AI-generated versus human-created advertising: Effects on consumer trust and purchase intent

Research background: The rapid advancement of Generative Artificial Intelligence (AI) technologies has profoundly influenced the marketing landscape, particularly advertising practices. Despite significant growth and widespread integration of AI-generated content, consumer reactions toward explicit disclosure of AI involvement remain uncertain. Previous studies indicate that while AI-generated advertisements can enhance efficiency and personalisation, they may negatively affect consumer perceptions of authenticity and credibility. However, the role of disclosure ("created by AI" vs. "created by human") and product involvement level (high vs. low involvement) as moderators of consumer trust and purchase intentions remains under-explored. Purpose of the article: The purpose of this research is to empirically investigate how advertisement generation source (AI vs. human) combined with explicit labelling influences consumer trust and purchase intent, while also considering product involvement as a moderating factor. Methods: The study employed a 2 (ad generation source: AI vs. human) × 2 (ad labelling: labelled as AI vs. labelled as human) between-subjects experimental design. Participants were randomly assigned to four conditions, assessing advertisements for both low-involvement (snacks) and high-involvement products (laptops). Consumer trust and purchase intent were measured across multiple validated dimensions. Data analysis included one-way ANOVA and Tukey post-hoc tests to identify significant group differences. Findings & value added: The results confirm significant differences in consumer trust and purchase intent based on advertisement generation source and labelling conditions, fully supporting all hypothesised effects. Specifically, advertisements labelled as human-generated received higher consumer trust and purchase intent ratings, even if they were AI-generated. Conversely, transparently labelled AI-generated ads caused lower trust and intent, particularly for high-involvement products. These findings reveal context-specific reactions to AI disclosures, underscore the importance of authenticity in digital marketing, and advise marketers to manage AI disclosures carefully to preserve trust and drive purchases.