Forget chestnuts, people are roasting Coca-Cola’s AI ad this Christmas. The backlash feels even stronger than last year, which probably isn’t what the brand was hoping for. Coca-Cola had boasted about how much better the ad was this year, apparently determined to prove itself right after last year’s scrappy effort…. only for it to get panned more loudly.
The comments on Coca-Cola’s social media are almost entirely negative, and those on our own accounts when we posted about the ad were hardly any more complimentary. “If Coca Cola can’t “afford” to use real artists, who can?!” one person wondered, while others declared Pepsi to now be the ‘artists’ soda’. Someone even made a devastating graphic to show some of the glaring inconsistencies in Coca-Coca’s AI Christmas ad.
Coca-Cola | Holidays Are Coming – YouTube
A smaller contingent did question whether the public at large really cared or even noticed that the ad was AI-generated. “As if the end consumer pays attention to any of the details we do,” one person wrote.
You may like
So will it really harm how Coca-Cola’s brand? Or is it only a noisy minority that despises its use of AI? And are there ways that other brands can use AI and avoid a public hanging. We asked two branding experts for their views.
“I think it’s less about the volume and more about who’s reacting,” says Dustin Black, Executive Creative Director at Preston Spire. “The people most upset tend to be the ones who care deeply about what Coca-Cola has always represented – authenticity, real moments, human connection. These aren’t just casual viewers; they’re often your most passionate advocates. When that group feels let down, it matters, even if they’re not the majority.”
Digital Marketing Expert Jeff Sherman from Top Marketing Agency agrees. “Some may argue that AI allows brands to innovate and reduce production costs, and that the younger, digital-native audiences are more forgiving. While that is partially true, the risk is reputational,” he warns. “when AI feels gimmicky or intrusive, it can undermine decades of trust and emotional capital built by the brand. Innovation without strategy can easily backfire, regardless of the audience’s tech savviness.”
The importance of brand consistency in the times of AI
Context is important. Preston notes that categories like beauty and fashion have long tended to lean into hyperreality, so AI may feel more natural there. But Coca-Cola has spent over a century building its brand around the idea that ‘real’ is better.
From the tagline ‘It’s the real thing’ in the 70’s to its multiple reversions in ‘Can’t beat the real thing’, ‘Make it real’ and ‘Real Magic’. Leaning into generative AI so heavily seems to contradict that. Preston suspects it may be an attempt to keep Coke relevant to new audiences and avoid being seen as an ‘old-school beverage’. But is that worth changing the entire brand message?
“I think it starts with really understanding what your brand stands for. If authenticity and human connection are core to your identity, you need to be thoughtful about where and how AI plays a role,” he says. “It doesn’t mean you can’t use it – but maybe it’s better suited for certain production elements rather than replacing the human story entirely.”
Shouldn’t Coca-Cola have realised that after last year’s response? The response to the first AI Holidays are Coming ad already showed that this was a sensitive area.
You may like
“They had an opportunity to refine their approach,” Preston thinks. “Maybe use AI more selectively, keep humans front and centre, use it for backgrounds or production efficiency rather than the whole narrative. The fact that we’re having the same conversation again suggests they may have underestimated how much people value that human touch in holiday advertising specifically.”
Jeff advises brands not to use AI for novelty’s sake, noting that research has shown emotional engagement drives brand loyalty more than novelty or technical sophistication.
“Even sophisticated AI animations can appear cold or impersonal if they overshadow the story, characters, or brand values that audiences expect,” he points out. “In Coca-Cola’s case, viewers reacted negatively because the ad lacked the warmth, subtle cues, and playful imperfections that make the brand’s seasonal campaigns memorable.”
Transparency and timing
Coca-Cola | Holidays are Coming, Behind the Scenes, Classical 2:42 – YouTube
At least Coca-Cola didn’t try to hide its use of AI. On the contrary, it even celebrated it with a bizarre AI-voiced making-off video. That may have made the response even more vehement, particularly given the timing.
“There’s a difference between disclosure and celebration,” Preston says. “Given the current climate–people anxious about job displacement, concerns about what’s real versus generated–promoting the use of AI might have been a step too far.
“Being honest about using these tools is good. But elaborating at length on how AI lets you work faster and cheaper while bolstering your metrics and business results, when people are feeling really vulnerable about it, is trickier. Transparency works best when it’s paired with sensitivity to what’s happening in the broader culture.”
He thinks a more suitable place for AI might have been in a more niche activation, at an event like SXSW, or even a New Year celebration rather than Christmas. “The holiday time is about nostalgia and family and humanity,” he says. “What’s more, the ad was released just as a key October layoffs report hit, showing massive reductions in force spawned largely by AI. The timing was not ideal.”
How to use generative AI and not kill a brand in the process
So is there any place for generative AI in branding and advertising assets?
“The sweet spot is using AI as a tool that amplifies human creativity rather than replaces it,” Preston suggests. “Use it to explore more options faster, to handle repetitive tasks, to help with insights and efficiency. But keep humans at the centre of the storytelling, especially for brands built on emotional connection.”
“The best use of AI should be relatively invisible,” he adds. “It should help us work smarter so we can invest more deeply in the insights and human storytelling that actually connects with people. When technology becomes the story instead of serving the story, that’s when you run into trouble. We’re all learning together right now, and I think the brands that approach it with curiosity and respect for what people value will find the right balance.”
Jeff suggests that brands experimenting with AI need to always make sure they use the technology as a tool, not a replacement. He also recommends testing audience reactions before full-scale deployment. “Let AI enhance visuals, test creative concepts, or optimize workflows, but never substitute for story, emotion, or brand identity,” he says. “Pre-testing with focus groups and preserving human touches ensures that AI serves creativity rather than diminishes it.
“Coca-Cola’s misstep reminds all marketers that while AI can be transformative, the core of brand communication remains human. The emotional connection, nostalgia, and authenticity that audiences crave cannot be outsourced to technology. Instead, they must be thoughtfully woven into every campaign.”