Bunnings Breach – A Test of Privacy | Coke’s AI backlash | What will Social Media Ban mean for Marketers? | Buyer Beware: Principal Media

Welcome to TrinityP3 for FIVE. A curated newsletter of the five things the TrinityP3 team thinks you need to read this week.?

Our goal with TrinityP3 for FIVE is that in five minutes of reading on a Sunday you can get up to speed, feel more informed or even get a head start on your week by looking ahead.?

And don’t forget you can sign up to the email version of the newsletter here or the LinkedIn version here. We have also launched an experimental AI audio edition here (the AI robots have views on adland, people!)?

This week’s curator is Nick Hand , Senior Consultant.?

November 24, 2024

THE FIVE

1. BUNNINGS PRIVACY BREACH – HOW FAR CAN BRANDS TAKE TECH?

This week the Privacy Commissioner ruled Bunnings breached the privacy of potentially “hundreds of thousands” of Australians through its use of facial recognition technology at the entrance of stores.?

The landmark decision drew national media attention, especially after Bunnings moved to defend its use of the tech in stores by releasing confronting CCTV footage of some extreme, violent customer incidents. Bunnings argues it uses the technology to protect staff against “serious” crimes and violent interactions allegedly perpetrated by a “small number of known and repeat offenders”.

Central to the Privacy Commissioner’s decision was the lack of disclosure for customers and the failure to seek their consent. Privacy Commissioner Carly Kind acknowledged Bunnings’ concerns around staff safety but argued “just because a technology may be helpful or convenient, does not mean its use is justifiable”.

Bunnings plans to seek a review of the determination in what will be an important test case for how far brands can take these technologies and how consumers view privacy.

Why it matters (NH): A classic case of legislation not being able to keep pace with technology. Retailers have long used CCTV to assist in security and theft prevention, and yes, to track customer shopping behaviour and purchasing patterns in-store. FRT technology takes this a step further. Closing the loophole of “implied consent” to be videoed or photographed puts this practice in jeopardy, potentially impacting a key operational and marketing data point.?

And could this prompt the legislators and/or Privacy Commission to review and tighten other areas of privacy regulation that have hitherto been standard practice, further limiting the collection and use of customer data?

2. BAH HUMBUG: COCA-COLA TURNS TO AI FOR ANNUAL HOLIDAY AD, GETS ACCUSED OF RUINING CHRISTMAS

Whilst AI has been on the rise for a while, 2024 has seen the technology put squarely front and centre.

One of the biggest brands in the world, Coca-Cola, has opted to create its iconic annual Christmas ad entirely using AI. Despite initially testing well, the sentiment shifted rapidly once the ad was released. David Jones , founder and CEO of The Brandtech Group, told AdWeek, “If a big, high-profile advertiser like Coca-Cola starts using AI in one of its most iconic campaigns, then it’s a real threat to those people concerned about the AI future. It just multiplies and accentuates those fears.”*

Subtle errors in the ad see trucks gliding rather than rolling along on spinning wheels and questionable proportions. On TikTok, commentary includes “Coca-Cola just put out an ad that ruined Christmas and their brand”, and “If Ebenezer Scrooge worked in advertising, this is what he’d produce.”

All this at the same time as the new Pepsi ad’s release, which is reportedly “one of the strongest ads they've released over the past 24 months with American consumers”.

Why it matters (NH): Just because you can, doesn’t mean you should. Coke’s effort strikes as a “gee, look what we can do” stunt – using the technology for technology’s sake. The sugar-free version when everyone knows real Coke tastes better.

I wouldn’t go so far as to say they’ve ruined Christmas or the brand, but technology still has clear limitations. Generative AI is obviously attractive to marketers; the efficiency of being able to produce more with less is compelling, and the technology is not going anywhere soon. But marketers need to find a balance. Using these tools where it makes sense, but perhaps not where it's front and centre and likely to become the primary topic of consumer and social media conversation.

*Editors note: Please note the David Jones quote has been updated in AdWeek and therefore we have updated it in this newsletter.

3. WHAT WILL THE AUSTRALIAN GOVERNMENT’S SOCIAL MEDIA BAN MEAN FOR MARKETERS?

The Australian Government’s proposed social media ban has captured headlines for weeks. If passed, the bill will seek to bar anyone under the age of 16 from social media with $50 million fines for companies who break the laws. However, enforcement is the big question.?

Those arguing for the ban – including a former TikTok executive – have said it’s for the good of young people in Australia, shielding them from the dangers of the internet. On the flip side, people such as these academics from the University of Melbourne argue that “instead of blanket bans, we should be encouraging tech companies to develop better tools to help parents educate their children”.?

For marketers, if the ban comes into effect, “all paid, organic and influencer marketing that targets that demographic will basically stop working overnight”.

Why it matters (NH): The biggest challenge to the proposed ban is its feasibility (how will it be/can it be policed). The resulting effects on marketing may not be clear for some time. But assuming the law comes into force and is effective, the challenge for marketers lies less in advertising, where the Children’s Advertising Code is extensive in setting out guardrails for what can and can’t be communicated.?

