Coca-Cola is comin’ to town. It’s making an AI ad and doing it twice, gonna find out, who thinks it naughty or nice.
The famous American multinational has brought back its iconic holiday trucks for the 2025 festive season — but with a digital twist that’s once again dividing audiences. A year after its first AI-generated Christmas ad sparked widespread criticism, the beverage giant is doubling down on AI in its holiday marketing.
Coca-Cola has unveiled a global campaign featuring several ads, led by a traditionally filmed spot titled “A Holiday Memory”. The 30-second commercial centers on a mother preparing for the holidays while reminiscing about family traditions to the tune of “Feliz Navidad.” It’s a nod to Coca-Cola’s long history of evoking nostalgia through family-centric storytelling. The spot, produced in partnership with WPP Open X — a bespoke agency team dedicated to the brand — will run across North America, Latin America, and the Asia South Pacific region.
The return of the AI-generated trucks
However, the ad generating the most buzz is a reimagined, AI-driven version of the classic 1995 “Holidays Are Coming” commercial. Created with AI studio Silverside, the new iteration once again showcases Coca-Cola’s festive trucks rolling through snowy towns, accompanied by the familiar glowing lights and music.
Unlike last year’s widely mocked effort — which drew ridicule for its distorted human figures and surreal imagery — this year’s AI update focuses on animals celebrating the trucks’ arrival. A separate “fantastical” version was also produced by AI creative house Secret Level. Coca-Cola describes the ad as an “optimized” use of AI, suggesting a refinement of its earlier attempts.
Visual glitches and public backlash
Despite the brand’s improvements, Campaign points out that viewers have spotted telltale signs of AI generation. Some frames reveal inconsistent truck designs, such as vehicles with extra wheels or misplaced axles — errors reminiscent of AI’s ongoing challenges with spatial accuracy.
Public reaction has been swift and skeptical. The ad’s YouTube upload has already amassed about 2,300 comments, many criticizing Coca-Cola’s reliance on AI over traditional animation or live production.
Viewers’ comments on YouTube were witty and caustic:
“Ah yes the holiday spirit of firing your employees to produce AI slop.”
“Who is going to buy your product if no one has a job?”
“Why is a sloth hanging out in a climate with snow that looks like the mountains of Canada?”
“The most profitable commercial in Pepsi’s history.”
Industry reaction
Some industry voices, including advertising commentator Ashley Ruthstein of Stuff About Advertising, have pointed out the irony of an AI-generated campaign paired with the tagline “Real Magic.”
The backlash echoes last year’s response, though metrics from research firm System1 suggest audiences were more forgiving in private than online commentary implied. The company’s 2024 AI campaign was rated positively for emotional resonance and brand alignment, even amid criticism from the advertising community.
In response to new criticisms, a Coca-Cola spokesperson told Campaig*: “The evolution of this kind of technology has allowed us to enhance our films and fine-tune our storytelling to create a piece of content that our customers are receptive to and that they will engage with. Last year’s film performed exceptionally well and was a success with customers which is what matters most to us.”
Pratik Thakar, Coca-Cola’s global VP and head of generative AI, reinforced that sentiment in a recent interview with The Hollywood Reporter, noting that “consumer engagement was very high” and that “some parts of the industry were not pleased we were using a 100% generative AI film, but that’s part and parcel of doing something pioneering.”
Creativity vs automation
Coca-Cola’s insistence on experimenting with AI illustrates a growing fault line in the advertising world. On one side are brands eager to harness generative tools for efficiency, scale, and novelty. On the other are creators who fear AI’s encroachment on craftsmanship and employment.
For Coca-Cola, the technology is seen not as a replacement but as an enhancer.
Thakar acknowledged industry anxieties about automation but maintained that Coca-Cola has no intention of cutting ad budgets. Instead, the company aims to continue testing AI’s creative limits.
Coca-Cola’s approach underscores the tension between technological progress and public perception. While AI promises innovation and cost savings, its imperfections — and the backlash that often follows — highlight how audiences still value authenticity and the human touch in brand storytelling.
As the holiday season unfolds, Coca-Cola’s latest campaign stands as both a celebration of festive nostalgia and a reminder of the growing pains in the industry’s relationship with AI — a balancing act that could define the next era of advertising.
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