Core Viewpoint - Coca-Cola is leveraging AI in its marketing strategy, particularly in its holiday advertising, despite facing criticism for the lack of creativity and emotional depth in its AI-generated content [2][5][10]. Group 1: AI Advertising Strategy - Coca-Cola's 2023 holiday advertisement utilized AI to recreate the classic 1995 ad "Holidays Are Coming," featuring animated characters like polar bears and sloths to avoid the "uncanny valley" effect [2][3]. - The production process involved a small team generating 70,000 video segments, with a final production time of only 30 days, showcasing advancements in AI technology [3][4]. - Despite the technical improvements, the ad received significant backlash for being perceived as lacking originality and depth, with critics suggesting it was a mere rehash of past content [5][8]. Group 2: Strategic Shift in Advertising - In 2023, Coca-Cola made a significant move by cutting ties with over 6,000 advertising agencies and establishing "Studio X," a global digital marketing ecosystem aimed at consolidating creative control [6][7]. - This shift signals Coca-Cola's intent to internalize creative processes and reduce reliance on traditional advertising agencies, which they view as costly [7][8]. - The company has produced three AI-driven ads, indicating a commitment to integrating AI into its marketing strategy despite initial controversies [8]. Group 3: Revenue Growth Management (RGM) - Coca-Cola's push for AI in advertising is part of a broader strategy focused on Revenue Growth Management (RGM), which aims to optimize pricing, product offerings, and marketing strategies [11][12]. - The company has streamlined its brand portfolio from over 400 to around 200, focusing on high-margin categories and adjusting pricing strategies based on market sensitivity [12][13]. - Recent financial reports indicate a 5% revenue growth to $12.455 billion in Q3 2025, with a 6% organic revenue increase and a 29% rise in net profit, reflecting the effectiveness of its RGM strategy [17]. Group 4: AI's Role in Future Growth - Coca-Cola views AI as a critical component in enhancing its operational efficiency and marketing effectiveness, aiming to create a consumer-centric growth system [10][18]. - The company has established a comprehensive digital infrastructure that allows for real-time data analysis across its supply chain and marketing efforts, facilitating agile decision-making [20][22]. - AI is expected to play a central role in automating and personalizing marketing strategies, ultimately driving revenue growth and reshaping the marketing landscape in the consumer goods industry [22][23].