The much greater threat is the loss of advocacy and promotion of products by Under 16s themselves, in the form of user-generated content and social forums. Marketers will need to get creative and consider other platforms (gaming, music streaming apps) but will still be likely to lose sway over this demographic.

4. AI ACCELERATION: MICROSOFT ROLLS OUT SUITE OF AI PRODUCTS?

You might have noticed this week your Microsoft tools now come with the company’s AI products integrated.?

Microsoft is rolling out its Copilot personal assistant to subscribers in Australia, New Zealand, Malaysia, Singapore, Taiwan and Thailand. The tool uses AI to automate day-to-day tasks, and according to the tech giant is already being used by almost 70% of Fortune 500 companies.

Why it matters (NH): Like any technology, AI has its share of early adopters using various open source and SaaS tools to boost productivity. Previously, most of these had to be explicitly sought out. Now, with Copilot being rolled out across Microsoft’s subscriber base, AI technology will be more accessible to a wider audience, including the early and late majority.?

Those sceptical or too lazy to try now have no excuse (albeit Copilot functionality does vary depending on your subscription level), but being exposed to these tools in familiar, everyday apps adds credence to Mark Ritson 's dire warning of wholesale automation in marketing functions by the start of the next decade.

5. BUYER BEWARE: PRINCIPAL MEDIA BUYING DEBATE KICKS ON

Media transparency and topics like principal media are often whispered about, but it’s interesting to see Mutinex's Henry Innis pick up the topic on his substack this week and also for Ben Shepherd to pick it up on his new paid newsletter Signal+. There are some fascinating LinkedIn discussions here on Innis’ piece and here on Shepherd’s piece with arguments for and against.?

Why it matters (NH): Often lost in this debate is the notion of value: how does the buyer (in this case the marketer and their organisation) perceive the benefit of the goods and services being received. And it is both: the goods being the media inventory, and the services being the planning of, the booking of, and everything that facilitates that process. If your organisation’s concept of “value for money” is simply the lowest cost in all aspects, then an opaque principal-based model might well be for you.

If, however, effectiveness and return on investment (proper revenue growth return outcomes) is your definition of value, it would be useful to know where your money is being spent and how the fee and margin arrangements are structured – impossible to know in a non-transparent model, and difficult to ascertain in most principal-based models as they are currently operated. As always, the correct answer lies somewhere between the two extremes, and the savviest organisations will want to take back control of these factors where it makes sense.

THINGS THAT CAUGHT OUR ATTENTION?

Kylie Ridler-Dutton , Senior Global Consultant, TrinityP3?

Getting attention in the current media economy is hard but this “brat” takeover of Times Square definitely cut through. ?

Darren Woolley , Global CEO, TrinityP3?

This week, Sydney agency Emotive joined Deep Rising to stop deep ocean mining and protect the last great wilderness using blockchain technology to create a unique NFT for supporters like me.

Nic Christensen , Senior Consultant, TrinityP3?

Congratulations to TIM BURROWES and Vivienne Kelly on the announcement of their new ABC media radio program Medialand launching in 2025. It’s been some years since Aunty had a radio/audio media show - the industry will definitely be listening.

Stephen Wright , Business Director Media Australia & Global

Many people have been asked what the new media proposition would look like from Accenture Song. This week we got the first window into it with this interview with the trio running it in The Australian. It will be interesting to see how their rivals respond.

Nick Hand , Senior Consultant, TrinityP3??

Just love this from Legacy and VML. Lest we forget, a winning idea isn’t always an “ad”. I’ll be shouting a Legacy Lager in my late grandfather’s name at the first opportunity I get.

Anton Buchner , Senior Consultant, TrinityP3?

ROAS has always been a dumb metric. Short-sighted and silo thinking. This Mi3 piece highlighted how more parts of the ecosystem, particularly media, are now thinking the same way on this topic.

Nathan Hodges , Managing Director ANZ, TrinityP3?

Well done to Toby Hemming , Brittney Rigby , and the Little Black Book team on the Immortal Awards this week in Sydney. It was a very high calibre of Australian creative going onto the global stage through the program.

Lydia Feely , General Manager, TrinityP3?

This week, my attention was on the launch of f(v) advisory, a new consultancy I’m doing focused on providing expertise and focus on sustainable growth while unlocking the total value of the marketing function. I’ll be working on this in addition to my role at TrinityP3.

WHAT WE’VE BEEN UP TO

This week, we launched part one of a two-part series with Will Anstee from The Online Safety Agency. The second part is out on Tuesday and looks at what government, tech platforms, brands and marketers should be doing.

WHAT MADE US LAUGH?

The world of marketing was obsessed with Jaguar after launching a bizarre overhaul of their brand this week. As a team, we’re not sure what’s weirder, Rob Mayhew 's take on the ad or the ad itself.?

AND FINALLY?

We would love your feedback on the TrinityP3 for FIVE. Please email [email protected].