As generative AI hype hits full steam, consumers carry reservations

Dive Brief:

• With the adoption of generative artificial intelligence (AI) solutions growing, consumers are valuing brands that prioritize transparency, according to a new Consumer Navigator survey shared by Dentsu.  
• Over two-thirds (70%) of respondents said brands should disclose when AI has been used to develop products, services, experiences and content. Seventy-seven percent agreed that brands must monitor the technology to ensure it does not propagate existing biases and inequalities.
• Among those surveyed, 61% supported brands experimenting with generative AI. However, less than half (42%) agreed that they prefer brands that are using AI versus those that are not, pointing to some underlying reticence.

Dive Insight:

Major marketers have jumped on the generative AI hype train as software like OpenAI’s ChatGPT reaches new levels of sophistication and mainstream implementation. As concrete applications multiply, brands must keep consumer preferences in mind lest they fall victim to shiny object syndrome. They must also ensure transparency and learn to navigate a Wild West phase with few regulations and safeguards in areas like privacy and protecting intellectual property. Following that, dedicated PR strategies in relation to AI were recommended by Dentsu.

“Marketers would be wise to start developing communications strategies and frameworks now as generative AI plays a growing role in consumer-facing business,” the authors of the report wrote. 

Dentsu’s survey indicates that consumers are interested in learning more about generative AI but hold some serious reservations. The report found that nearly half (45%) of respondents were “curious” about the sector, with that curiosity prevalent across demographics. On the other hand, skepticism was the second-most common sentiment on a broad basis and stood at particularly high levels with baby boomers (45%). 

A company using AI is not yet a surefire hook for driving engagement or commanding higher prices, per the findings. Just 34% of respondents said they would be willing to pay a premium for products and services built with the help of AI. Consumers do not see every category reaping the same rewards from experimenting with generative AI, either. 

While 72% of consumers view the field as having a positive impact on tech, just 58% said the same for advertising and 48% for arts and culture. Other industry verticals analyzed included entertainment, where 61% expect a positive impact, along with shopping (60%), healthcare (58%), finance and travel (both at 53%).  

That said, 59% endorsed leveraging AI to create ads and content and 61% supported the idea of using it to develop products and services. At the same time, 78% believe brands should disclose when a service was powered by AI, with that desire echoed for disclosures around AI-assisted branded content (75%) and products (73%).

Millennials were the most enthusiastic about generative AI. Half the cohort expressed excitement on this topic versus just 12% of boomers and 29% of Gen Z. Women, generally, seemed less enthused about AI than men, but both sexes cited anxiety over losing their jobs to automation as their top worry. Four in five of those surveyed believe generative AI represents “the future,” but less than two in five were excited about that prospect. Close to one-third (32%) were “concerned” and 29% were neutral on the matter. 

Dentsu’s findings were accrued through online panels conducted with Toluna. Surveys were distributed among a random sample of 1,000 adults in the U.S., with the audience controlled for a representative balance of race and gender.

Despite growing scrutiny, brand buy-in on the generative AI front doesn’t seem to be cooling. Coke in March debuted a platform that is the first of its kind to combine OpenAI’s GPT-4 and DALL-E technologies. Bombay Sapphire and director Baz Luhrmann are planning an art installation with works created with the help of an AI-powered robot.