AI does not know when it is wrong. It generates plausible text whether that text is accurate or fabricated. Understanding hallucination is essential for using AI responsibly in marketing.

Why AI Hallucinates

LLMs predict what text should come next based on patterns. They do not verify facts against a database. When uncertain, they generate plausible completions that may be entirely fabricated. Confidence in tone does not indicate confidence in accuracy.

Common Hallucination Types

Marketing-relevant hallucinations include fabricated statistics, wrong product details, made-up quotes, invented features, false competitor information, and fictional case studies. AI might claim your product has capabilities it lacks or cite studies that do not exist.

Preventing Hallucinations

Effective strategies include grounding AI with RAG to provide factual context, using retrieval from verified sources, implementing fact-checking workflows, limiting AI to topics with available context, and human review of critical content. Architecture matters more than prompt tricks.