Since the advent of generative AI technology, it has had a disruptive impact on the advertising and marketing industry, helping advertisers develop strategies more effectively, improve the effectiveness and conversion rate of ad delivery, and ultimately improve monetization efficiency.
iQIYI is actively embracing the wave of generative AI and is growing in popularity in the performance advertising business. iQIYI's 2024 Q1 financial report shows that thanks to the continuous deepening of generative AI applications, in the first quarter, performance advertising revenue achieved double-digit year-on-year growth, a record high, and it is expected that this growth trend will continue, bringing greater return on investment to advertisers.
As one of the first media in the industry to launch AIGC material production, iQIYI Qilin effect advertising platform has successfully integrated generative AI capabilities to create a closed marketing loop from creativity to delivery, advertisers can quickly and independently produce high-quality advertising materials, and with the help of AI tools to achieve organic integration with user viewing scenes, help the implementation of native advertising concepts, effectively reduce production costs, improve efficiency and delivery effects. Among them, AI-generated advertising materials have increased the return on investment of advertisers in industries such as games and short dramas by more than 50%.
Display of materials produced by the AIGC tool on the iQIYI Qilin platform
Take iQIYI's AI tool "Smart Drawing" as an example, it has seven major functions, such as copywriting assistant, Wensheng diagram, Tusheng diagram, intelligent expansion, industry style recommendation, multi-specification derivation, image panning, etc., which can cover target marketing scenarios in various industries. After continuous iteration and optimization, more and more advertisers choose to use "Smart Drawing" for material production, and the industry penetration rate of the tool has reached 70%, the usage rate of head customers has exceeded 30%, and the material production efficiency has increased by 88%.
iQIYI Qilin platform "smart painting" seven functions
In addition, in order to better help advertisers' video materials adapt to iQIYI traffic and improve the efficiency of material derivation, the iQIYI Qilin platform has launched a video editing tool, which supports the instant conversion of video materials into the delivery size in line with the iQIYI platform, and at the same time establishes a creative inspiration library to provide advertisers with high-quality material cases that can be used at any time, and opens up the material sharing mechanism to help advertisers efficiently flow content assets.
In terms of review, with the exponential growth of the amount of materials, the iQIYI Qilin platform quickly established human-machine collaborative material review capabilities, improved audit efficiency and throughput, and enabled the improvement of monetization efficiency. As of Q1 2024, iQIYI's effect advertising business has completed 100% full coverage of image creative AI review, and subsequent AI review will continue to cover video materials and establish a basic platform.
Liu Wenfeng, chief technology officer of iQIYI, said on the 2024Q1 earnings call: "Generative AI still has great potential in driving iQIYI's future advertising growth, from the perspective of the industry, we are optimistic about the development of the e-commerce industry, including platform e-commerce, vertical e-commerce, network service industry, game industry, and fast-growing short drama and other industries, bringing more opportunities for performance advertising, and in the future, we will continue to help advertisers attract high-quality users through the application of generative AI capabilities and achieve multi-terminal delivery linkage. Enhance the value of exposure and improve the effectiveness of advertising. ”
iQIYI performance advertising will continue to deeply apply generative AI to empower the production and delivery of advertising creatives, bring users a better content browsing and advertising reading experience, bring large-scale value gains to partners, help increase efficiency and effectiveness, and work together to expand the new boundary of quality and efficiency.