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Dec. 29, 2025, 9:33 a.m.
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2025 AI Advertising Backlash: Risks, Controversies, and Consumer Sentiment

Brief news summary

In 2025, major brands increasingly used AI in advertising, prompting mixed consumer reactions and controversy. A survey of over 6,000 US consumers revealed that 39% viewed AI-generated ads negatively, compared to 18% with a positive stance. Critics contend that AI can mimic but not truly convey human emotions, resulting in problematic ads. For instance, McDonald’s Netherlands retracted a cynical AI-generated holiday ad after backlash, while Coca-Cola’s AI-created holiday trucks commercial was largely well-received despite some visual flaws. Meta’s AI ad platform caused frustration by replacing selected creatives with unintended AI content. Ethical concerns arose when H&M employed AI “digital twins” of models, raising issues about consent, compensation, and job security. Vogue’s AI model campaigns faced criticism for promoting unrealistic beauty standards and threatening creative jobs. Furthermore, declining brand collaborations with AI-driven social influencers indicate growing skepticism. Although AI offers innovative marketing possibilities, brands must carefully address authenticity, ethics, and consumer trust in this rapidly evolving advertising landscape.

In 2025, chief marketing officers at many top global brands made artificial intelligence (AI) a key part of their strategies, but this enthusiasm sometimes led to risky outcomes. AI-generated ads occasionally landed in the "uncanny valley, " causing negative reactions, especially around replacing human models and creatives, sparking a backlash that even became a marketing trend itself—brands openly criticizing AI. A November survey by Tracksuit of over 6, 000 US consumers revealed negative sentiment toward AI-generated ads at 39%, neutrality at 36%, and only 18% positive feelings. Matt Barash, chief commercial officer of adtech platform Nova, warned that while AI is useful for ad buying and placement, automating creative storytelling risks producing inauthentic emotions and negative headlines. Several notable AI advertising missteps made headlines in 2025: **McDonald’s Netherlands’ AI Holiday Ad** McDonald’s Netherlands released an AI-generated holiday ad portraying a chaotic Christmas filled with mishaps, suggesting its restaurants as a refuge. However, viewers found the ad cynical and the characters "creepy, " prompting social media backlash. McDonald’s eventually removed the ad and acknowledged that many customers view the holidays as "the most wonderful time of the year, " committing to more positive messaging moving forward. **Coca-Cola’s Inconsistent AI Holiday Trucks** After criticism of last year’s AI-generated "Holidays are Coming" ad as soulless, Coca-Cola released three AI holiday ads in 2025. One showed the famous trucks morphing in quantity unexpectedly, drawing attention from creatives and sparking mockery. PJ Pereira from Silverside AI defended Coca-Cola’s pioneering AI use, emphasizing a focus on creativity over perfection. Testing by System1 and DAIVID showed the ads performed well on brand recall and engagement. **Meta’s AI-Generated Granny Ad Mishap** True Classic, a men’s apparel brand, found that Meta’s AI-powered Advantage+ ad platform had replaced its top-performing ad of a millennial man with an AI-generated image of a cheerful grandmother.

Advertisers reported Meta sometimes toggled AI-generated content “on” without consent, causing unintended spending on AI ads. Meta stated advertisers using full AI image generation could review images beforehand. **H&M’s Digital Twins Controversy** Fast-fashion retailer H&M announced plans to create AI "digital twins" of 30 models for use in social media and ads, with models owning rights to their digital counterparts. The move sparked polarized reactions, with influencers and Model Alliance expressing “serious concerns” about consent, compensation, and job displacement in fashion creative roles. H&M acknowledged these concerns and emphasized ongoing learning about responsible AI use. **Vogue’s AI Model Ads for Guess** The August 2025 Vogue issue featured Guess ads with AI-generated models “Vivienne” and “Anastasia, ” labeled as produced by London-based agency Seraphinne Vallora. The images prompted backlash over unrealistic beauty standards and fears about job losses in creative fields. Some threatened to cancel subscriptions. The agency founders said AI models are intended to supplement, not replace, human creatives. Similar criticisms have affected brands like Mango and Levi’s in recent years. A broader trend shows AI model partnerships declining—Collabstr data indicates a ~30% drop in brand collaborations with AI social accounts in early 2025 versus 2024, suggesting AI models might be becoming a liability, particularly in fast fashion. Overall, while AI remains a powerful tool in advertising, 2025 revealed significant challenges and consumer wariness about its role, especially when it comes to creativity and authenticity, indicating brands must tread carefully as they integrate AI into marketing.


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