ATLANTA—For decades, Coca-Cola’s holiday advertisements have been synonymous with yuletide cheer, featuring twinkling lights, jolly Santas, and those iconic red trucks rumbling through snowy landscapes. But in a bold pivot, the beverage giant has turned to artificial intelligence to reimagine its classic campaigns, sparking heated debates about creativity, cost-cutting, and the soul of advertising.

The company’s latest foray into AI-generated ads for the 2025 holiday season builds on a controversial 2024 effort that drew widespread criticism for its ‘uncanny valley’ aesthetics. Despite the backlash, Coca-Cola executives are doubling down, insisting that AI is here to stay in marketing.

The Legacy of Coke’s Holiday Magic

Coca-Cola’s holiday advertising tradition dates back to the 1930s, when the company helped popularize the modern image of Santa Claus as a rosy-cheeked, Coke-sipping figure. The 1995 ‘Holidays Are Coming’ ad, with its fleet of illuminated trucks, became a cultural touchstone, evoking nostalgia and warmth for generations.

In recent years, however, the rise of generative AI has tempted brands to experiment with faster, cheaper production methods. Coca-Cola’s 2024 holiday spot, created using AI tools, aimed to homage this classic but instead ignited controversy, with viewers decrying its artificial feel.

Backlash from the 2024 Experiment

According to NBC News, the 2024 video was meant to pay homage to the 1995 commercial but faced accusations of lacking authenticity. Social media erupted with complaints about distorted visuals and a ‘soulless’ quality that undermined the ad’s emotional impact.

Forbes explained that the AI-generated ads were ‘deeply uncanny,’ sparking online backlash from those who felt the magic had been lost. Critics argued that the technology prioritized efficiency over human creativity, potentially displacing artists in the industry.

Evolving AI in 2025: Improvements and Persisting Critiques

For 2025, Coca-Cola partnered with Los Angeles-based studio Silverside AI to refine the approach. As reported by The Hollywood Reporter, executives claim ‘the craftsmanship is ten times better,’ with a new synthetic spot they believe viewers will embrace.

The updated campaign includes a 60-second AI-generated film showing Santa opening a bottle, but it hasn’t escaped scrutiny. The New York Times noted that the nostalgia-filled commercials are facing backlash for dipping into the uncanny valley, with distorted elements like glitchy truck wheels highlighted by observers.

Industry Voices Weigh In

Marketing experts have mixed reactions. Forrester described the ads as a step forward but warned of new tensions in the quest to do more with less, emphasizing the difficult decisions brands face in balancing innovation and tradition.

On social platform X, sentiments range from admiration for the technological feat to outright disdain. Posts highlight how Coca-Cola ‘just stunned the world with their latest holiday ad’ using AI in unexpected ways, while others lament the loss of human creativity, calling it ‘unfortunate’ to forgo talent for algorithms.

Executive Defiance and the ‘Genie’ Metaphor

Coca-Cola executives remain unapologetic. In coverage from IGN, the company insists ‘the genie is out of the bottle, and you’re not going to put it back in,’ signaling a commitment to AI despite public outcry.

Marketing Dive reported that along with optimizing the previous ad, Coke rolled out a separate spot focused on holiday memories, aiming to blend AI efficiency with emotional resonance. Yet, fresh criticism emerged, with NDTV Profit noting social media backlash calling for boycotts over the ‘soulless’ visuals.

Economic Drivers Behind the Shift

At the heart of this strategy is cost savings. Coca-Cola spends billions annually on advertising, and AI promises to slash production times and expenses. As detailed in posts on X, the 2025 ad was produced faster and cheaper, allowing for rapid iterations that traditional methods couldn’t match.

However, this efficiency comes at a price. Business Insider pointed out technical flaws, such as inconsistencies in the AI-generated trucks, exposing limitations in current AI video technology that could undermine brand trust.

Broader Implications for Advertising

The controversy extends beyond Coca-Cola, signaling a tipping point for the industry. Analysts from Euro Weekly News labeled the ad ‘AI slop,’ reflecting fears that widespread adoption could homogenize creative output and devalue human artists.

Yet, proponents argue AI democratizes content creation. X users praised how Coke’s move ‘might change how ads are created forever,’ with behind-the-scenes looks revealing AI’s role in reimagining the 1995 classic for modern audiences.

Consumer Sentiment and Market Response

Public reaction on X shows a divide: Some view it as innovative, with high view counts on posts touting the ‘amazing’ transformation, while others decry it as ‘creepy’ and ‘cold,’ per Daily Dot.

Today reported that despite last year’s backlash, Coke persisted with AI for 2025, but metrics like social engagement suggest lingering dissatisfaction. Industry insiders worry this could alienate loyal consumers who cherish the brand’s traditional warmth.

Looking Ahead: AI’s Role in Brand Storytelling

As AI tools advance, brands like Coca-Cola are testing the waters for scalable, personalized campaigns. Marketing Edge noted the company’s doubling down on AI for the iconic ‘Holidays Are Coming’ ad, potentially setting a precedent for others.

Critics, however, caution against overreliance. Drawing from Futurism, the ad’s artificial nature risks eroding the emotional core that makes holiday marketing effective, prompting questions about whether technology can truly capture human sentiment.

Navigating Ethical and Creative Challenges

Ethical concerns loom large, including job displacement for creatives. X posts from industry figures like Chris Barber of Silverside AI celebrate the collaboration, but others, such as One Take, mourn the sidelining of human talent.

Ultimately, Coca-Cola’s AI experiment underscores a broader tension in advertising: the allure of innovation versus the irreplaceable spark of human ingenuity. As the holiday season unfolds, the brand’s bet on AI will be judged not just by views, but by whether it reignites that festive fizz in consumers’ hearts.