Will Shoppers Ever Stop Second-Guessing AI Brand Recommendations?

A recent Idea Grove study unearthed an interesting and significant statistic: When consumers are presented with an unknown brand following an AI recommendation, nearly all of them (98%) pivoted to verify that recommendation from other trusted sources.

The study, “How Consumers Verify AI-Recommended Brands,” outlined that despite massive effort, energy, and spend being allocated to AI ranking and optimization coming from brands and retailers, the average shopper is still highly skeptical of the results generated by artificial intelligence models.

“The other 98% go looking for something more: reviews, search rankings, press coverage, a website that holds up. The AI recommendation opens the door. What’s on the other side of it determines whether anyone walks through,” the study authors reported.

Other interesting findings pulled from the report:

• Customer reviews are the No. 1 trust signal after AI recommendations: Respondents ranked customer reviews in the top slot (78%) regarding trust signals following an AI brand or product recommendation, even though these can also be subject to fraud or misrepresentation. Next were Google rankings (71%), business longevity (69%), and press coverage (58%).
• Nearly half of U.S. shoppers unaware that AI recommendations are often influenced by agencies: About 48% of those polled did not know that hired agencies were frequently paid to influence AI results, with that stat increasing to 65% among older Americans.
• A generational trust and usage divide exists: While over two-thirds of Gen Zers use ChatGPT for brand research (compared to just 30% of baby boomers), when it comes to trust, younger shoppers are more likely to trust AI recommendations (43% of zoomers and 39% of millennials, versus 18% of boomers).

Skepticism Over AI Brand, Product Recommendations Remains High, But Shows Signs of Abating

Overall skepticism was quite high across the board, regardless of demographic concerns, although that trust is growing, particularly with younger consumers — a third (32%) of respondents indicate that they trust AI brand recommendations more than they had a year prior, while just 16% indicated less trust versus last year. A majority (52%) were not persuaded in one direction or the other.

The largest bloc? Described as pragmatic skeptics (40%) by Idea Grove, these shoppers find AI useful but remain skeptical. Next up: those more skeptical, who believe that certain brands may have “gamed” the algorithm to present themselves in a more positive light (27%). A full 19% said they do not trust AI recommendations whatsoever, while the smallest cohort (15%) placed their faith in AI recommendations as being the best options.

“AI is changing where people start their brand research, but it hasn’t changed what convinces them to buy,” said Scott Baradell, founder and CEO of Idea Grove.

“Consumers treat an AI recommendation as a starting point, then fall back on the same signals that have always built trust — reviews, press coverage, search rankings, a credible web presence. What’s striking is that AI systems themselves were trained on those same signals. The evidence that makes a brand credible to a careful human buyer is the same evidence that makes it credible to the machines. A recommendation opens the door. What brands have built before that moment determines whether anyone walks through it,” he added.