Adam Ferrier: Why Advertising Needs to Stop Making Ads
40m 25s
The conversation explores how AI is transforming marketing and creative industries by introducing a new cognitive system—System 3—that enhances human thinking. Instead of replacing creativity, AI acts as a powerful tool to support strategic, evidence-based decision-making and creative innovation. The core of brand success lies in building long-term memory structures, not just short-term awareness, as emphasized by the concept of "Future Demand." Traditional advertising, especially the 30-second script, is seen as creatively limited and inefficient, with greater potential in channels like email and customer experience. Agencies are shifting toward evidence-based practices, training teams in psychology and data to deepen understanding. Creativity is not diminished by AI but elevated when used intentionally—through cognitive offloading, where humans direct AI with clear goals—rather than surrendering to it. The future of marketing lies in breaking down silos, fostering collaboration between strategists and creatives, and applying AI to enhance, not replace, human ingenuity. This transition demands a cultural shift within organizations, moving from rigid hierarchies to open, adaptive, and data-informed creative ecosystems. Ultimately, the most successful brands will combine emotional resonance with scientific insight, using AI not as a shortcut, but as a catalyst for deeper, more meaningful creative outcomes.
My nine years at NAKED, we had bugger all money to do anything interesting. So I was always like
the best idea is to me cost nothing and create massive impact. According to the heavy economics,
we have two ways of thinking system 1 and system 2. System 1's fast and 2 are legal,
please system 2's slowest and central level 4. We now have system 3. System 3 is AI,
processes a son of information really, really quickly. So it makes our system 2 deeper, more
powerful. It frees up our system 1 to be even more creative and intuitive. Then, once you understand
that, be aware if you're using it the cognitive surrender or cognitive offloading. The best book
anyone can read is a Future Demand by Garco James Herman. Future Demand just separates brand
building activity. Are you looking for people in market at the moment or are you trying to build
memory structures so people are going to be a market tomorrow on the next day. 95% of what we're doing
is trying to build memory structures linked to categorized points. I think if I was a genuine artist,
I'd be in the art. So in a genuinely creative industry, I don't think advertising is talking.
Adam Ferrier is a consumer psychologist who went from working in maximum security presence
to Sachi and Sachi co-founding naked and then think about one of Australia's most awarded
independent agencies. This conversation gave me a few really useful frameworks for thinking about
what we do, how brands build memory and Future Demand. Why it's slightly absurd that the 30-second
script is still the primary vehicle for creativity in our industry and how AI might become
a third system for human thinking. This is Adam Ferrier. It's cool I used to bring up
my stock broker every lunchtime and trade shares and it was bit odd. But then as long as this,
you had a phone. There was only one landline in the school. But as I was doing that, I found
in school, I had to go see a tutor and the tutor said, "What are your interests?" And I said,
"Well, I'm really into money and I'm really into people." The tutor, Gakul Kimsoi said, "I should
become a consumer psychologist." And I thought, "That is perfect. Don't really know what it is,
but it's perfect." Tell us about thinkability. It's a creative agency or would you define it more
narrowly? It started to myself, marketing scientists, with two creatives. We thought, "What's the
proposition of those two things coming together?" We called it marketing sciences, meet site core
creativity. We thought that sounds, so that's called that metroid magic. That sounds much better.
