Welcome to The Week in Data, MarTech and AI, a weekly roundup from Quad Insights that sums up the latest news surrounding the technology–driven transformation of marketing.
DeepSeek signals new chapter, challenges for generative AI
The Chinese developers of DeepSeek, a new large language model, have created a stir with explosive claims that their generative AI product outperforms better-known competitors at a much lower cost, using less powerful chips, computer power and memory. Reactions extended from the Silicon Valley to the White House to Wall Street and beyond:
- DeepSeek’s new cost benchmark means the adoption of AI by marketers will grow quickly, predicts Ashley Bolser, founder of Bolser Digital Agency in Leeds, England. With the lower costs, “AI transforms from a carefully rationed resource to a ubiquitous utility at a tenth of current prices,” Bolser writes in a guest post for The Drum. “Marketing teams could deploy AI across every customer touchpoint, analyze every campaign in real-time, and personalize every interaction without watching the meter tick.”
- In the “answer economy,” DeepSeek is demonstrating the importance of robust owned media channels, Pete Blackshaw, Founder and CEO of BrandRank.AI, says in an opinion piece for Ad Age. Blackshaw says his tests showed that the platform favored brand-level content in its responses. “This means your website, press releases and digital assets directly influence how AI tools represent your brand,” he writes. “If your owned media isn’t robust, you leave your narrative to chance in the new answer economy. Brands can’t afford to miss this shift.”
- DeepSeek is showcasing the true potential of AI agents, says Chris Penn, Co-founder and Chief Data Scientist of Trust Insights. In a video interview with Constantine von Hoffman of MarTech, Penn says he did a presentation recently during which he instructed DeepSeek to write code for an app. “By the time I was done with my talk,” he says, “the app was done.”
More on DeepSeek:
- “What the DeepSeek AI frenzy means for marketers” (Ad Age)
- “DeepSeek’s AI claims have shaken the world — but not everyone’s convinced” (CNBC)
- “OpenAI Says DeepSeek May Have Improperly Harvested Its Data” (The New York Times)
- “DeepSeek ‘punctures’ AI leaders’ spending plans, and what analysts are saying” (TechCrunch)
- “Google quietly announces its next flagship AI model” (TechCrunch)
New IAB study focuses on balancing privacy and personalization
Consumers may be demanding stricter privacy regulations governing the use of their personal information, but they’re willing to make exceptions for the right kind of marketing, according to the just-released Consumer Privacy Playbook study from the Interactive Advertising Bureau (IAB). The study found that just 2% of consumers have concerns about use of their data for personalized advertising. At the same time, 86% of consumers understand that advertising helps pay for a toll-free internet, the study showed. “Personalization and privacy can co-exist and benefit both consumers and the growth of the free and open internet,” as IAB CEO David Cohen put it in a statement announcing the study’s release.
More on privacy and personalization:
- “The Push and Pull of Privacy: Brands are walking an ethical tightrope” (MediaPost)
- “Ad Industry Must Stay ‘Open’ To Save The Web” (Media Daily News)
Marketers are facing legal risks surrounding the use of generative AI, law firm says
Marketers are aggressively embracing generative AI to try to optimize efficiency and creativity. They’re also discovering the legal risks — and in 2025, there will be plenty of those, according to one of the nation’s largest law firms. BakerHostetler attorneys have just published their 2025 Playbook for the Use of AI in Marketing and Digital Media. The playbook cites privacy, data ownership, IP and disclosure as key challenges. “This is an area that is rapidly changing, and legal teams are going to have to stay abreast of changes and stay flexible and nimble,” per a BakerHostetler abstract for JD Supra.
More on AI in the market:
And finally… WSJ showcases the Levi’s data engine that spotted the baggy-fit trend
Isabelle Bousquette of The Wall Street Journal provides an interesting behind-the-scenes look at how Levi’s used purchasing data from 50,000 global points of distribution to inform a marketing campaign focused on the “trendiness of roomier fits.” Over the course of several years, Bousquette reports, Levi’s worked with Google to build a database of activities from purchases, web-browsing, retail partner sales and its loyalty program. The initiative helped identify a growing preference for looser fits, particularly among men and older consumers, and led directly to the company’s “Live Loose” campaign, Bousquette writes.
More on data-driven marketing:
- “Performance marketing mania ‘putting growth at risk’” (Decision Marketing)
- “Brand And Performance Are Codependent – Here’s Why” (Performance Marketing Insider)
- “Google Releasing Free Marketing Mix Model To All” (Media Daily News)
- ICYMI: “Nielsen to End Panel-Only Ratings That Have Measured TV for Decades” (The Wall Street Journal)
