Trying to distil the essence of a brand can be tricky, even for a human, let alone an artificial intelligence, cautions Kantar’s Tom Lees

ChatGPT has taken the world by storm. More than a million people were using the AI software within days of its launch and already commentators are dramatically hypothesising what it could mean culturally, socially and economically. 

The hype seems reasonably well justified. The technology has been put through its paces and, on the whole, it has done remarkably well.

An academic at the University of Pennsylvania even said he “fell in love” with ChatGPT after reading its answer to a management course exam question.

But what does this hold for retail and how could it impact the sector?

The full implications are too great to explore in a single article – from efficiency gains to how we do data mining to creative expression – but there is one thing businesses should think carefully about before leaping on the ChatGPT bus: their brand.

Tools such as ChatGPT offer huge potential to enhance consumer engagement and marketing impact, but retailers must ensure that AI protects the nuance and, crucially, the differentiation behind their brand.

Rise of the machine

We’re only just beginning to scratch the surface of how AI will change retail. Chatbots have been used to improve the consumer digital experience for many years, but ChatGPT does much more.

Its ability to contextualise customer responses and make them sound more natural should vastly improve conversations. It’s not just online interactions. ChatGPT could write product descriptions and even drive personalised recommendations. There is significant scope to benefit.

But there are possible pitfalls and businesses need to approach any AI investment with their eyes open. It comes back to AI’s ability to mimic human perceptions and creativity, and this is where the challenges could lurk.

Use it wisely

Brand is one of the most powerful assets a business can have in retail; it is the crucial differentiator in a competitive landscape. We know from our data that this brand difference and how meaningful it is to consumers is the driving influence behind the price they’re willing to pay and one of the main reasons they’ll keep coming back. Yet trying to distil the essence of a brand can be tricky, even for a human, let alone an artificial intelligence.

There are many subtleties at play depending on a business’ market positioning and what it represents emotionally, culturally, practically for consumers.

Take the word ‘disruptive’. You might call a fast-fashion business disruptive, but its approach to disruption could be very different from, say, an Amazon, a Patagonia or an Aldi, which have each reshaped markets in their own ways. Can we teach AI to understand these distinctions? Will it know how to apply just the right type of style, humour and personality to ad content or a marketing campaign?

AI software is invariably derivative, drawing on vast sources to understand what a ‘normal’ response looks like in different circumstances. Of course, humans do this too, but any businesses using AI must make sure their communication doesn’t become too generic.

“It is the storytelling around the data that really counts and this thinking must be applied to any AI-generated content too”

It’s something we often advise clients when analysing consumer behaviour – closely following trends is essential in retail, but brands are often chasing the same data.

That means they risk all coming up with the same answers. You have to learn from what the numbers are telling you, but shape your response in your own uniquely branded way. It is the storytelling around the data that really counts and this thinking must be applied to any AI-generated content too.

In a world already crammed with goods and services competing for a share of the shrinking consumer wallet, safeguarding your brand difference – tone, voice, values – is crucial to pricing power and profitability.

Can you be sure that AI will capture who you are, what you stand for and what customers like about you? However they use ChatGPT, retailers need to apply the same pride in and protection of brand that they would for any other digital channels or tools. There’s a lot to get excited about, but we shouldn’t forget the principles of what drives great marketing in the push for efficiency – strong brands ultimately come out on top.