L’Oréal and Coca-Cola are leading the way when it comes to leveraging AI within the Consumer-Packaged Goods (CPG) sector, according to research from business and leadership school International Institute for Management Development (IMD).
The research was a part of IMD’s ‘CPG Future Readiness Indicator’ report, which assesses which companies are best placed in terms of innovation and tech adoption.
The two brands were amongst those at the forefront of using AI to understand consumers and bolster supply chains, particularly against the backdrop of inflation and more spend-conscious consumers.
Other brands named as leading the way in leveraging AI and data include Proctor and Gamble (P&G), Unilever, and Nestlé.
Direct-to-consumer (D2C) and omnichannel capabilities, eco-friendly practices, the development of novel producs, and smart pricing were other factors considered in ranking the brands.
L’Oréal and Coca-Cola Leading the Way
L’Oréal claimed the top spot, IMD saying the cosmetics brand uses AI and big data to leverage customer data analytics and predict buying trends. The company’s use of AI enabled it to launch products that resonate with customers quickly.
Coca-Cola took second place having adopted AI and advanced analytics at scale. The IMD cited Cola’s use of AI in assessing the effectiveness of campaigns, and adjusting ad spend accordingly.
L’Oréal and Coca-Cola have reported heavily on their use of AI in both design and marketing. L’Oréal announced CREAITECH, a Gen AI Beauty Content Lab to generate AI content that aligns with its brands. The firm also recently acquired augmented reality and AI company ModiFace
Coca-Cola famously produced its controversial AI Christmas Ad last year. It also recently announced the launch of ‘Project Fizzion’, an AI platform that understands how Cola’s designers work to generate content.
IMD has campuses in Switzerland, Singapore, and China.
