper-personalised campaigns, but could fundamentally impact how brands are discovered and chosen in future. This shift poses critical questions: how will brands reach consumers in a world where people outsource their daily decisions to AI? Should they even focus on reaching those AI agents instead?

Some brands may optimise for AI discoverability. OpenAI's "Preferred Publisher Program" already promises priority placement in chat conversations. Alternatively, brands might double down on building direct relationships and mental availability outside AI channels, encouraging consumers to refer to them by name in their AI queries. We may even see brands investing in proprietary AI agents for category navigation, product support, or other services. However, these agents will need clear and genuine value propositions and carefully designed personalities to serve as effective brand ambassadors.

Operational Considerations and Effectiveness

As brands operationalise AI in their workflows, they will need to identify the best ways to track and monitor its effectiveness. Synthetic data, artificially generated information mimicking real-world datasets, offers uncanny accuracy. However, marketers must consider how often these datasets need updating to remain useful. Similarly, as generative AI is used to create brand assets, marketers will need to fine-tune models to make sure they generate distinctive brand assets consistently as well as maintaining their brand's personality and tone of voice. 

The AI revolution in marketing is undeniable, but it's not without complexities. Savvy marketers must navigate the personalisation paradox, make intentional choices about AI adoption, prepare for shifts in consumer behaviour, and vigilantly monitor AI's operational effectiveness. By grappling with these provocations head-on, forward-thinking brands can harness AI's power while safeguarding the essence of what makes them valuable to consumers. The future of brand building in the AI age belongs to those who can strike this delicate balance.

Authored by Matt Boffey, Chief Strategy Officer, Design Bridge and Partners. 
Design Bridge and Partners are partners of The Marketing Society.

Published on 23 July 2024