I always loved brands and I've always kind of hated advertising. I've never seen it as that
creative or that particularly interesting. So far, we've popped it up in Sydney, Melbourne and
Auckland. And then we work with global clients a lot. Can you just tell us how you're thinking about
the market, the industry, the model? I mean, does it feel stable? Does it feel violent in terms
of the transition, the impact of AI and big tech? We have the Ironbird Bass Institute and markets
in very, very close proximity to Australia. So Australians take in marketing sciences and
evidence-based marketing much more seriously than the rest of the world. The production side of
the business is undergoing massive transformation. And I'm sure by the end of a year that there
aren't going to be that many ads shot with the camera. I can't see why it would. And that's going
to be a massive, massive transition as we go through that. And then obviously AI is disrupting
the industry from insight to idea, to concept development, to workflows. And so you need a
business model that's agile enough to do that. And so you see the big holding companies making
very, very big bets, acquiring very large AI companies, or if you're publicist, you started
the journey 10 years ago and you're looking okay. So I think it's a massive period of transition
with the industry. And I think Australia's holding up pretty well. And also being an independent
agency, the whole industry could catastrophically sink a shrink. And it will still be big enough
for a little in the agency to kind of do a thing. And it has, right? Yeah. Well, yeah. There are
lots of people who are finding a type and they're kind of producing their headcount and all that kind
of stuff. So that's all happening around us when we see it. But I'd like to see it as a transition
into something new. I think brands and understanding brand building. This is important as
every, if not more important. And everything we do is better understanding how to change people's
behavior. And so those core disciplines, if you focus, that's what everyone does in our industry.
Then that, if that's our industry, then growth is massive and fine. If our industry is making ads.
Let's, people say double click now, don't they? I find it a bit horrendous.
That's okay. I don't think they say that anymore, man. I'd like to, I'd like to understand more
about measurement. I mean, if these are a really important balance to the award show and festival
circuit. I find it hard to believe anything though, do you know what I mean? And it's like trying
to do attribution is just feels to me like a bit of a fool's errand. And it feels like
I can write a story of success for whatever I believe as the decision maker, the CMO, whatever.
Like there's that famous thing people say I waste half of my budget. I just don't know which half.
Because the industry's sort of been legendary for like, we know something moved.
It's very hard to pin down what it was that moved it, right? Yeah. I'm going to, I've got three
points to say, no question. I'll try to remember them all, but I'll bring you two. First of all,
on Ritz and animation that, let's not call it animation, let's just call it evidence-based
or effective marketing for a sex. So he has his mini MBA. Nick Garrett, who is the head of
omnicom in Oceana, has just done a deal with Ritz and to get all of his people trained on the
mini MBA. So thousands of people are going to be doing the mini MBA. That's going to load Ritz
and pockets with cash, which is very happy with. But it's going to lift the floor for a whole lot
of people at omnicom who actually understand how marketing works, not how advertising works, how
marketing works. So that's encouraging. I will say to you that omnicom is investing in people.
Isn't it incredible? Well, it's the first, I can't believe it's not a bigger story globally
that this is happening, that somebody, the CEO of a region of massive holding companies,
making that big investment in their people. I think it's fantastic. So all of those people now
are going to understand how marketing works. They're going to understand as much as their clients,
maybe not quite as much as their clients, but they're going to understand more about how it all
works. And then they're going to be able to deploy their craft more effectively, because they're not
so worried about is the execution green or yellow. They're going to worry about how to build the brand.
Which is the job wouldn't need to do. That's point one. The second point about attribution.
The best book anyone can read is a book called Future Demand by Garco James Herman. Future Demand
just separates brand building activity by current demand. Are you asking, are you looking for
people in market at the moment, or are you trying to build memory structures for people who are
going to be a market tomorrow and the next day and the next day and the next day. So we can do
attribution for people who are market at the moment. But that's only between one and five percent
of your marketing activity. 95 percent of what we're doing is trying to build memory structures linked
to category entry points for people who are going to buy that brand tomorrow of the next day,
of the next day, of the next day, of the next day. Calling a current demand a future demand is
bloody brilliant, because now you can have a conversation with the CEO saying, mate, you know,
we're not trying to build a brand here. We're not trying to do anything kind of wacky,
we're just trying to worry about sales today and sales tomorrow. And then you can measure
appropriately, whether it's nigga appropriately, then you can break, then you can have an attribution
conversation saying, look, if you're worried about a sale today, then this activation was designed
for that. But this thing here, we're worried about we're trying to build the brand for the longer term,
and you can have a conversation around measurement around that. There was a third point. Oh,
the third point, I remember him. There you go. Still got it. Still got it.
