This article is available to read in Trade magazine 2024/12-2025/01.
Develop content and create advertising
We’ve already seen several examples of AI-driven marketing campaign personalization based on consumer data and marketing content creation. In 2022, Kraft Heinz attempted to use OpenAI software to permanently link the word “ketchup” to the Heinz brand. In July, Mondelēz International celebrated the 200th anniversary of the Cadbury brand with the launch of a generative AI tool, giving users the chance to appear in a classic Cadbury advert. Recently, SPAR Slovenia used AI to create promotional videos and in-store holograms on its own digital channels, to raise awareness of its customer loyalty program. The retailer’s first AI-generated promotional videos were made entirely by AI, using just a few photos of the store to guide the AI.
It develops as a creative tool
According to marketers, AI is now evolving primarily as a creative tool and the content it generates will soon become a staple of food marketing. This year, research by Optimizely found that 75% of UK marketers already consider the experimental use of AI to be important in creating personalized content. The Tested to Perfection report also observes consumer optimism: more than 50% are happy with retailers and brands adopting AI, as long as it results in better user experiences and more relevant content. The direction of AI-based marketing projects is shaped by the relevance of AI and the issue of personalization. Danone is cooperating with Microsoft to apply AI to various business processes, such as predictive forecasting and real-time changes. The two parties’ Danone Microsoft AI Academy aims to enable 100,000 employees of the French giant to acquire AI-based skills. AI tools will provide deeper insights into current consumer needs and trends.
Tangible benefits
Hannah Cleland, analyst at GlobalData, told Just Food: In the future, AI will make the production and purchase of consumer goods fully personalized. By using AI, food brands can build better relationships with their shoppers because they can better tailor their offerings and services to individual needs. Chatbots and shopping assistants are now indispensable in customer service, and online review processes now serve as AI-powered touchpoints. At Tortilla, a British fast food chain specializing in Mexican cuisine, the implementation of an AI-based customer review system increased the number of reviews by 262%, while the rating of the chain went from 4.3 to 4.7.
AI has its limits
AI also has its limits. Scott Dixon, managing director of The Flava People, told Just Food: In product development, AI cannot take into account the subjectivity of taste perception, cultural differences and consumer expectations, nor unpredictability of human behavior and reactions. Additionally, because AI relies primarily on information already available on the Internet, it relies on existing models that are ultimately human-derived rather than new ideas. Yet, according to a study published in August by software developer IFS, companies that do not have a clear strategy for using AI in their supply chains will not produce the expected results. //