Case Study: Mercado Libre achieves 25% higher ad click-through rates with Stability AI’s Stable Diffusion

Mercado Libre Achieves 25% Growth in Ad Click-through Rate Using Stability AI's Stable Diffusion

Mercado Libre, Latin America's largest e-commerce marketplace, faced a challenge as the majority of its sellers are small to medium-sized businesses lacking the resources to create professional display ads. To solve this, Mercado Libre partnered with vendor Stability AI and AWS Partner Mutt Data to develop an automated solution called GenAds.

The solution leveraged Stability AI's Stable Diffusion models to generate tailored backgrounds for product ads, creating over 90,000 advertisements. This implementation by Stability AI resulted in a 25% higher click-through rate, a 45% increase in ad impressions, and has enabled small businesses to run professional campaigns, significantly enhancing marketplace competition.

Mercado Libre