The idea that AI-generated videos can only harm is outdated; when used correctly, they can generate hundreds of millions in revenue within a year.
During Christmas 2024, Coca-Cola made its usual red truck advertisement, only this time the trucks were not real: they were AI-generated.
Since 1995, Coca-Cola’s glowing red truck ads have been a holiday tradition. So when the company made an AI-generated version, people noticed. They received backlash, some saying it was deeply ‘uncanny’ and that the ‘magic behind it had been lost.’
But what these people don’t understand is that real or fake, Coca-Cola had a plan.
By turning to AI videos, Coca-Cola was likely able to cut costs on set design, travel, equipment, actor fees, and post-production edits. According to APNews talking about the revenue increase of December 2024, published February 11, 2025, “Coke’s revenue rose 6% to $11.5 billion. That was also better than the $10.68 billion analysts were expecting.” According to Coca-Cola, during December of 2023, the “…net revenues grew 7% to $10.8 billion.” This improvement was a factor in their revenue increase.
That is a $700 million increase from 10.8 billion to 11.5 billion from the previous year. Relying on these AI-generated videos not only saved them money but also was a factor in how they made money.
The extra cash can be redirected into more important sectors of branding, which unlock many economic advantages, such as increasing ad frequency and offering more personalized marketing.
Also, these trucks are a liability. Their gas-powered trucks use fossil fuels and emit carbon dioxide into the atmosphere, contributing to rising temperatures and respiratory-related conditions, such as asthma. Switching to AI videos completely mitigates the ethical and environmental problems surrounding these trucks.
Without the shift to AI-generated videos, companies like Coca-Cola would burn their money on tradition. The money would be better spent in places where it could help in the long run, rather than hauling trucks in fake snow.
As a Brophy institution, we should move forward with implementing AI videos and learn from the economic gains of such companies. We must recognize that the narrative that they are solely harmful can hold back innovation, thus not being open to the growth and expansion of ways AI aids Brophy.
