The study underscores the importance of high-quality execution and insights-led creative evaluation in AI-generated advertising. While generative AI offers potential for cost-effective ad creation and early-stage ideation, poorly executed content can harm brand equity. NIQ emphasizes the need for a balanced approach, leveraging AI to enhance creative processes without compromising quality. The research involved over 2,000 participants, with brain activity measured for a subset using EEG, and highlights the role of tools like NIQ’s Ad Explorer in improving brand equity through nonconscious consumer perceptions.
Key takeaways:
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- Consumers perceive AI-generated ads as less engaging and more "annoying," "boring," and "confusing" than traditional ads, potentially creating a negative halo effect on brand perception.
- AI-generated ads elicit weaker memory activation compared to traditional ads, suggesting a misalignment with existing memory structures and potentially reducing consumer motivation to act.
- While AI-generated ads can reinforce existing brand associations, the negative perceptions may outweigh these benefits, especially if the visuals are cognitively taxing.
- High-quality execution is crucial for AI-generated ads to effectively communicate brand messages, as low-quality visuals increase cognitive effort and distract from the intended message.