Google to Deploy Generative AI for Ad Campaigns

Yana Khare 21 Apr, 2023 • 3 min read

Learn How Google is Leveraging Generative AI in Advertising

Leveraging Generative AI in Advertising

To revolutionize digital marketing, Google plans to introduce generative AI into its advertising business over the coming months. According to an internal presentation seen by the Financial Times, the Alphabet-owned company will utilize AI. AI will be used to create innovative advertisements based on materials produced by human marketers.
In the presentation titled “AI-Powered Ads 2023,” Google stated that “Generative AI is unlocking a world of creativity.”
Also Read: More Profound than Fire or Electricity: Google CEO Sundar Pichai on AI Developments

From Simple Prompts to Complex Campaigns

Google already uses AI in its advertising business to create simple prompts that encourage users to buy products
Google already uses AI in its advertising business to create simple prompts that encourage users to buy products. Additionally, it will also be integrating its latest generative AI—also powering its Bard chatbot—which means it will be capable of producing more sophisticated campaigns resembling those created by marketing agencies.

The presentation explains that advertisers can supply “creative” content such as imagery, video, and text relating to a particular campaign. The AI will then “remix” this material to generate ads based on the audience it aims to reach, along with other goals like sales targets.

Addressing Concerns of Misinformation

One person familiar with Google’s presentation expressed concern that the tool could spread misinformation because text produced by AI chatbots can confidently state falsehoods. “It is optimized to convert new customers and has no idea what the truth is,” the person said.
To address these concerns, Google informed the Financial Times that it plans to put firm guardrails in place to prevent such errors, known as “hallucinations,” when rolling out its new generative AI features in the coming months.

Integrating Generative AI with Performance Max

The new technology will be embedded into Performance Max, a program Google has offered since 2020. It uses an algorithm to determine where its ads should run, how marketing budgets should be spent, and produce simple ad copy.
The advertising industry faces significant challenges as businesses seek to control costs and face increased restrictions on using personal data for marketing purposes. Google’s advertising revenue slipped by 4% in the final quarter of last year. This led to Alphabet’s overall revenue growth of just 1%.

The Race to Automate Advertising

Companies use social media platforms, and thus advertising for most of their revenues
The most prominent social media platforms, which rely on advertising for most of their revenues, seek to use the latest automation technologies to attract clients. Meta, the owner of Facebook and Instagram, launched a similar offering to Performance Max last year called Advantage+. It also plans to use generative AI in its ad systems by the end of the year.
Also Read: Meta To Commercialize Generative AI by December

A New Era of AI-Powered Advertising

Google’s deployment of generative AI for sophisticated ad campaigns signifies a shift in the marketing landscape. As AI advances, digital marketers can anticipate increasingly powerful and versatile tools. These tools will help them create innovative campaigns and reach their target audiences.
By implementing AI-driven creativity, Google aims to overcome current limitations in digital advertising. Additionally, it will also provide a competitive edge in the industry. Google and other tech giants like Meta are racing to incorporate generative AI into their advertising platforms. Expect a transformation in how advertisers create and optimize ads for various audiences and objectives in the industry.
However, the potential for AI-generated misinformation highlights the importance of implementing strict measures to prevent the spread of false information in advertising. As generative AI technologies become more prevalent in the advertising industry, responsible use and ethical considerations will be crucial for businesses and consumers.
Learn More: A Comprehensive Guide to Digital Marketing and Analytics

Yana Khare 21 Apr 2023

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