Generative AI is revolutionising how we create content, producing everything from text and images to complex videos. Tools like ChatGPT, DALL-E and DeepSeek are already reshaping industries, and advertising is no exception, writes, Esme Robinson, platform solutions director at Epsilon.
Above-the-line campaigns driven by AI certainly dazzle with visuals, like Coca-Cola’s AI-powered “Holidays Are Coming” spots, but the real promise of generative AI lies in its ability to create personalised experiences, those, unexpected, tailored moments that make a digital or in-store interaction feel unique.
Generative AI will struggle on its own
Despite its potential, generative AI faces significant challenges in marketing. Chief among them is the nuance needed to create content that feels truly authentic or relevant to specific audiences. Generative AI’s outputs depend heavily on its training data. If this data is inconsistent or too broad, the resulting content can come across as generic, tone-deaf or irrelevant.
Generative AI also struggles with maintaining brand consistency and contextual understanding. Without a deep grasp of a brand’s tone, audience preferences, or cultural sensitivities, generative content risks misalignment with a brand’s established identity and tone, leading to outputs that feel off-brand or inauthentic.
Complexities in the mix
These shortfalls will be a key focus as the monetisation of major AI chat apps is mooted. In the not-too-distant future, these apps could well evolve into powerful advertising channels in themselves, akin to an advanced version of search. However, brands would have to surrender significant brand control to the autonomous nature of responses provided by the AIs.
Added to this, the emergence of platforms like Perplexity, Copilot and Amazon Rufus is making the space increasingly competitive, creating a crowded environment. Without clear strategies and guidance on how to use these tools effectively, brands risk losing their ability to stand out and connect with their audiences.
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Predictive AI offers a lifeline
While generative AI excels at content creation, predictive AI complements it by analysing data, identifying patterns and forecasting outcomes.
Predictive AI is particularly effective in audience targeting and personalisation. It identifies behaviours, preferences and purchase intent, enabling marketers to anticipate customer needs. This data-driven approach focuses on individual nuances over similarities, maximising campaign effectiveness in an increasingly fragmented advertising landscape.
Performance optimisation is another strength of predictive AI. It can evaluate the potential success of generative assets before deployment, continuously reassessing opportunities, based on goals and budgets.
Where is AI headed?
The synergy between generative and predictive AI represents the future of marketing, bridging the gap between the art and science of the industry. This partnership unlocks significant advantages both behind the scenes and in consumer-facing campaigns.
One exciting development is how large language models (LLMs) are simplifying the way brands derive insights from their first-party data. Imagine being able to simply ask “what does my highest value customer look like” and instantly receive a comprehensive profile of ideal customers, with detailed preferences and habits that can guide campaigns.
Agentic advertising
Then there’s real-time decisioning. As the industry leans into the concept of ‘agentic AI’, marketers will naturally explore the ability to create entire ads — from copy, to visuals, to calls-to-action — automatically in response to sudden events, sports results and weather changes.
The key to unlocking AI’s full potential is balance. AI should enhance, not replace, human decisioning and creativity. Human oversight remains essential to ensure outputs align with brand values and resonate authentically.
AI must combine the strengths of predictive and generative technologies to ensure that campaigns feel innovative and deeply personal. With the right strategies and safeguards, AI can move into open water and help establish a new world of possibilities for how brands connect with their audiences.
