Morning Brew - ☕ AI for ads?

How the ad industry is using AI
January 05, 2024

Marketing Brew

Happy first Friday of 2024. For those of you heading to CES this weekend, we wish you safe travels to Sin City.

In today’s edition:

—Ryan Barwick, Alyssa Meyers, Katie Hicks

DATA & TECH

Harder, better, faster, stronger

Flowers growing out of a computer. Getty

2023 was the year everyone’s parents asked them if AI was going to put them out of a job. We’re not quite there yet, but Marketing Brew thought it might be worthwhile to ask a few different folks in the advertising industry—an agency exec, a creative, and a data analytics expert—how AI has impacted their day-to-day operations, and where they think the tech is headed in the new year. Here’s what they told us.

Marketing Brew: How are you using AI today?

Dave Meeker, head of design and innovation at Dentsu: Dentsu has started leveraging generative AI across the business. In 2023, we prioritized compliance and established legally and ethically responsible frameworks. We have also established global technology infrastructure, enabling access to common AI platforms from Microsoft/OpenAI, Amazon, and Google. Additionally, we collaborate closely with partners like Nvidia and Meta to incorporate their offerings into client solutions and our own products. In terms of innovation, we have implemented guidelines and empowered local market leaders to explore, test, and build proofs of concept on various platforms and technologies—both commercial and open-source. The scope of AI activity at Dentsu is broad, focusing on internal efficiencies, innovative work delivery for clients, and the transformative impact on our business.

Jamie Carreiro, director of creative engineering, Wieden+Kennedy: I’ve been using AI for image creation, mainly as a tool for generating mockups and specific reference images. It fits into my workflow mostly during the idea phase, taking on the role that Photoshop comps previously held. I’ve also used it to a lesser extent as a stylization tool for finished content, and I’ve used the chatbot AIs as a way to automate simple data-based tasks—like listing a bunch of hex color codes I need, or giving me syntax for snippets of code.

Soren Larson, co-founder and CEO of Crosshatch: We’re using AI for almost everything. We use it to answer questions on code syntax, provide feedback on system designs, and write easy-to-describe functions. I’ve been increasingly using it to evaluate logic or remind me of references to things I can’t quite remember. I used AI to check to make sure references in this email were correct.

Keep reading our latest interview on AI in advertising here.—RB

     

FROM THE CREW

Order up, AI

The Crew

A seamless customer experience is a huge selling point for brands—one that can make a marketer’s job easier.

In the name of improving customer experiences, Amazon and Panera are turning to large language models and conversational AI to improve ordering. The success they’ve seen so far is undeniable, but is this really the future? Learn how this new phenomenon could change the game.

SPORTS

Girl dinner winner

swimmers in lap lanes Clive Rose/Getty Images

There’s no talking about sports marketing in 2024 without the Paris Olympics, but that’s not the only opportunity for marketers to get their heads in the game this year.

Women’s leagues and niche sports seem primed for brand investment, execs across the business of sports said, and there are some noteworthy developments in traditional men’s leagues for marketers to keep an eye on, too.

Yesterday, we shared that Olympic and individual athlete sponsorships stand to have major moments in 2024. Here are three other ways sports marketing execs predict brands will lean into athletics in 2024.

Girl dinner winner: Sports industry pros have high hopes for women athletes, teams, and leagues in 2024. Last year was record-breaking in more ways than one, and last month, Deloitte predicted that annual revenue for elite women’s sports around the world will surpass $1 billion before 2024 is out. Sara Gotfredson, founder of sports media agency Trailblazing Sports Group, said she anticipates marketers will up their spend on women’s sports by 10% YoY across the board this year.

“You don’t need a real crystal ball to predict the continued growth of audiences for women’s sports, both in-arena and on television,” Erin Kane, VP of women’s sports at Excel Sports Management, told us.

For the boys: Sports are for men, too! Headed into 2024, some marketers have their eyes on the NBA’s new in-season tournament. Jacqueline Dobies, VP of revenue and yield management at Disney Advertising, said the tournament already helped drive advertiser interest in the Christmas Day NBA games.

US men’s soccer is also on track to become of more interest to brands, according to Jas Dhami, VP of sports and streaming at creative agency We Are Social. Leo Messi already brought “explosive growth” to MLS during his first season with Inter Miami, and there’s a World Cup coming up in 2026, so “for North America specifically, it’s going to be an interesting time for brands who haven’t really played in that space to want to start getting a piece of the action,” she said.

Niche interests: While MLS isn’t known as one of the biggest leagues in the US, it’s not exactly niche, either. Sports like flag football, beach volleyball, and even cornhole fall into that category, but several sports execs expect those and more will see increased interest in 2024 and beyond.

One of Roku’s five predictions for streaming in 2024 is that “a niche sport will break through to the mainstream,” according to the company’s 2024 outlook. “The sports viewer is still just as coveted as it ever has been, but advertisers need to find new and unique ways in which to reach them,” Kristina Shepard, Roku’s VP of global advertising sales and partnerships, told us.

Read all five predictions here.AM

     

SOCIAL & INFLUENCERS

Goin’ for a scroll

Pop-Tarts Screenshots via Pop-Tarts, @wilsonlohrer/X

Each week, Marketing Brew recaps what people are talking about on social media, the trends that took over our feeds, and how marketers are responding.

Pop goes my heart: If you were online at all last Thursday (or the day after), you likely already know about the sacrifice that happened at the Pop-Tarts Bowl. The Pop-Tarts mascot, who stole our hearts right before it left this world via an extra-large toaster, was consumed after Kansas State’s victory. The posts were seemingly endless, and, like the Kansas State players who feasted on Pop-Tarts flesh, the people couldn’t get enough. The mascot may have since passed, but the memes and fan-edits are forever.

Keep reading here.—KH

     

FRENCH PRESS

French press Morning Brew

There are a lot of bad marketing tips out there. These aren’t those.

Size matters: A refresher on social media image dimensions.

No clicks: What is zero-click content, and is it something brands should be creating?

Mo’ money: How influencers and creators can grow their business in 2024.

WISH WE WROTE THIS

a pillar with a few pieces of paper and a green pencil on top of it Morning Brew

Stories we’re jealous of.

  • The New York Times spoke with TikToker @tanner.leatherstein, who’s known for cutting up designer handbags, in order to “break down how much the item may have cost to make.”
  • The Wall Street Journal asked whether 2024 will be the year that the digital agency dies.
  • Digiday wrote about how advertisers are responding to social media users moving more and more into private settings, like group chats.

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