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Why AI-Generated Holiday Ads Fail — And What They Teach Us About Using AI in UX Work

Nielsen Norman Group

Article Overview

The article analyzes the failure of recent AI-generated holiday advertisements from major brands like McDonald's and Coca-Cola, using these public backlashes as a lens to understand the responsible integration of AI into UX and creative work. The core argument is that these ads lacked authenticity and emotional resonance, underscoring the indispensable need for human judgment and a deep understanding of user needs, even when leveraging advanced AI tools.

Several key criticisms emerged from the public's reaction. Technically and aesthetically, the AI-generated visuals often fell into the "uncanny valley effect" – a phenomenon where nearly human-like figures or objects create a sense of unease or revulsion rather than empathy. Viewers were distracted by subtle distortions, leading to a collapse in emotional connection. To mask these limitations, the ads relied on rapid montages, distant camera shots, and minimal close-ups, which ultimately undermined cohesive storytelling, making the narratives feel fragmented and disorienting. Beyond technical flaws, the content was perceived as "soulless" and inauthentic, lacking the human creativity and authorship traditionally associated with compelling holiday narratives. This mismatch was particularly jarring for holiday campaigns, which carry high emotional stakes and deep-seated nostalgic expectations, leading to intense public rejection.

Furthermore, the use of AI was often interpreted as a cost-cutting measure, prioritizing efficiency over craft and potentially replacing human labor, despite substantial human involvement in the AI production process. For instance, Coca-Cola's 2025 campaign involved 5 AI specialists working for a month to generate 70,000 video clips, with around 100 staff involved overall. McDonald's campaign similarly required 7 weeks of production with up to 10 in-house AI and post-production specialists. Critics argued that such resources could have been better directed towards conventional human-driven production to create more original and authentic content.

Companies, however, are often driven by an "obsession" with AI campaigns to appear competitive, appeal to investors, and demonstrate technological ambition, sometimes using AI "for the sake of using AI." The article suggests that brands might even anticipate and strategically accept controversy, recognizing that negative high-arousal emotions (like anger or disgust) can drive social sharing and amplify visibility, as supported by research from Jonah Berger and Katherine Milkman. Ultimately, these failures highlight that while AI offers powerful capabilities, its application in creative and user-facing contexts must be guided by human-centered principles, focusing on genuine connection and authenticity rather than just technological novelty.

Impact on Design Practice

For UX/UI designers, the lessons from these AI ad failures are profoundly relevant, especially as AI tools become more integrated into design workflows. The "uncanny valley effect" isn't limited to human faces; it can manifest in AI-generated UI elements, content, or even conversational AI, leading to user distrust or discomfort if not carefully managed. Designers must prioritize authenticity and emotional resonance, ensuring that AI-assisted outputs feel genuinely human-crafted rather than algorithmically mass-produced, much like a chef carefully curates ingredients rather than just dumping them together.

This means that while AI can accelerate ideation, content generation, or prototyping, human oversight remains critical. Designers need to act as curators and editors, refining AI outputs to inject the nuanced emotional depth and cultural understanding that algorithms currently lack. Just as a conductor guides an orchestra, a designer must guide AI to produce harmonious and meaningful user experiences, ensuring the narrative serves the user's needs and emotions, not just what the technology can technically achieve. Failing to do so risks alienating users who perceive the experience as impersonal or a cynical attempt to cut corners.

Moreover, designers must be mindful of the ethical implications and user perceptions surrounding AI's role in creative work. If users perceive AI as replacing human creativity or prioritizing efficiency over quality, it can erode trust in the brand and the product. This necessitates transparent communication about AI's role and a commitment to using AI to augment human capabilities and enhance user experience, rather than simply automating for automation's sake. The goal should be to leverage AI to empower designers to create richer, more empathetic experiences, not to strip them of their human touch.

AI in UX must prioritize human authenticity and emotional resonance over technological novelty; designers are crucial in curating AI outputs to avoid the "uncanny valley" and build genuine user connection.

Real-World Example: McDonald's and Coca-Cola Holiday Campaigns

Both McDonald's Netherlands and Coca-Cola launched AI-generated holiday advertisements that faced significant public backlash, serving as stark examples of AI's current limitations in emotionally resonant creative work. McDonald's "The Most Terrible Time of the Year" campaign, depicting festive chaos and positioning McDonald's as an escape, was pulled shortly after launch due to viewers labeling it "AI slop" and saying it "ruined Christmas spirits." The ad relied on rapid montages and distant shots to conceal AI's technical flaws, resulting in a fragmented and disorienting narrative.

Coca-Cola's attempts were even more extensive. Its 2024 AI-generated version of the classic "Holidays Are Coming" ad was slammed for "soulless" and "creepy" visuals, with artificial-looking characters. Despite this, Coca-Cola doubled down in 2025 with another AI ad featuring anthropomorphic animals, aiming to avoid human close-ups. While technically improved (e.g., better truck wheel animations), it still drew criticism for its artificial quality. The 2025 campaign reportedly involved 5 AI specialists working for about a month to generate 70,000 video clips, with around 100 Coca-Cola staff involved overall. These cases highlight how, despite significant human effort and technical advancements, AI struggles to capture the authentic emotional connection and nuanced storytelling required for high-stakes creative content, especially when it clashes with deeply ingrained cultural expectations like holiday nostalgia.

How to Apply This

To effectively integrate AI into your UX/UI design process while avoiding the pitfalls seen in AI-generated ads, consider these actionable steps:

1

Prioritize Human Oversight: Always treat AI as an assistant, not a replacement. Human designers must curate, refine, and inject emotional intelligence into AI-generated content or design elements.

2

Test for Authenticity and Resonance: Conduct user testing specifically to gauge emotional connection and detect any "uncanny valley" effects in AI-assisted designs, prototypes, or content.

3

Define AI's Role Clearly: Use AI for tasks where it excels (e.g., rapid ideation, data analysis, generating variations) but reserve human creativity for critical storytelling, emotional depth, and brand voice.

4

Maintain Transparency (Internally & Externally): Be clear about where AI is used in your design process, both within your team and, where appropriate, with users to manage expectations and build trust.

5

Focus on Augmentation, Not Automation: Leverage AI to empower designers to create more, better, and faster, rather than attempting to fully automate complex creative or emotionally sensitive tasks.

Industry Context

The backlash against AI-generated holiday ads reflects a broader tension within the creative and tech industries regarding the rapid adoption of generative AI. Companies face immense pressure to showcase AI initiatives to appear innovative and competitive, often leading to a "use AI for the sake of using AI" mentality. This trend highlights a strategic misstep where technological ambition overshadows user-centered design principles and genuine creative intent. The article also touches upon the phenomenon where negative, high-arousal content, even if critical, can drive significant social sharing and visibility, suggesting that some brands might strategically accept controversy as a form of amplified marketing. This dynamic underscores the evolving landscape of brand communication, where the pursuit of virality can sometimes eclipse the pursuit of authentic connection, challenging designers to advocate for ethical and user-centric AI integration amidst commercial pressures.