Digital Debrief 6.3.2024

Thanks for 500+ subscribers! This week, I’m covering insights into AI-powered campaigns from U.S. Bank and Klarna and exciting new marketing efforts from SONIC Drive-In , Gatorade, 可口可乐公司 , PayPal , E.L.F. BEAUTY , and more. Plus, we'll explore the latest platform updates from LinkedIn and TikTok . Let’s debrief:?

Artificial Intelligence (AI) & Search?

• U.S. Bank's new national campaign, “The Power of Us,” utilizes Supernatural AI’s platform to create audience models and optimize its messaging. Voiced by Jake Gyllenhaal, the campaign features a hero spot and additional ads highlighting the bank's support for clients and employees, available in both English and Spanish. This marks the first campaign under new CMO Michael Lacorazza and will span TV, digital, social, and out-of-home media.

• Recent shifts in the AI landscape suggest potential benefits for publishers as AI providers like OpenAI and Meta strike deals with integrating high-quality journalistic content into their large language models (LLMs). This move aims to enhance the accuracy of AI-generated responses, addressing issues of misinformation and low-quality data. Google, for example, could improve its models by filtering out less credible sources. Such partnerships may mitigate traffic loss for publishers due to AI systems delivering information directly in search results. However, this trend might challenge platforms like Elon Musk's xAI, which relies on less reliable data sources like X posts.
• Klarna has leveraged AI to cut its marketing spend by 11% in Q1 2024 while increasing output, saving over $10 million annually. The Stockholm-based fintech company achieved a 25% reduction in spending on marketing suppliers, saving $1.5 million on image generation and editing by using AI tools like Midjourney, DALL-E, and Firefly. AI also powers 80% of Klarna's copywriting through its internal AI tool, Copy Assistant. Klarna's partnership with OpenAI highlights its role in practical AI adoption, which benefits its operations and prepares it for an initial public offering. Insight: Nearly nine out of 10 employees (87%) use generative AI in their daily work.
• According to a press release from WPP, WPP is integrating Anthropic’s latest Claude AI models into its WPP Open operating system through Amazon Bedrock. This integration will enable WPP's 114,000 employees to leverage AI for tasks such as analyzing briefs and content creation. The partnership is part of WPP’s broader strategy to enhance productivity and competitiveness through AI as it continues to invest heavily in emerging technologies. This move follows similar collaborations with Google and Nvidia, underscoring the ad-holding group's commitment to staying at the forefront of generative AI advancements.

• Elon Musk's xAI, the team behind X’s Grok AI chatbot, has secured nearly $6 billion in funding from major investors, including Lightspeed Venture Partners and Andreessen Horowitz. This funding, which values xAI at around $18 billion, aims to help the company compete with leaders like OpenAI and Google by leveraging Musk’s other ventures for technology and data. Despite significant resource challenges, the hope is that Grok AI will enhance X’s platform and drive more users to X Premium.

Marketing, Influencer & Advertising?

• Sonic Drive-In has launched a new brand platform, "Live Free Eat Sonic," featuring a campaign centered around a fantastical Department of Research and Deliciousment led by a dynamic duo. The campaign starts with a 60-second ad, showcasing a blend of humor and innovation and highlighting Sonic's diverse menu offerings. Developed with creative agency Mother Los Angeles, the campaign will run across TV, digital, social, and radio. The effort aims to break through a crowded market by telling a broader brand story and providing moments of indulgence amid current societal stresses.

• LG Electronics has launched a global campaign, "Optimism your feed," to encourage consumers to engage with more uplifting content on social media. Central to the campaign is the "Optimism your feed" playlist, featuring influencer-backed original content on TikTok and YouTube, designed to promote positive content in users' feeds. Supported by research highlighting social media as a source of anxiety, the campaign is part of LG's larger "Life's Good" initiative to foster a more optimistic outlook and build brand loyalty among younger demographics.

• Adidas has launched a 90-second commercial featuring stars Lionel Messi and Florian Wirtz, narrated by David Beckham, and set to Queen and David Bowie's "Under Pressure." The ad, which aims to disarm negative pressure in sports, showcases players excelling under various high-pressure scenarios and introduces the "You got this" theme. The campaign includes appearances by other soccer stars and promotes Jude Bellingham's new Adidas apparel. It debuts on Adidas' social channels and will air during major soccer events like the UEFA Champions League Final, Copa America, and Euro 2024.