The third point is you measure, there's input measures and there's output measures, right? So
input measures are kind of like, is this, according to the behaviour, trying to change,
is this going to do that? Do we think this is going to do that? And getting data on how
well we think it's going to work? That's one thing where measurement can help. So what you know,
you're doing has got more likes with a chance of working. And then the other thing is kind of
your Apple measures, you know, sales that change behaviour and so forth. So it's interesting,
right? Because we've had Jerry graph on talking about some of those like iconic candy spots,
he did back in the day skittles and whatever. And he said, there was a very tight loop of like,
you know, Mars was the client and they could just tell from sales. And there are only a couple of
channels, right? You probably had radio, TV, print, maybe outdoor. And so they would see
like the sales numbers for the next week. And so it was a very tight attribution loop around like,
this new weird adult style humour they were doing and the way the candy was moving off the shelves.
He's still right, right, like the skill stuff, if it worked.
immediately it's likely that it's going to keep on working right so it's likely it's going to
have a short and a long time effect if it's you know if it's if it's doing the right brain
drop so he's not wrong I remember once the account server saying to this poor client is this we
created this and I said those are the slow burn and I'm thinking this isn't a slow burn and of
course I couldn't say that but from that from that moment on whenever I've heard the expression
slow burn it's a they mean this is but we can't we can't all admit that slow burn yeah
and what about like the next generation of talent sounds like you've got kids I don't know
what age they are but what do you think is this industry is going to be like for the next
generation well I think the big surprise for AI has been nobody predicted how creative it is
so everyone predicted AI was going to be this super rational processing data yeah but nobody thought
oh my god this is going to help me give advice to my children or this is I'm going to be able to
aren't you is it helping well let's not get into that but like if I pardon ten ideas those ten
ideas will be pretty wacky or it's going to help me create a video that's entertaining or
storyboard that's entertaining or looks cool so I don't think anybody thought it was going to be
as creative as it is so I think it's kind of sprung up on our server it's an incredible creative
new frontier like the wild west of creativity is here it's absolutely brilliant forget the money
stockbroker thing forget the behavior change thing I just love with the world and creating ideas
it and doing things that kind of made the world interesting get people's attention
and that's that's what turns me on but I think if I was a genuine artist I'd be in the art so in a
genuinely creative industry I don't think advertising is a genuinely creative industry
doesn't mean we can't have really creative people who are driven like as you know there's
a beautiful Banksy Quote that he hates advertising because it draws it gets all beyond vicious
artists into and stills the all beyond vicious artists gives them ways of money yeah you know I'm
not so I'm not at the craft end of the industry I'm sorry so I can't speak for the motivations at
that end maybe there aren't people who are just basically wanting to do art and then advertising
is a place for them to try to get paid while they do it talking about AI like what how is that
impacted your team your tools your workflows the way you charge clients like has it been pretty
holistic the change it's broader is it sort of like chipping away at the edges
it's holistic but in a chipping away kind of bit so it's a bit of a classic client answer let me get
both AI's affecting the entire agency but we chipping away at every single bit of it when we started
to take on AI seriously we started talking about efficiency in a removing all the all the stuff
and as a creatively driven company it didn't really latch on like there's not a whole lot of people
at thinkable going what's the most efficient way we can do this like it it wasn't that motivating
we've then changed the narrative around enhancing the creative work that we do at every point
on the way and now people are embracing it and working out how to do what they weren't able to do
before using a different suite of tools and the adoption has just gone like that so we've made a
lot of stuff in AI and and I recently said and I think we're now at the stage we're approximately
a hundred percent of the stuff we do now is made with AI the output even which is like I'm
being a little bit clever with the language because you know sometimes we've powered by
well sometimes sometimes the inside we're using sometimes the ideas generation you know
that's the bit where I get the most flack of I say we're using AI but I'm totally we're using
AI at the concept development stage definitely loads of AI being used at concepting and so forth
and trying to understand how this thing might look might work then getting into the production world
within social we're building you know we've just done this really cool little thing where we
created a clay model it's a whole of different examples I can do in the world of production but we
