AI-powered ads follow us everywhere, from social media and search engines to apps and streaming services. For some, this feels like a godsend, ads that actually make sense! For others, it’s getting a little too creepy. Are these AI ads genuinely helpful, or are they crossing a line into invasion? In this constant tug of war, there are times when AI advertising hits the mark, but it can also seem as if it might have gone a bit rogue.
Personalisation
One of the most well-known features of AI in advertising is personalisation. Think of a time when you were browsing online, maybe searching for a new pair of sneakers. Later, you hop onto Instagram, and voilà, there’s an ad for those exact sneakers (and maybe a matching gym outfit). Thanks to AI, ads can ‘remember’ what you’re interested in, helping brands show you products that are relevant to your life.
For some, this is a welcome change. Why waste time on irrelevant ads when you could be shown products that align with your tastes? Personalised ads can also save us from endless browsing by suggesting products similar to what we’ve already shown interest in. Amazon, for instance, has mastered this with its ‘Recommended for You’ section, which uses AI to predict what we might want to buy based on our past searches and purchases. Many find these suggestions useful as one may be in the frame of mind to discover products we may not have known of.
But for others, this level of personalisation can be unsettling. The idea that your digital activities are tracked to target you with hyper-specific ads raises privacy concerns. Take the infamous case of Target’s AI system, which allegedly predicted a teenage girl’s pregnancy based on her shopping patterns and sent coupons for baby products to her home. This instance highlighted just how powerful (and invasive) AI can be when it knows more about us than even our families do.
Retargeting woes
Now, if personalised ads are the friendly reminder, retargeting ads are the clingy shadow that just won’t let go. Much stronger than the the Fevicol ka jod, retargeting ads are triggered when you visit a website but don’t buy anything. Suddenly, that product appears everywhere, like a persistent salesperson following you around a store. This is retargeting, and while it can be useful in reminding us about products we might have forgotten, it often ends up feeling invasive, like we’re being followed. These ads can even backfire, as they can irritate customers who may have already purchased the item or simply decided against it.
Digital eavesdropping?
With smart speakers and smartphones in millions of homes, what you say could be monitored. Think of a time when you mentioned something around your Alexa, and then you suddenly saw related ads on your phone. Technically, voice assistants aren’t supposed to be ‘listening’ for ad triggers but it sure feels like it sometimes. You may have even sent a message on your messaging app about a product, and then social media seems to be serving related ads to you all the time. The grey area around privacy with devices can be unnerving, to say the least.
Where do we go from here?
So, is AI making advertising helpful or invasive? The answer isn’t clear-cut. There are definitely ways that AI enhances the shopping experience, from personalised recommendations to efficient customer service via chatbots. But it’s all about how the technology is used. The key to successful, non-invasive advertising lies in transparency and moderation. The key for brands here is to strike a balance between being helpful and respecting consumer privacy.
Regulations around AI and data privacy are already evolving to ensure that companies use AI responsibly. And brands that lead with transparency, telling customers how their data is used, are gaining trust. Leading tech companies are now increasingly letting users see and control their ad preferences.
Ultimately, AI-powered ads are here to stay. If brands and platforms can focus on being genuinely helpful without crossing the line into invasion, we may see a future where AI-driven ads are something we appreciate, even if only for finding us those perfect sneakers.
This article is penned by Manisha Kapoor, CEO & Secretary General, ASCI
Disclaimer: The article features the opinion of the author and does not necessarily reflect the stance of the publication.
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