AI-Powered Ad Personalization Advances with Ethical Considerations
Cheil UK, in collaboration with Spotlight, is pioneering AI-powered ad personalization using advanced AI platforms and large language models (LLMs) to tailor advertisements to individuals' personalities and situations. This approach moves beyond traditional demographic targeting, focusing instead on deeper emotional and psychological profiling to customize the tone, music, colors, and copy of ads.
The potential benefits of this technology include the ability to produce thousands of unique ads and a significant reduction in digital ad wastage, which currently accounts for 15% of unseen ad spend. Supporting this, a US study found that AI-generated personalized ad text increased persuasiveness among users without concerns over AI authorship.
However, critics have raised privacy concerns and warn about the possibility of intrusive advertisements revealing intimate personal details, referring to this as 'creepy slop.' Questions remain about regulation, consumer acceptance, and brand ethics in employing such technology.
Camacho from Cheil UK emphasizes their commitment to ethical advertising, aiming to avoid manipulation and acknowledging the dual camps of opinion surrounding these practices, especially considering risks in contexts such as elections and canvassing. Industry voices like Ivan Mato highlight ongoing questions regarding consumer acceptance, regulatory permission, and the broader implications for the surveillance and data economy.
This article was updated on 18 November 2025 to clarify the methods by which Cheil UK and Spotlight create their personalized advertisements.