move from 100% production in AI to some clients to zero percent production for proper many clients
still probably most and then for certain narratives or streams that we're using AI and
it more stuff for social or PR and things like that but is the is the AI production because you can
do more with less as it is a purely sort of financial production is because you can do more
the life so the budgets aren't going down the budgets have been going down before AI came along
and so budgets are very sad budgets well depends on it's a bit sad for everybody that the budget
is less money guys like I don't know because my end point my personal point is brand building
and behavior change that that's what I'm good at you don't really care who makes the
even if you go and also my nine years at naked where we had we had bugger all money to do
anything interesting so it's always like the best idea is to make costs nothing and create
massive impact yeah so that's the one of the reasons why I think advertising is kind of
just if you if you have to add and pay for it and put in the media then if you get maximum
exposure if you've got 10 million 20 million dollars to spend on media with an ad then ad's
gonna work it's not a brute force and that's not that creative yeah like so let me let me give you
the Australian challenge to that which is Michael Walker right I mean I think he's he's shown us
but what's that he would he would walk out he would be he would be furious by this whole
conversation and I love he's amazing and what he does is amazing and he's a does he get infuriated
bit because he's quite a gruff maybe you know I mean I kind of imagine him like you know
getting to worked up I think yeah impuriated is probably the wrong word that's why I say he'd
walk out he'll just go this isn't this isn't my room you're like fuck you but that's but that's
the the reason I bring it up is like they've had massive impact with those bit by by focusing
on craft you know what I mean and it's not just an Instagram shares but like they've put
Australia on the map in a way leading with craft and creativity that I think is just I don't
know as an Australian it makes me really proud you know he's American or something yeah he's he's
a he's quite cosmopolitan as I mean I'm not saying don't lead to crime not saying crafts not important
I haven't said yeah crafters and their craft is 80% of the idea or whatever it is but you know
how we do our craft is gonna chuck is changing all around marker a through brute force and
creating his own belief and and being able to communicate that to people has created a a bastion
of craft in a way that's quite different to the where the entire industry is going yeah and it's
fantastic and it's wonderful to say and I love the work that he does and I think and I reckon
I reckon it's interesting that you went to craft because I reckon when I start talking like this
I don't want one person to think that I don't want what we what we do to be beautiful and charming
I don't I want to see F.O. to not understand how it works and I want them I want to have that
mistaken and that that you know just having that smile and that whole concept of we can't storyboard
a smile I still love that a lot I think that we do but how that comes to life it can come to life
at the point of sale with a really interesting wobbler you can come to life in amazing packaging
it can come to life in a in a in a t-shirt or an ADM or a business model or MPD ADM is that
just an email though you just maddened an email sound really fancy well if you have a look at who
gives the crap right the toilet paper brand yeah yeah but do yourself do yourself a favor get
onto their subscriber list and read their ADMs and you'll know what I mean and it's like oh my
I gotta start using that ADM.
sounds better. It gets me. Yeah. Yeah. One of the few though. I mean, I, this is one of my,
the drums I liked to bang is, why are the emails so bad? Yeah. They're fucking awful.
It, it's tightly. They, they, they, they're awful and they're sparing me. And it's, it's your best
channel. I'll tell you why they're bad. Because there's no one creative doing them. So, so there's,
there's whole pockets of the industry that, the creativity is, the advertising industry is
completely ignored. Yeah. But I'm so much easier to be creative with an email than it is with
the next 30-second ad, which we're, everyone's been trying to improve. And now, and now to make
that 30-second ad creative takes so much time effort, manpower and the variance of making it more
creative than the one right next to it. Probably isn't worth all of that effort. Go to the, the M
world, apply always clever thinking people and make your EDM amazing. And you'll probably get
much more bang for your buck. It's just weird because it's, it's your most direct line. Typically,
to your customer, like most people don't want to get from the issue that it is, it's hard to acquire
your customers. But, but, you know, but what you could do is create an EDM so powerful, but your
current customer's one of positive for somebody else and, and show them that. And then that to make
it interesting. Yeah, even, I mean, we do a lot of like AI education. And I think EDM, emails,
CRM, relationship design, whatever. It's actually like the idea of, of AI bringing the stack and the
data together in a way that adds context and meaningful nuance around a customer their experience.
