As generative AI ads flood Singapore market, experts say poorly made ones could backfire on brands, agencies

In recent months, advertisements created using generative artificial intelligence have been proliferating in Singapore's market as clients strive to demonstrate their technological prowess. Marketing industry experts warn that poorly executed content may backfire on brands and agencies. Generative AI is being utilized by a diverse range of clients, from small and medium-sized enterprises to government agencies.

Local brands, such as Mr Bean with its virtual idol, and large corporations like Dyson and Walch have incorporated AI into their marketing materials.

The demand for creative ad agencies specializing in AI content has surged in the past six months, according to several studios. AI Studio, a Singapore-based agency focusing on AI-generated content, experienced a four to five-fold increase in inquiries compared to the period from late 2025 to April 2026. Initially, they expected small companies to be their main clientele, but they were surprised to find that most of their clients are large enterprises seeking to be at the forefront of AI technology.

However, there are risks associated with poorly made AI-generated content, as it is more likely to turn consumers away. While there are mixed reactions to AI-generated ads, some consumers find them amusing or concerning, while others appreciate the technology. Despite the mixed responses, the Advertising Standards Authority of Singapore (ASAS) is concerned about the potential for misleading ads, emphasizing the need for clearer disclosures and ethical guidelines.

Some experts suggest that the use of AI may signal a lack of effort in product development and marketing, which could damage a brand's credibility.