TO DEEPFAKE OR NOT TO DEEPFAKE? AN EXPLORATORY ANALYSIS ON THE INFLUENCE OF DEEPFAKE ADVERTISING ON BRAND IMAGE IN GREECE

Deepfake technology, a subset of synthetic media, has received increasing scholarly attention for its potential risks and benefits in media production. In advertising, it has been redominantly used for celebrity endorsements, in which a celebrity is seen doing or saying something they never did. The complex nature of the technology have raised questions on whether brands should employ deepfakes in their advertising practices. Given the recent advent of the technology, research on deepfake advertising is limited and lacks in depth. Extant literature has mostly examined deepfakes from a legal perspective, focusing on potential detection methods and exploring their impact on fake news and misinformation. Despite scholarly warnings on the power of deepfake advertising in influencing a brand’s reputation, no research has been yet conducted on brand image. Therefore, understanding how consumers perceive and make meaning of brands that produce deepfake celebrity endorsements is essential. Celebrity endorsements have become an increasingly popular strategy in Greece, especially after the Covid-19 pandemic. In fact, they are considered a “set rule” for brands looking to strengthen their brand image. As the Greek advertising industry is shifting from traditional advertising methods to more accessible and cost-effective AI tools, deepfake technology presents a novel approach to celebrity endorsements. Hence, by carrying qualitative in-depth interviews, the present thesis explores Greek Gen Z perceptions of brand image within the context of deepfake celebrity endorsements. The findings reveal that consumers generally feel apprehensive about the technology. Deepfake advertising is perceived as inherently deceptive, and consumers expect brands to act ethically by adhering to all necessary legal standards when using it. Disclosure and consent are crucial in establishing brand credibility, and when implemented, they can alleviate concerns and make consumers more receptive to its use. Creative, innovative and personalized applications of the technology were discussed as potential benefits of deepfake advertising, enabling brands to produce unique and engaging content that distinguishes them form competitors and strengthens their brand image. It was further revealed that deepfake endorsers are viewed as less authentic, but authenticity can be enhanced if brands use synthetic endorsers instead of entire deepfake ones. Finally, endorser-brand congruence and celebrity expertise were found to be particularly important in enhancing brand credibility and fostering positive associations with the brand. The thesis’ findings contribute to the theoretical understanding of consumer perspectives of deepfake advertising, paving the way for further research and provide advertisers guidance on how to leverage the technology to optimize their advertising practices, strengthen brand image and minimize consumer concerns.