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Paper Type
Complete
Description
The human creation of a product serves as a quality signal. Given recent progress in generative Artificial Intelligence (AI), the “handmade” label is increasingly replaced by an “AI-made” label. However, due to consumers' inherent algorithm aversion, the “AI-made” label adversely affects consumption behavior. Accordingly, firms need to understand how consumers’ aversion towards AI-generated products can be mitigated. Our explorative approach focuses on the nascent phenomenon of applying generative AI for creating textual news products. Based on 41 consumer interviews, we derive five signals that may mitigate consumers’ concerns with AI-generated textual products: The establishment of a quality control instance, the application of a hard output paradigm, the provision of information and process transparency, and the presence of positive reviews. These signals enable firms to leverage the economic benefits associated with delegating product creation to generative AI agents.
Paper Number
1337
Recommended Citation
Rix, Jennifer and Hess, Thomas, "From “Handmade” to “AI-Made”: Mitigating Consumers’ Aversion towards AI-Generated Textual Products" (2023). AMCIS 2023 Proceedings. 5.
https://aisel.aisnet.org/amcis2023/sig_aiaa/sig_aiaa/5
From “Handmade” to “AI-Made”: Mitigating Consumers’ Aversion towards AI-Generated Textual Products
The human creation of a product serves as a quality signal. Given recent progress in generative Artificial Intelligence (AI), the “handmade” label is increasingly replaced by an “AI-made” label. However, due to consumers' inherent algorithm aversion, the “AI-made” label adversely affects consumption behavior. Accordingly, firms need to understand how consumers’ aversion towards AI-generated products can be mitigated. Our explorative approach focuses on the nascent phenomenon of applying generative AI for creating textual news products. Based on 41 consumer interviews, we derive five signals that may mitigate consumers’ concerns with AI-generated textual products: The establishment of a quality control instance, the application of a hard output paradigm, the provision of information and process transparency, and the presence of positive reviews. These signals enable firms to leverage the economic benefits associated with delegating product creation to generative AI agents.
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