Coca-Cola Doubles Down on AI Holiday Ads — But Loses Its Christmas Magic

Key Takeaways

  • Coca-Cola has released another fully AI-generated Christmas campaign, despite backlash from last year’s uncanny visuals.
  • The new ad replaces humans with animated animals but still suffers from awkward, inconsistent animation styles.
  • The company defends its AI strategy as faster and cheaper, even as critics say it erodes creative authenticity.

Coca-Cola’s AI Christmas Comeback

Coca-Cola has long been synonymous with the holiday season, from its glowing red trucks to the beloved polar bears that became a festive tradition. But in 2025, the beverage giant has once again traded nostalgia for novelty—releasing a new AI-generated “Holidays Are Coming” commercial that’s drawing criticism for its awkward execution and lack of warmth.

The new spot, produced with AI studios Silverside and Secret Level, attempts to sidestep last year’s backlash over the uncanny human faces by featuring a lineup of animated critters, including polar bears, a panda, and a sloth. Unfortunately, the results are still unsettling.

A Jarring Mix of Styles and Unnatural Animation

The ad features a constantly shifting visual style, swinging between attempted realism and cartoonish exaggeration. The animals move with a flat, lifeless motion—more like paper cutouts than expressive CG characters. While the Coke trucks’ wheels now turn properly, fixing one of last year’s most mocked animation errors, the overall production feels oddly dated compared to what modern AI video tools like OpenAI’s Sora 2 or Google’s Veo 3 can achieve.

Critics have described the ad as visually disjointed and emotionally hollow, lacking the warmth and craftsmanship that made Coca-Cola’s traditional holiday commercials timeless.

AI as a Cost-Cutting Tool

Despite the backlash, Coca-Cola’s leadership is standing firm on its AI-first advertising approach. The company’s Chief Marketing Officer, Manolo Arroyo, told The Wall Street Journal that AI production has dramatically reduced costs and time.

“Before, when we were doing the shooting and all the standard processes for a project, we would start a year in advance,” Arroyo said. “Now, you can get it done in around a month.”

The campaign reportedly involved around 100 people, including five “AI specialists” who refined over 70,000 AI-generated video clips. Coca-Cola declined to disclose the project’s total cost but claimed it matched traditional productions in scale while being significantly faster and cheaper to complete.

The Broader Industry Shift—and Its Risks

Coca-Cola’s experiment is part of a growing trend in advertising, where major brands are replacing traditional production with generative AI. Google, for instance, launched its first fully AI-created commercial this year, arguing that consumers care more about storytelling than how the ad was made.

But the shift has raised concerns about the erosion of creative jobs and the homogenization of brand storytelling. Critics argue that Coca-Cola’s reliance on AI undermines the emotional connection that made its holiday campaigns legendary. Last year’s AI-generated ad even featured a fake book by author J.G. Ballard, showcasing the pitfalls of automated creativity.

Conclusion: The Spirit That Algorithms Can’t Recreate

Coca-Cola’s new AI-driven holiday campaign may be efficient and modern, but it highlights a growing disconnect between technological innovation and emotional resonance. The brand that once defined Christmas advertising now risks becoming a case study in what happens when creative tradition meets corporate automation.

For all its shimmering trucks and digital snow, this year’s AI “Holidays Are Coming” feels less like a celebration—and more like a reminder that not every tradition should be left to machines.

Disclaimer: The information in this article is for general purposes only and does not constitute financial advice. The author’s views are personal and may not reflect the views of GameDegen.com. Before making any investment decisions, you should always conduct your own research. GameDegen.com is not responsible for any financial losses.

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