Strategic Planning & Design Futures
Six week individual research project developing a strategic plan for Havas Group
Havas aims to provide meaningful differences to brands, businesses, and people. The task of this project was to analyze the use of generative AI within the advertising industry, and make strategic recommendations for Havas Group to provide a competitive edge.
Opportunity: AI can be used as a tool for productivity within the advertising industry
Ask: How can Havas use generative AI to their advantage?
Solution: An in-house generative AI tool
The competitive landscape for advertisers and media has been modified by the entry of digital players. During the last ten years, media agencies have expanded at a faster pace than the overall media market, acquiring a greater portion of the value produced in the advertising sector. This expansion includes the increasing use of generative AI within the sector.
Agencies have begun using AI for targeting audiences, as well as for optimizing ad creatives and platform algorithms. While there is a debate on whether or not the use of AI diminishes the need for human creators, it is important to note that AI-generated content will evolve in the next ten years leading to changes in the way brands have content created.
Generative AI poses risks for marketers due to the potential for unreliable or unoriginal content, but it can also be used as a tool for content creation rather than a standalone content creator. Havas can capitalize on both human creativity and AI as a tool for increased productivity, improved content quality, increased content variety, and personalized content to remain competitive in the future.
As AI technology advances, agencies may adopt new search engines to create more content at lower costs and generate traffic and revenue through advertising. However, the quality of AI-generated content has not yet met the quality of human-generated content, and brands using AI for SEO may see a drop in rankings if they lack substance. For Havas, I recommend using AI for website optimization, personalized content, and analytics, while still developing high-quality content to maintain a competitive edge.
The use of AI within Havas has led to two potential future scenarios. The first scenario involves using AI to optimize human creator productivity, resulting in more efficient tasks such as copywriting and editorial insights. This may save brands money, and knowledge of AI may become a valuable asset for job seekers. The second scenario involves a change in customer behavior, where buyers may distrust brands and brand marketing as platforms are able to detect AI-generated content, leading to a demand for highly skilled creators and industry experts. In both scenarios, the quality of content remains important, as human input is required to ensure uniqueness and trustworthiness.