• Gatorade is reviving its iconic "Is It In You?" tagline from the 1990s and 2000s as part of its largest-ever campaign to address societal pressures on today's athletes. The campaign features a 60-second ad narrated by Michael Jordan, with appearances by athletes like Caitlin Clark and A’ja Wilson, and debuted during the NBA Western Conference Finals. The campaign will run throughout the summer, including social media activations, custom filters on Snapchat and Instagram, and nationwide billboards, emphasizing the inner drive that fuels athletic greatness.

• PayPal is launching a new advertising platform leveraging transaction data from its nearly 400 million active accounts. Mark Grether, formerly of Uber Advertising, will lead PayPal Ads as senior vice president and general manager. The platform aims to help merchants sell more by using AI to analyze transaction data and offer personalized deals, making PayPal an attractive ad partner in the competitive media network market.
• Heinz is launching its new Pickle Ketchup in the US with a digital-heavy campaign titled “You Can Already Taste It.” The campaign includes street interviews in New York City and Chicago, where people share their expectations of the condiment before trying it. It features digital video, out-of-home ads, and creator content on TikTok and Instagram. The marketing effort aims to highlight Heinz’s brand legacy and the anticipated taste of Pickle Ketchup, promoting it through various digital platforms and social giveaways.

• E.l.f. Cosmetics celebrated women race car drivers at the Indianapolis 500 with its "Lip Oil Change" activation, featuring a pit crew of "glow-up" artists, a DJ, and limited-edition merchandise. This initiative follows the brand's expanded partnership with professional race car driver Katherine Legge. To enhance the experience, E.l.f. hosted a drone show, launching a custom Indy 500 extension on its "e.l.f.UP!" Roblox experience and offer a themed Snapchat AR lens. The activation aims to promote inclusivity and empower women in racing and beyond.

• Coca-Cola has launched Coca-Cola Wozzaah Zero Sugar, a new flavor celebrating the vibrancy of Africa. Available for a limited time in Nigeria, Algeria, South Africa, and Morocco, the drink is inspired by the isiZulu term for “come here.” It features artwork by Kenyan illustrator Joy Richu and partnerships with African artists and brands to highlight the continent’s dynamic culture. This release is part of Coca-Cola's Creations platform, which explores unique flavors and cultural trends globally.

Social Media

• Sprout Social’s latest report on the best times to post on social media in 2024 emphasizes that while there are no universal best times, guides can help highlight broader engagement trends. Key findings include:

??Facebook sees most activity on weekdays between 9 am and noon

? Instagram from 9 am to 2 pm on weekdays

? LinkedIn on Tuesdays and Wednesdays between 10 am and noon

? Pinterest from 1 am on Tuesdays to Fridays

? TikTok from 2 pm to 6 pm on weekdays

? X from 9 am to 3 pm on weekdays

LinkedIn:

• LinkedIn is updating its link previews in organic posts, reducing the image size to encourage native posting, and increasing the use of sponsored updates, which will retain the larger image preview. This change aims to keep users engaged on LinkedIn, but it may impact professionals who rely on external links to build their presence. The new format will eventually apply to all organic posts, so users may need to adjust their posting strategies.
• LinkedIn’s latest infographic highlights the impact of AI on marketing, emphasizing how generative AI tools are transforming creative generation, research, brainstorming, and analytics. While these tools are not replacements for staff, they offer significant potential to enhance work efficiency and effectiveness. The insights are based on LinkedIn’s 2024 Global Marketing Jobs Outlook, providing valuable context for marketers leveraging AI in their strategies. Check out the infographic below:?

Meta:

• Instagram recently advised against using specific calls-to-action (CTAs) that ask for engagement, such as requesting users to comment with a particular word, number, or emoji, as this can limit a post's reach. Instead, Instagram encourages content that inspires genuine discussion with open-ended questions and broader CTAs. While this advice aims to prevent engagement-baiting, it has caused confusion, especially for those using automated marketing tools, highlighting the need for ongoing strategy adjustments and experimentation.
• Instagram clarified that while users can post videos over 90 seconds, these longer Reels won't be eligible for recommendation in the Explore or Reels tabs, impacting their reach. This aligns with earlier advice that posting Reels over 90 seconds can hurt distribution since Instagram’s recommendation surfaces favor shorter clips to maintain user engagement. Thus, longer Reels might be helpful in specific contexts but won't enjoy the same exposure.
• Meta has announced a renewed focus on attracting young users to Facebook despite the platform losing popularity among teens to Instagram, TikTok, and Snapchat. Meta aims to re-engage this demographic through features like Marketplace, Reels, Facebook Groups, and Facebook Dating, enhancing Reels and Feed ranking, updating the video viewing experience, and improving monetization for creators. This strategy aligns with Meta's broader goal of fostering youth interest to support future metaverse adoption.
• Meta's latest "Widely Viewed Content Report" for Facebook reveals that Hollywood gossip dominated user engagement in Q4 2023, while political content appears less prevalent. However, many widely viewed posts were later removed for violating rules. The report also highlights a significant decrease in the referral traffic, with 95.2% of posts in user feeds not including external links, reflecting Facebook's shift from link-sharing.

