Study Reveals Nuanced Ad Impact: Some AI-Generated Content Can Boost Brand Perception

As brands grapple with the deluge of AI-generated material online—often dismissed as low-quality "slop"—a new study suggests the advertising landscape is more complex. Joint research from Omnicom Media Group's OM Media Trials and brand safety firm Zefr indicates that not all AI content harms advertiser appeal; in some contexts, it may actually provide a lift.

The study, surveying nearly 5,000 consumers in the U.S. and Canada, tested reactions to ads placed after eight distinct categories of AI-generated video. Findings reveal a split verdict: ads following AI satire, youth-focused content, or artistic creations were perceived positively, with viewers describing associated brands as "refreshing" and "innovative." Conversely, ads adjacent to AI spam or misinformation about public figures triggered negative sentiment, particularly damaging for sectors like financial services.

"The narrative that all AI content is brand-unsafe is simply inaccurate," said Kara Manatt, EVP of Intelligence Solutions at OM Media Trials. "As AI-generated material approaches 90% of online content by 2030, per Gartner, the solution isn't blanket avoidance but intelligent placement."

The risks, however, remain tangible. Brands like Valentino and McDonald's have faced consumer backlash for their own "disturbing" or "creepy" AI-ad experiments. Further complicating matters, 32% of study participants misidentified human-created content as AI-made, underscoring widespread audience uncertainty. Most alarmingly, AI-generated misinformation about public figures was frequently mistaken for real news.

Transparency emerged as a key mitigator: 41% of respondents reported a more favorable brand opinion when AI content was clearly labeled. This suggests disclosure can turn a potential liability into a trust-building signal.

Reader Reactions:

• David Chen, Marketing Director: "This data is a wake-up call. We can't treat 'AI content' as a monolith. Strategic adjacency in the right creative environment could be a competitive advantage."
• Priya Sharma, Digital Ethics Consultant: "The finding about misinformation is terrifying. Brands funding this ecosystem through ads, even inadvertently, need far greater accountability and tools to avoid propping up harmful content."
• Marcus Johnson, Small Business Owner: "Finally, a nuanced take! As a smaller advertiser, this helps me navigate budget decisions. Not all AI content is cheap sludge—some aligns perfectly with innovative brand messaging."
• Rebecca Frost, Consumer Advocate: "This feels like a desperate attempt to rehabilitate AI's image. 'Benefiting' next to AI art is a minor upside compared to the colossal harm of funding misinformation and spam. Brands should be more cautious, not less."