October 11, 2024

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A Surprising Sales Killer, Study Finds

A Surprising Sales Killer, Study Finds

Research shows that name-dropping AI in marketing copy might backfire, lowering consumer trust and purchase intent.

A WSU-led study published in the Journal of Hospitality Marketing & Management found that explicitly mentioning AI in product descriptions could turn off potential buyers despite AI’s growing presence in consumer goods.

Key Findings

The study, polling 1,000+ U.S. adults, found AI-labeled products consistently underperformed.

Lead author Mesut Cicek of WSU noted: “AI mentions decrease emotional trust, hurting purchase intent.”

The tests spanned diverse categories—smart TVs, high-end electronics, medical devices, and fintech. Participants saw identical product descriptions, differing only in the presence or absence of “artificial intelligence.”

Impact on High-Risk Products

AI aversion spiked for “high-risk” offerings, which are products with steep financial or safety stakes if they fail. These items naturally trigger more consumer anxiety and uncertainty.

Cicek stated:

“We tested the effect across eight different product and service categories, and the results were all the same: it’s a disadvantage to include those kinds of terms in the product descriptions.”

Implications For Marketers

The key takeaway for marketers is to rethink AI messaging. Cicek advises weighing AI mentions carefully or developing tactics to boost emotional trust.

Spotlight product features and benefits, not AI tech. “Skip the AI buzzwords,” Cicek warns, especially for high-risk offerings.

The research underscores emotional trust as a key driver in AI product perception.

This creates a dual challenge for AI-focused firms: innovate products while simultaneously building consumer confidence in the tech.

Looking Ahead

AI’s growing presence in everyday life highlights the need for careful messaging about its capabilities in consumer-facing content.

Marketers and product teams should reassess how they present AI features, balancing transparency and user comfort.

The study, co-authored by WSU professor Dogan Gursoy and Temple University associate professor Lu Lu lays the groundwork for further research on consumer AI perceptions across different contexts.

As AI advances, businesses must track changing consumer sentiments and adjust marketing accordingly. This work shows that while AI can boost product features, mentioning it in marketing may unexpectedly impact consumer behavior.


Featured Image: Wachiwit/Shutterstock

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