TikTok:?

• TikTok is exploring a US-only version of its algorithm to address national security concerns after the US Senate voted to force TikTok to be sold to US ownership or face a ban. Due to China's export-control rules, selling TikTok's algorithmic code is unlikely. As a result, ByteDance is developing a separate recommendation algorithm for its 170 million US users. This alternative feed, part of the "Project Texas" initiative, aims to make TikTok more acceptable to US lawmakers, though replicating TikTok's original algorithm may prove challenging. Additionally, the effectiveness of TikTok's visual identification system, which fuels its compelling content matching, raises further questions about its future in the US.
• For Pride Month 2024, TikTok is celebrating with a new "Visionary Voices" group featuring 15 influential LGBTQIA+ creators and highlighting LGBTQIA+-owned businesses, musicians, and more. The platform will promote these creators through increased exposure, in-app programming, and a #ShopWithPride campaign in the TikTok Shop. Additionally, TikTok will host live-streaming events, sponsor the Gayming Awards' "Best LGBTQ Indie Game" category, and feature a #PrideAnthems playlist.
• TikTok has published a comprehensive guide to its Ad Manager platform, offering detailed insights into creating and launching effective ad campaigns on the app. The guide covers the platform's UI, ad campaign structure, setup, targeting, analytics, and ad optimization best practices, making it a valuable resource for maximizing campaign performance on TikTok.
• TikTok has released a "Summer of Sports" guide to help marketers prepare tie-in campaigns for the upcoming Olympics and UEFA Euro 2024, referred to as "Summer Games" and "European Football Tournament" due to official rules. The guide offers strategies for brand engagement, critical event overviews, case studies, and specific insights for connecting with sports audiences on TikTok.
• TikTok has launched TikTok Studio, a new dashboard where creators can manage all aspects of their presence, including video uploads, editing, and performance analytics, consolidating all tools into one platform. This updated version of the Creator Center also emphasizes monetization and educational resources to streamline content workflow and growth opportunities.?
• TikTok has launched an updated transparency report providing detailed insights into detected and removed influence operations. It restricts the reach of state-affiliated media accounts attempting to influence communities outside their home country. This includes case-by-case breakdowns of influence groups and efforts to limit the spread of content from state-affiliated accounts beyond their home nations. These measures aim to address concerns over potential manipulation and the influence of the Chinese government on TikTok's operations.

Pinterest:?

• Pinterest has expanded its Inclusion Fund, partnering with Shopify to support creators from underrepresented communities. Since 2021, the fund has already aided over 150 content producers and will expand to new markets, including Australia, Indonesia, India, Argentina, and Mexico. The program helps small businesses and creators optimize content and grow their presence on Pinterest.
• Pinterest’s latest overview of Summer 2024 trends highlights bold fashion, 90’s beauty, dopamine home décor, and elegant tea parties as key areas of interest. The platform notes a significant rise in searches for "maximalist" fashion styles like “tomboy femme” and “rock and roll outfits,” 90’s beauty trends such as “calico hair” and “90s layered bob,” and eclectic, colorful home décor dubbed “dopamine décor.” With 518 million monthly active users, Pinterest’s insights are invaluable for guiding marketing strategies and staying ahead of emerging trends.
• Pinterest's latest report highlights Gen Z's increasing engagement on the platform, making up over 40% of global monthly users. The report advises marketers to optimize for search trends, make content shoppable, stay ahead of trends, connect with cultural events, and consider older audiences shopping for Gen Z.?

Snapchat:?

• Snapchat's new study, conducted with TransUnion and Dentsu, reveals that branding and direct response (DR) campaigns effectively drive sales on the platform, with no tradeoff between the two strategies. Based on three years of data from 36 advertisers, the study found that combining branding and DR campaigns results in higher return on ad spend (ROAS) across all verticals. Overall, advertisers can achieve tremendous success on Snapchat by concurrently increasing spending on both campaign types.

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