Like, to me, that's the low-hanging fruit for AI. You know, and you're right, if you took the
creative firepower and you directed it at EDM, it would potentially, you know, light things up a bit.
Yeah, but I think you're, I'm being a little bit rude to your AI friend. I think you're,
you're belittling them a little bit. I think you're overlords. Yeah, I think you're, I think you're
not saying the right things. The most important channel. I think, I think, like what we're saying as
this big rational bunch of data. And so I think it, I think it's going to lift the basics for
everyone, but there's no reason why you can't apply massive creativity to that.
I am the reason why we, why we do CX. And so I've got a little thing, brand meaning,
brand expression, customer experience, behavior change. And so that's how it all
fall if clover is through there. On the CX part, so for the customer journey from thinking
about buying yourself to kind of investigating it, to maybe buying it, to experiencing it, to buy
it again. That whole long white food chain to build a brand against and have kind of a,
a beautiful, charming brand experience at every touchpoint. There's so many parts of our customer
journey that the, in quotes, creative industry has completely forgotten about. And we can apply
creativity to that all the time. So in a brand that you know, in Australia, it was called BCF.
Boating, camping, or fishing, all of those things have annoying bits. Lots of sartons, itchy,
can be a pain in the air, more fun it is. Okay, there you go. Go there, get prepared, have more fun.
The ads are good. The ads are, the ads are fun. And you know, they say, you know,
got lines like Bushweezer fun, which is having a weed. But then you can take that whole concept
and apply it in store. So we did a little test, and we thought, let's imagine fishing lures
are out of stock. And you can say, on the fishing lure area, you can say, you can write out of stock,
you can write sold out, which appeals to social norms, or you could write gone fishing backseeing.
And then we tested those, then we tested that out of stock to see, to see which one of those three
messages was the most appealing would make people want to buy, would make people want to come back
and buy the fishing lures on the back and stop. The gone fishing backseeing, far outperformed
out of stock for the other one, sold out. And again, it's just like a little microdose
to create, listen to the brand, put a microdose of creativity at that point of sale. And it all
contributes to a strong brand of behavior change. And so, yeah, don't stop the creativity of the
advertising. Early days in my career, we were always going out in the real world and just sort of
watching people. And yes, it was anecdotal. But like it was like my move on the pitch was like
go to the store or the place or whatever. Just take the team and watch people move through the store.
They feel like now it feels like there's all these reports and trends and data, but a lot of it
just feels like hot air. What are the ways that you found the most effective to really sort of dig
into a space or a type of consumer or a category? There's a deep question and a lot of the way
you've framed it. I still am a psychologist. I'm a registered psychologist. But I remember when I was
I might have been a new young psych, but my super boss has said to me, you know, like if you have
to go and understand, if you have to experience what people experience to understand them,
then you're screwed. Because that means you're going to have to go and get a divorce. You're going
to have to go and miscarriage. You're going to have to fall in love. You're going to have to have
kids. And you're 24. There's not going to happen. And so you're practical. You have a very practical
ethical reasons. And she said the best way to learn is to read. And then to read and read studies
and to understand what's generalizable and applicable to everybody versus what's kind of a
unique experience or so on. And so I love that. I love that philosophy. So I don't necessarily
agree with this whole industry thing of saying the best way to understand people is to
go out into the world. If I have to send six people out to do a customer immersion
for a day, that's an expensive and specific way to learn. So those people are going to learn
about what people in that particular supermarket from that particular suburb doing at that particular
time. They can't spend their entire life in that supermarket, for example. However, I do believe in
getting out there observing people, being interested in people. But I think you have to understand
the foundations. And I think the foundations come from books and reading and science. And I think
unless you have those foundations right, all your anecdotes can actually be harmful or misled
because you'll just frame them through your own personal experience. And you've got no way of
structuring that knowledge. And then it can even make you kind of worse in a way. I'm going to say
you've totally reinforced my belief. And I think it's because creatives don't like to read maybe.
