Despite having knowledge of generative AI, only 40% of brands in the Asia-Pacific (APAC) region have implemented it, indicating a gap between consumer enthusiasm and brand adoption. While major global brands are harnessing the power of generative AI for advertising, there is still room for significant acceptance in the coming year.
Artificial intelligence has become an integral part of society, drawing the attention of both tech enthusiasts and ordinary individuals. In the corporate world, AI represents a promising opportunity to enhance the creative capacity of marketing departments and establish a unique brand identity. This is especially relevant when it comes to generative AI.
While individuals in the APAC region show great enthusiasm for generative AI, brands have been slower to adopt the technology. A survey conducted by Adobe revealed that consumers in APAC are particularly excited about the potential improvements that generative AI can bring to products and services. However, only 40% of brands in the region have officially integrated generative AI into their operations.
Tony Ng, Adobe’s managing director for Greater China, emphasized the general agreement among brands in APAC regarding the potential of generative AI to enhance employee productivity and customer experience. However, he also stressed the importance of clear policies and oversight mechanisms to avoid potential pitfalls when implementing generative AI.
Nevertheless, major global brands are incorporating generative AI into their marketing strategies. Collaborative efforts between brands like Nestlé, Unilever, Mondelez, and advertising giant WPP have shown the power of generative AI in optimizing marketing efforts. For example, Cadbury’s campaign in India, created in collaboration with WPP and Mondelez, used generative AI to produce over 130,000 customized social media ads featuring Bollywood star Shah Rukh Khan. This resulted in 94 million views at a fraction of the cost of traditional ads.
Brands such as Nestlé and Unilever have also successfully integrated AI-generated content with human finesse. Nestlé’s Global CMO, Aude Gandon, highlighted AI’s ability to generate innovative campaign ideas that are then refined by human experts.
However, as brands navigate the AI space, concerns about biased decisions, data protection, and intellectual property rights are becoming more apparent. While generative AI offers undeniable benefits, companies must carefully weigh these advantages against the potential pitfalls.
One particular concern in the use of generative AI is data protection and intellectual property. For example, Hong Kong has yet to clarify its official support for global chatbot technologies like OpenAI’s ChatGPT, raising concerns about its position as a global financial hub. However, Hong Kong’s digital population has shown interest in AI, as seen through the use of chatbot aggregation tools like Quora’s Poe.
Companies also face obstacles in adopting popular AI utilities due to intellectual property issues. For instance, HSBC’s marketing campaign featuring an AI-generated image of a famous Hong Kong comedian raises copyright concerns. Therefore, companies like HSBC are cautious and thoroughly assess the risks associated with platforms such as ChatGPT before implementing them on a larger scale.
While generative AI offers many benefits, there are still risks to consider. Industry experts, especially in marketing, express concerns about data protection and intellectual property. The future trajectory of generative AI looks promising, with Adobe’s study predicting a significant increase in business implementation. Projections indicate a 68% adoption rate in the coming months, rising to 87% within a year. Forrester Research also projects substantial spending on specialized tools for automation and productivity improvement across various sectors by 2023.
In conclusion, generative AI has captured the attention of consumers and brands alike. While brands in the APAC region have been slower to adopt generative AI, major global brands are already reaping the benefits. However, concerns about data protection and intellectual property rights must be addressed. Despite these challenges, the future looks bright for generative AI, with projections indicating widespread implementation and increased spending on AI tools.