The Impact of AI on Marketing
The surge in AI generative technology is revolutionizing marketing. Tools like Midjourney or ChatGPT enable the creation of ads, catalogs, or social media posts in mere seconds, eliminating the need for photo shoots, designers, and copywriters. This not only saves time and money but also promises to personalize communication for each customer, theoretically allowing brands to showcase product or destination versions tailored to individual preferences.
The Double-Edged Sword of AI-Generated Images
While AI-generated images offer numerous benefits, they come with a trade-off: the loss of authenticity. As consumers become increasingly wary, some brands have already faced backlash for using AI-generated images. For instance, in 2023, Amnesty International was criticized for employing AI-generated images to illustrate protests in Colombia, intending to protect the identities of demonstrators but instead being perceived as manipulation.
Consumer Reactions to AI-Generated Images
AI-generated images are altering how businesses communicate with their customers. Hotels, restaurants, and travel agencies use them to showcase destinations or experiences.
To understand consumer reactions when companies promote services using AI-generated images instead of real photos, we conducted two complementary studies involving consumers. The first study included 338 participants who were presented with various hospitality scenarios, some featuring real images and others showcasing AI-generated images clearly labeled as such. The scenarios were categorized based on service type—hedonic (pleasure, enjoyment) or utilitarian (practical, functional)—and consumer involvement level—whether the purchasing decision was significant or trivial.
The second, qualitative study involved 60 participants who explained their reactions to the scenarios. Their responses helped us understand why consumers trust certain images over others in different situations.
Consumer Preference for Real Images
AI-generated images decrease both the intention to use a service and the likelihood of recommending it. Participants described companies using AI as “unprofessional,” “impersonal,” or even “deceptive.” Many mentioned that these images made it difficult for them to “imagine the actual experience.”
The effect was more pronounced in two cases:
- When consumers seek pleasure or enjoyment-oriented services, like a vacation hotel stay.
- When facing important decisions requiring time and attention.
In contrast, for utilitarian services and trivial decisions (like a quick meal), the difference between real and AI-generated images was insignificant.
Understanding Consumer Reactions
Our study is grounded in the Processing Fluency Theory, which posits that people value things more positively when they are easily understood or processed. Real images (familiar, consistent with our experience) are effortlessly processed and build trust. Conversely, AI-generated images may evoke a sense of strangeness or unreality, even when they appear perfect. This minimal mental friction leads to distrust in the message or its source.
In hedonic services, where consumers seek pleasure and emotion, and in high-stakes decision-making, this lack of fluency results in decreased appeal. In contrast, the impact is lesser in utilitarian services where functionality (speed, price, efficiency) matters, and when the decision is inconsequential.
Lessons for Brands
The study provides crucial advice for companies integrating AI into their visual communication. Although AI-generated images may be quicker and cheaper, consumers still prioritize the authenticity of an original photo reflecting a genuine service.
For services consumers seek for pleasure or enjoyment and high-involvement decisions, real images foster greater credibility and emotional connection. However, synthetic images might be perceived as cold, impersonal, or even deceptive. This doesn’t mean AI should be discarded; it can be a useful and cost-effective tool for more functional, low-involvement services. We recommend using AI transparently and coherently, informing customers when an image is artificially generated.
Ultimately, brands should strive for balance: leveraging AI creatively rather than replacing human elements.
Towards More Human AI
AI holds immense potential, but disregarding consumer perception can transform a brilliant idea into a communication blunder.
Consumers still value authenticity, humanity, and imperfection. Thus, companies that blend technology with honesty will be the ones to maintain consumer trust.