Well, like the creative people don't like to go that deep. So it's a very, very fragile relationship
with their own creativity. And Billy Bragg once said, Billy Bragg, who I love, has said,
"One must resist the temptation to pull the precious things we have apart to see how they work
because I never fit together again." And I think that's what creatives' relationship with their
creativity is. Oh, fuck, you know, I'm a. I don't know. And so I like is going to love this to. And so I get it, man. I get it. I get it. I just wonder like, how do we reconcile that with working
with what we have? Do you know what I mean? In the absence of that depth of understanding,
do what I. do what Nick Garuston. Get all your people educated on how things actually work,
at this ideally evidence-based. And then within that, go and wander and see the world and
sniff things and do whatever you need to do. But I do think. Yeah, and I don't know if that's always
been the case. So I think good creatives are just a very sensitive to the human condition.
So I think probably everything they know is probably 90, 95. The really good ones, they probably
know it all. Psychology is just repackaging what they already know. But if you're not the top
one percent, if you're anything other than that, then I'll get educated. My view of AI is
everybody's going to have the same tools. Everybody's going to, you know, be able to
achieve this level of parity. But the people that stand out will be because of human
ingenuity, originality, creativity, because AI is not great at net new or understanding the context
of a competitor and how we might use that to stand out as a brand. And you know, a lot of what
we do in the industry is trying to make our clients stand out from their competitors or whatever they.
I think it's, I think we need to be creative as appalling and I think it always has been.
I think it's based on, I think of the whole, let's just say take a traditional Labour
Taisy Agency, it's still based on hierarchy and the patriarchy and I think it's all learned
by Labour, Labour Labour, so you have the most unskilled people teaching the new people how
things are and it's just, and the whole thing's collapsed and the game's changed as well.
The game's completely changed and there's still, there's still wheeling out the old creatives
to train the new ones and then they've never been asked to talk to creatives for example
outside of our agency because, you know, you're not a creative and I know, I know my creative
contribution, I know what I am and I know, I know, I know that the creatives, I know that
the advertising creatives are missing out so I don't think so, the social creatives
it's all different, in earned media it's all really, really different, in media it's different
and you need more than just a person who's good with words and a person who's good with
pictures to make that happen. So you need a lot more different skill sets to make amazing
ideas happen and you need to have a porous, a more porous open attitude to ideas creation.
At Thinkabelle, our key partnership is a core thinker and a core thinker which is a creative
and a strategist paired together. So the whole agency works on having every client
as a core thinker and a core thinker and around them is a squad and that squad can be made
up of all the different people who need to help get whatever that is done. So that gets
rid of all the silos, it gets rid of the hierarchy, it makes the creatives more accountable
because they're at the co-base with the client learning about the business, they're not
traded like a monkey back in the agency as a particular species.
I just don't watch any ads so occasionally I watch a bit of live sports and I fuck
at these ads. Most of the creative I see is a script, right? It's not even like really
a script that fits with the modern consumption of ideas and content. I couldn't believe
when I worked with Satchin Satchis, it's massive powerhouse. I couldn't believe when I walked
in there that all we did was make scripts. We didn't even make ads. Production companies
made ads that blew my mind that Satchin Satchin doesn't make ads. It makes scripts. I would
love us to find more interesting ways to do more interesting work and don't get me wrong.
I get so excited about ideas. I get so excited by seeing a creative idea but I'm also
cynical enough to know that 30 seconds script is turgid. I don't like our celebrating. I
can also remember when I was at Satchis. I do love Satchis but a lot of my, this is from
many years ago. We'll launch a new ad in the agency and everyone will have to clap this
new agency and everyone's clapping and cheering and the ad might have been sh*t but everyone's
clapping and cheering and weeping that we've done this ad and Nicky just know that if you
put that out out of the world, everyone's going to go come. Another ad. Another ad to the
bathroom. That's right. There's this self perpetuating hubris that made that work. But
I love it is increasingly hard to make the actual advertising part creative and advertising
does work. We're going to keep on doing this. It all works. All advertising works. Some
of it works better than others and it's a weak force. You have to keep on advertising because
it works but it's like a waft with a wet sock or something and it's softer than that,
like a feather. You have to keep on doing that. What are you most excited about for this
year? I'm loving what we're doing. I was walking past the opposite. It's about a month
ago and I saw this little clay and model of a bin chicken which is an ibis in Australia.
