IDEA CONTESTS IN THE ERA OF AI: IS THE CROWD STILL USEFUL IN THE CASE OF SUSTAINABLE FOOD PACKAGING?

Companies often rely on crowds to complement their own R&D activities, for example, through idea contests. However, the ongoing digital disruption initiated by artificial intelligence applications may blunt the effectiveness of such crowd-based idea generation. Asked pointedly: When artificial intelligence can deliver product ideas that are valued by customers, is the crowd still needed? This study investigates the impact of innovation sources in new product development – crowd-sourced versus R&D departments – and the use of artificial intelligence on consumer acceptance in the context of sustainable food packaging. A scenario-based experiment involving 340 participants reveals that crowd-sourced solutions suffer from a competence trust deficit, which can be mitigated by using artificial intelligence in the design process. Our research is a first step to advance the understanding of how innovation sources and artificial intelligence affect consumer responses and provides insights for the future of the crowd.