We’ve all seen ads created using artificial intelligence. Be it posters, videoclips or even jingles, we can usually tell that they weren’t made by humans. From local shops to big brands, organizations are taking advantage of the low cost and efficiency of using generative AI to craft advertising content. As consumers, though, how do we really feel about it?
To find out, Professor Argiro Kliaminakis has been awarded a Telfer SMRG Research Development Grant for her project titled “Artificial Intelligence in Advertising: Consumer Attributions and Firm Evaluations.” This four-part study will dig into the impact of AI-generated advertising on consumers and how it influences their perception of firms using it.
Based on attribution theory, a concept whereby people attribute reasons or cause for other people’s behaviour, Kliamenakis posits that consumers make judgments about a firm’s motives based on use of AI in its advertising. For example, a firm using AI may appear to be motivated by profit at the expense of collective good, leading consumers to have a negative opinion of it, and by extension, be less likely to purchase from it.
Previous research on consumer behaviour has indeed shown that consumers’ perception of a firm can affect their opinions of it and, consequently, their purchasing choices.
That said, many studies on this topic were developed when it was assumed that all product design and advertising content were the work of humans. Now, as AI use becomes more common, new studies are required on how consumers respond to AI-generated advertising.
Currently, advertising regulations are becoming stricter, and more platforms are mandating disclosure of AI use, such as Meta and Google (in certain situations). As a result, consumers are increasingly likely to know when AI has been used in advertising.
Interestingly, consumers may interpret a firm’s decision to use AI differently depending on the resources they believe the firm has. Because of that, Kliamenakis will also examine whether the firm size affects consumers’ perceptions. Are consumers more forgiving toward smaller firms?
Kliamenakis’ studies will provide valuable answers that will contribute information on consumer behaviour in the age of generative AI.