Bluey has distributed the bin chicken in America. Why is this a clay model there on the desk
of a bin chicken? Somebody said, "Oh, we're using a bin chicken as a mascot for a brand
we're creating." I said, "Well, why have we got to clay a model?" Yeah, we got to train
the model. But why train the model on a clay thing? It was IP protection. It was about
having the origins and the origins story being in the real world. I think the interesting
thing about AI is that I believe perception is that it's a binary. I used AI or I didn't
know. I think the reality is there's a real spectrum where it's obviously I could type
in a shitty prompt and copy and paste the first thing and put it somewhere. In my experience,
I treat AI as almost like a coworker or something where I'm going back and forth. Sometimes
I'll look at my friend and go, "Fuck, I've been working on this thing with AI for like
an hour. I need to just ship this thing." That's the part that we still need to resolve
with our clients, our audiences. It's like AI means you cheated, you took a shortcut,
you didn't do it. This isn't about becoming more efficient. This is about enhancing what
we do. There's this concept called "Cognitive Offloading versus Cognitive Surrender." Cognitive
Surrender is when you go, "I need some ideas. Give me some ideas." That's kind of surrendering
to the AI. Cognitive Offloading is I've got a person in a field. They're about to meet
someone else and being very specific and intentional about what you want it to do. I think
we need to understand that. Cognitive Surrender, that's a great, great life.
If you then slightly above that, according to the heavy economics, we have two ways of
thinking. System-1 and System-2. System-1 is fast and chilled, a vegan plea. System-2
is slow and substantial, effortful. We now have System-3. System-3 is AI. Process is
a kind of information, really, really quickly. It makes our System-2 deeper, more powerful.
System-1 to be even more creative and intuitive and so whatever. AI is a thought engine that
helps us make decisions. Once you understand that, be aware if you're using it for Cognitive Surrender
or Cognitive Offloading. With all of that, just then when you get into the tools-based stuff,
just embrace the fact that it's helping you make your work, your ideas, your creativity,
your output, making it better and enhancing it and making you able to do things that you're
never able to do previously. I reckon then it becomes also a cultural approach to AI. I think it's
really, really important for you and your organisation wherever you are. I don't think it can be
set up as an individual thing. I worry when people say it's like it's my co-pilot because it
needs to be structural within the organisation as well, and you need to have a societal stance
by the society, your ecosystem, your company or whatever. You took me back to thinking fast and
slow things Daniel Kahneman book, which is one of the hardest books I've ever read, but just
fascinating. I reviewed it for the International Journal of Evertising and I've never read it.
My review was, for somebody who knows so much about how people think, "How can you write such a
boring?" It was a slog. I think it's the most unread book ever. Yes, revealed. But I bought it,
but I bought it. Yeah, but the system did read that one, not audio book because that's different.
Yeah, but that's good, guys. But the system, my system, too, framework has helped, right? So people
kind of believe that it works across industry and so on. What I love about thinking about AI
system 3 is it latches on to a pre-existing framework of how we make decisions, so I can now use it.
So this system 3, have you published anything about that? I came across it on a completely unrelated
academic paper and they referred to it as system 3. I then thought, "My God, this is amazing.
I went and thought, "Good, I went on a podcast and started talking about it. I'm now talking about
getting with you." But I do. It's interesting. You asked the question, "Am I
sticking in the same way?" It's useful, right? It's a good way to talk about things.
Well, as well, even in school, the school perspective for the most part is,
"Oh, you used AI, you cheated." Yeah, and it's just such a reductive way to think about it.
