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Do brands need to disclose when they use AI?

There’s no expectation that brands should disclose when they’ve retouched an image or used SFX in a video, but what about AI?

Picture: DADO RUVIC/REUTERS
Picture: DADO RUVIC/REUTERS

With marketing departments starting to adopt AI into every facet of their operation, should they make it known when it was used in the making of their marketing material?

Yeah … probably. But there are some terms and conditions.

Being open about AI falls on a sliding scale, with the default being that if you’re not sure, it’s probably best to disclose. However, this scale can be evenly broken down into two sectors with a bit of a murky grey area in between.

The primary ethical concern with most brand-led AI creations is essentially the question: could a talented human be paid for what that AI just did? If the voice, person or creative in an ad is AI generated, the public wants to know, and you should tell them. A study in the US earlier this year found a 47% lift in ad appeal, a 73% lift in ad trustworthiness and a 96% lift in overall trust for companies that disclosed the use of AI in ads compared to ads with no disclosure. Literal return on equity for admitting you had a little help.  

On the flip side to this CO2-spewing AI coin (a rant for another article), we’re also seeing brands proudly divulge their use of AI for bragging rights. With this sort of disclosure, I’m going to have to say the consumers just don’t care.  

Consumers love brands that feel genuine and if you’re disclosing your use of AI as a flex for the Linkedin-fluencers, you may end up losing brownie points by coming across as a cringey tech bro. When AI disclosure is framed this way, the audience will immediately feel like your brand is willing to cut out human equity, just to jump on the AI cyber-wagon.  

Brands that can find the right balance between transparency and relevance will end up building stronger connections with their audiences while also maintaining a competitive edge

While the black-and-white use cases of AI disclosure are relatively straightforward, many brands find themselves navigating a complicated middle ground. Consider these scenarios:

When AI is used for grammar checking, headline optimisation, or A/B testing, does this warrant disclosure? These types of tools or optimisations are so widely used that it would feel like disclosing that you used spell check.

What about when human creators use AI as one tool among many? If a designer uses AI to generate initial concepts but heavily modifies them, or a copywriter uses AI to brainstorm ideas but writes the final copy themselves, the line becomes increasingly blurred.

With this in mind, it could be helpful to have a framework to follow. So, here’s yet another framework to add to your bank of frameworks:

1. Context matters (in other words read the room)

Consider your audience’s technical literacy, evaluate the extent of AI involvement in the final product and assess the potential impact on stakeholder trust (because trust issues are for everyone).

While we’re here, it’s worth noting that as AI becomes more mainstream, a lot of these disclosure dilemmas will likely sort themselves out.

—  Tilesh Bhaga: Creative Director of Digital & Innovation at VML South Africa.

2. Transparency

Develop clear internal policies about when to disclose AI use, create standardised disclosure language that’s both honest and accessible, and maintain consistency across all marketing channels.

3. Future proofing

Stay informed about evolving regulations about AI disclosure, monitor changing consumer attitudes towards AI in marketing and be prepared to adjust disclosure policies as technology advances. 

While we’re here, it’s worth noting that as AI becomes more mainstream, a lot of these disclosure dilemmas will likely sort themselves out. We’ll probably see a more nuanced approach emerge through government regulation, standardised AI involvement scales and even more AI detection tools that'll spot artificial content a kilometre (I refuse to use that other measurement system) away. The future won’t be about simple yes/no disclosures, but rather about interactive elements that let consumers dive into exactly how AI was used in campaigns. 

Ultimately, the question about AI disclosure lies more in how to disclose effectively than in whether to disclose or not. Brands that can find the right balance between transparency and relevance will end up building stronger connections with their audiences while also maintaining a competitive edge.

In the end, the goal isn’t to apologise for using AI, or to boast about it, but rather to keep yourself honest in the public eye, while maintaining a high standard of creativity and value.

Oh, and full disclosure, AI may have had something to do with this article …

Tilesh Bhaga is the creative director: digital & innovation at VML South Africa.

The big take-out: The goal isn’t to apologise for using AI, or to boast about it, but rather to keep yourself honest in the public eye while maintaining a high standard of creativity and value.

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