There has been much discussion of the cost to create,
from start to finish, an advertisement or video for digital sites or streaming and connected TV (CTV) services.
James Maddison, Blockchain.com head of marketing, recently described how the
company worked with creative advertising agency Supermassive to create an AI ad for the NFL. Now the agency NP Digital has estimated product costs. Here's what they said.
From Maddison's
detailed instructions, we can understand the process to create ads for digital or connected TV (CTV) compared with traditional methods.
Maddison worked with Supermassive to feed a series of
textual prompts into AI visual-generation tools, primarily Runway Frames, and Google's Imagen 4, both are AI-powered image generation models.
Roughly 300 images were generated, and each
prompt produced an image. He chose the ones to use that best fit the story.
advertisement
advertisement
Maddison did not provide an estimate on what the ad cost to create, so I reached out to NP Digital, which provided
estimates on production costs.
NP Digital confirmed costs are determined by a variety of factors, depending on the specific AI platform used as well as other variables, including the
client’s specifications and feedback.
The list contains only production cost. There are many other costs associated with concepting, strategizing, and more that NP Digital said
remains the same for traditional costs.
The decline in the AI production cost does not apply to all services, and these numbers are only estimates.
AI ads in general are:
- About 90% less expensive: $2,000 – $5,000 AI spot vs. about $67,000 traditional spot
- About 30x faster to create: 1 to 2 days turnaround vs. 6 to 10 weeks