Yeah, totally, exactly. And what if it's there? My son told me about a year ago. He said,
"Dad, you know how I use AI, I use AI, I use AI and go, "Look, I put my essay into it."
And then I put the Rubicon into how the essay is going to get marked into it,
and I ask it, "How am I going to go to this criteria?"
And and that and these and then how can I improve it and so he gets the feedback then he improves it and then he submits it
As genius Adam. It's it's been it's been a pleasure talking to you
Thanks for coming on second wind
Matt's unreal. We really enjoyed it. Thank you
Podcast Summary
Key Points:
AI acts as a new "System 3" in human thinking, enhancing System 2 (logical, effortful thinking) and freeing System 1 (intuitive, creative thinking) for greater creativity and innovation.
The core of effective brand building is not current demand but long-term memory formation—95% of marketing efforts should focus on creating lasting brand associations, not just short-term awareness.
Cognitive offloading—using AI to support human decision-making with intentionality—is more valuable than cognitive surrender—relying on AI for passive idea generation without critical engagement.
Marketing is shifting toward evidence-based, science-driven practices, with agencies like Omnicom investing in training to build deeper understanding of marketing fundamentals.
Creative industries are underestimating the potential of AI in channels like email, CRM, and customer experience, where creativity and data integration can produce highly impactful, personalized content.
The traditional 30-second ad is seen as creatively stagnant and inefficient, while more subtle, creative interventions in customer journeys (like in-store messaging) can drive stronger behavior change.
A future-focused creative culture requires blending psychological insight, data literacy, and cross-functional collaboration—breaking down silos and pairing strategists with creatives as equal co-creators.
AI’s true value lies not in replacing human creativity, but in enabling it—by providing tools, context, and scalability, so that human ingenuity, originality, and emotional insight remain central to brand success.
Summary:
The conversation explores how AI is transforming marketing and creative industries by introducing a new cognitive system—System 3—that enhances human thinking. Instead of replacing creativity, AI acts as a powerful tool to support strategic, evidence-based decision-making and creative innovation. " Traditional advertising, especially the 30-second script, is seen as creatively limited and inefficient, with greater potential in channels like email and customer experience.
Agencies are shifting toward evidence-based practices, training teams in psychology and data to deepen understanding. Creativity is not diminished by AI but elevated when used intentionally—through cognitive offloading, where humans direct AI with clear goals—rather than surrendering to it. The future of marketing lies in breaking down silos, fostering collaboration between strategists and creatives, and applying AI to enhance, not replace, human ingenuity.
This transition demands a cultural shift within organizations, moving from rigid hierarchies to open, adaptive, and data-informed creative ecosystems. Ultimately, the most successful brands will combine emotional resonance with scientific insight, using AI not as a shortcut, but as a catalyst for deeper, more meaningful creative outcomes.
FAQs
AI acts as a powerful tool that enhances human creativity by processing information quickly, freeing up cognitive resources for more intuitive and creative thinking. It’s used to generate ideas, improve concepts, and support decision-making without replacing human ingenuity.
Cognitive offloading involves using AI to handle specific, intentional tasks, making the process more efficient and structured. Cognitive surrender occurs when someone uses AI to generate ideas without clear direction, potentially leading to passive or unoriginal outcomes.
Future Demand shifts focus from immediate customer demand to building long-term memory structures. 95% of brand work is about creating associations so people will buy in the future, not just today, which changes how campaigns are measured and designed.
Emails are a direct, personal channel with high creative potential. The speaker argues that most 30-second ads are formulaic and lack creativity, while emails allow for storytelling, emotional connection, and tailored messaging that can be more impactful.
The speaker emphasizes reading scientific studies and books over direct observation. While fieldwork is valuable, deep understanding comes from structured, evidence-based knowledge to avoid personal bias and misinterpretation.
System 1 is fast, intuitive thinking; System 2 is slow, logical thinking; System 3 is AI-driven, fast information processing. Together, they show how AI enhances System 2 and supports System 1 creativity, making human decision-making more powerful and efficient.
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