Why Everyone Is Using AI: From Local Businesses to Schools

by Chief Editor

Generative AI has democratized advertising, allowing small businesses and community groups to produce professional-grade visuals at scale, but experts warn this shift is creating a wave of “AI fatigue.” While tools like ChatGPT enable instant content creation for millions of global users, marketing professionals argue that the resulting aesthetic uniformity risks alienating audiences who now favor authentic, human-generated creative work.

Why is AI-generated advertising becoming uniform?

The visual homogeneity of modern digital ads stems from the shared training data and architectural limitations of generative AI models. According to Katherine Jensen, a professional teaching fellow in the University of Auckland’s marketing department, the output from these tools is now “extremely obvious” to consumers. These platforms often default to specific layouts, fonts, and polished, generic imagery that lack the nuanced brand identity required to distinguish a product in a crowded digital marketplace.

Did you know? Global demand for generative AI content is surging, with ChatGPT alone processing roughly 2.5 billion requests daily, of which approximately 15 million originate from New Zealand, according to data cited by RNZ.

Is AI a threat to traditional advertising agencies?

Advertising agencies are currently bifurcating into two distinct service models: high-volume commodity production and high-value strategic creativity. Vaughn Davis, creative director at The Goat Farm, suggests that AI is useful for organizations that “wouldn’t normally work with an agency.” For local clubs or small businesses, the efficiency of AI-generated posters outweighs the need for bespoke branding. However, Davis notes that for professional agencies, relying on machine-built averages is a failure of service. The primary value of an agency remains the ability to help clients “stand out” rather than delivering the standard aesthetic produced by the machine.

Is AI a threat to traditional advertising agencies?

How does “AI fatigue” impact brand trust?

Consumer sentiment is shifting against content that feels synthetic or inauthentic. Katherine Jensen reports that her students in digital marketing are observing a “real undercurrent of strong dislike” for AI content. When brands fail to differentiate their messaging, consumers increasingly view the content as “slop,” which can have a repellent effect. This creates a trust deficit, as audiences struggle to connect with brands that appear to have outsourced their creative soul to an algorithm.

Marketing in the Age of AI Podcast Interview with Katherine Tuominen
Pro Tip: To avoid the “AI look,” brands should use generative tools as a brainstorming assistant rather than a final production engine. Human oversight is essential to inject the specific brand voice and unique visual cues that AI models currently fail to replicate.

What is the future of human-led creative work?

The ubiquity of AI content is likely to increase the market value of authentic, human-generated creative work. While businesses in highly competitive sectors may still use AI to maintain the volume of content required to “keep up with the competition,” experts suggest that quality will become a key differentiator. As the digital landscape becomes saturated with identical AI-generated images, brands that prioritize original, human-led storytelling are expected to gain a competitive advantage by offering the authenticity that consumers are currently missing.

Frequently Asked Questions

Why do all AI-generated ads look the same?

They often share similar training data and design patterns. Because these tools optimize for the most probable output based on a prompt, they tend to produce “average” designs that lack unique brand identifiers.

Frequently Asked Questions

Should small businesses stop using AI for ads?

Not necessarily. For low-stakes communications, such as local school fairs or community events, AI provides a cost-effective way to generate professional-looking materials quickly, according to Vaughn Davis.

How can I make my brand stand out in an AI-saturated market?

Focus on original photography, unique brand stories, and human-led creative direction. Highlighting the “human” behind the brand acts as a counter-balance to the perceived inauthenticity of AI-generated content.


Are you seeing an increase in generic AI ads in your social media feed? Share your thoughts in the comments below or subscribe to our weekly marketing digest for more insights on the future of digital advertising.

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