• by Ray Schultz , Columnist, February 1, 2023

There is much talk about artificial intelligence (AI) within the marketing business. But how do consumers really feel about it?

They would welcome it if brands use it provide a better customer experience, judging by a new study from Redpoint Global, conducted by Dynata Research.

Of the consumers polled, 73% believe AI and machine learning (ML) may have a positive impact on CX -- particularly in digital settings. However, 45% have little understanding about how these technologies are being implemented. 

Moreover, 77% of consumers believe customer experiences still need an element of human touch. And 58% feel strongly that companies must be clear about when AI is being used.

Roughly 33% of consumers see positive CX impact from AI in websites, mobile, text/SMS and in-store interactions. And 25% see the same impact in email and phone.

Perhaps most importantly, 54% believe AI can help brands keep their personal information more secure.

The findings vary from those revealed in a study about generative AI, the use of AI to create content, by Big Village. It found that 76% fear generative AI images or videos could be abused in social media, and 66% are worried about privacy when generative AI is used in social media. 

Overall, 48% are familiar with the use of generative AI in social media to some extent, Big Village reports. 

According to Redpoint, consumers rank chatbots as the most ideal use of AI for CX, although 70% still prefer talking to a live human over chatbots. 

However, there is a generational divide: 42% of Gen Z and feels more comfortable with chatbot interactions versus conversations with humans.  

Gen Z is also more likely to believe that AI will help security — 66% say they think it will.

“As AI technology evolves and moves into more aspects of the customer experience, brands have to focus even more on delivering a frictionless consumer experience,” says John Nash, chief strategy and marketing officer for Redpoint Global. 

Nash adds: “Positive CX outcomes depend on access to relevant customer information in real-time as consumers navigate between channels, AI and human interaction. Consumers are quick to pick up on inconsistencies as evidence that brands simply do not understand them and will move their business elsewhere.”

Dynata Research surveyed 1,000 U.S. consumers in January 2023.