Coca-Cola Aired an AI-Generated Christmas Commercial for the Second Year — What It Signals for Agencies

Coca-Cola aired an AI-generated Christmas commercial for the second consecutive year — a sign that major brands view AI production as viable for their most important campaigns.

AI Automation - Coca-Cola AI Christmas Ad

Why This Matters:

Christmas commercials aren’t experiments. They’re the highest-stakes, most-watched advertising of the year. If Coca-Cola trusts AI for Christmas, every campaign is now in play.

The AI Production Tools:

  • Google Nano Banana: Text-to-image at scale
  • OpenAI Sora 2: Text-to-video generation
  • Production costs collapsed by an order of magnitude

The Cost Savings Are Real:

  • MediaLink reports agencies adopting AI recorded over 27% in cost savings
  • Static image production costs dropped -1000%

The Signal:

When AI raises the bar for ad quality generally, the differentiation agencies provided through production excellence becomes less defensible. If anyone can generate decent AI content, what’s the agency’s role?

The answer: orchestration, not production.


This is part of a comprehensive analysis. Read the full analysis on The Business Engineer.

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