According to a recent study, using the term “artificial intelligence” in product descriptions could unintentionally harm sales for companies. Researchers from Washington State University assessed this phenomenon through experimental surveys involving over 1,000 adults in the United States, examining how the mention of AI affects consumer behavior.
A recent study by researchers at Washington State University indicates that companies might unintentionally decrease their sales by including the term “artificial intelligence” when advertising their tech products.
The research, published in the Journal of Hospitality Marketing & Management, involved experimental surveys with more than 1,000 adults across the United States to examine the impact of AI references on consumer behavior.
According to Mesut Cicek, clinical assistant professor of marketing and the study’s lead author, the results consistently revealed that products labeled as using artificial intelligence were viewed less favorably by consumers.
“When the term AI is brought into the conversation, it often diminishes emotional trust, resulting in a lower likelihood of purchase,” he explained. “Our research shows that emotional trust significantly influences how consumers view AI-enhanced products.”
In their experiments, the researchers posed questions about various products and services. For instance, in one scenario, participants were given two identical descriptions of smart TVs—one included the phrase “artificial intelligence” while the other did not. Those who saw the mention of AI indicated a reduced intent to buy the television.
Additionally, the researchers found that negative reactions to the mention of AI were even more pronounced regarding “high-risk” products and services, which often evoke more apprehension in consumers, such as costly electronics, medical devices, or financial services. Since the potential for loss—financial or physical—exists, mentioning AI in these contexts could heighten consumer caution and reduce their willingness to purchase, according to Cicek.
“We evaluated the impact across eight different categories of products and services, and the conclusions were consistent: it’s a disadvantage to include such terminology in product details,” stated Cicek.
These findings offer significant insights for businesses.
“Marketers need to think carefully about how they incorporate AI into their product communications or create ways to build emotional trust. Highlighting AI may not always be advantageous, especially for higher-risk items. It’s better to focus on showcasing the features or advantages and to steer clear of AI jargon,” he added.
Alongside Cicek, the study was co-authored by Dogan Gursoy, a professor of hospitality at WSU, and Lu Lu, an associate professor at Temple University’s Fox School of Business and Management.
