AI-Generated Content: The Future Consumers Love, Trust And Demand
The digital advertising market is undergoing a seismic shift. As platforms compete for market share, AI-generated content has emerged as a key differentiator, revolutionizing how consumers engage with information and make decisions. The message is clear: Consumers not only appreciate AI-generated content—they also trust it and want more of it. For platforms, this isn't just an opportunity; it's a mandate to invest in AI-driven strategies to secure market leadership.
Our research reveals that active users—those who engage with AI-generated content daily or weekly—are overwhelmingly positive about its impact. Per Ivey Business Journal , 77% of "active AI users trust AI-generated content," a signal of "a generational shift in trust, behaviour, and brand loyalty." Per our research, over 88% of users we surveyed "think that AI dramatically enhances their online experience," and 83% believe that "AI can be more creative than humans." This sentiment is a stark contrast to infrequent users: The more consumers interact with AI-generated content, the more they value it. Consumers are positively responding to the speed, efficiency and personalization of AI content.
The impact of generative AI extends beyond convenience—it's reshaping engagement and commerce. Younger generations, specifically Gen-Z and Millennials, are all-in with AI. Per Ivey Business Journal 's research linked above, 85% of users "access video and social media content regularly." Baby Boomers' activity, unsurprisingly, is lower, but still impressive: 62% are regularly accessing that content.
Recent data from Accenture reveals that 50% of users who have adopted AI are very comfortable with it. From what I've seen in the industry, adoption is rapidly increasing, and this translates to revenue: Users are much more likely to make a purchase following interactions with AI-crafted material. The Consumer Shift: Why AI-Generated Content Wins
The rise of AI-generated content is a response to consumers' growing demand for hyper-relevance. Consumers are inundated with information, and AI is cutting through the noise. For example, Amazon is using generative AI to power highly personalized product recommendations, crafting descriptions and suggestions that adapt to individual browsing habits.
Trust remains a point to balance. From what I've seen in this space, consumers who regularly interact with AI-generated content are more likely to trust it, driven by AI's consistency and personalization. Shopify leverages AI to auto-generate polished, data-backed product descriptions that highlight key features, pricing and localized details.
By delivering this level of precision at scale, AI doesn't just streamline operations—it can foster trust, turning casual browsers into loyal customers. The Business Case: AI As A Revenue Driver
The business implications of AI-generated content are undeniable—platforms leveraging it are seeing transformative results, increasing engagement and conversions. YouTube offers a prime example: Many creators leverage AI tools to help create and support their content—through video editing tools, thumbnail generation and more.
Moreover, AI-generated content lowers the creative barriers for non-enterprise advertisers, enabling smaller businesses to compete on a level playing field—and Meta is proving it. With the rollout of generative AI features for all advertisers, even SMBs can now instantly create tailored ad variations, optimized backgrounds and engaging copy without design expertise. By automating content creation, AI can allow these businesses to focus on strategy and innovation, rather than getting bogged down in content production. Disclosure Matters
Transparency is something consumers want more of in the digital content they consume. Right now, on most social apps, users are being exposed to in-feed ads that were crafted with AI. It's sticky content, and it does its intended job of creating engagement, but it also raises consumer questions about where the content came from. Trust in creative content (posts, videos, podcasts, etc.) is low, even among active users. Transparency in how AI is being used to create that content, as well as disclosure of that use, needs to be effectively communicated across content types.
The majority of consumers prioritize fact-based content and expect accuracy and authenticity in what they see, including ads. Identifying AI-generated content usually boosts trust perceptions with active users, but I've also seen that this sometimes has the opposite effect with the occasional skeptical user.
I believe consumer trust and confidence will undoubtedly improve as companies commit to ensuring the accuracy of the content they create. At Accenture, our research shows that 60% of surveyed consumers are "concerned with bias and misinformation" in AI.
So, what should product leaders do? They must leverage AI to improve the experience of products today, but they must also disclose where AI is being used. Clearly explain how AI is enabling the product to do something that directly benefits the end user. Continually validate this approach by measuring consumer perception regularly. The Next Frontier: Agentic AI
While generative AI has dominated the conversation, the evolution of agentic AI is poised to change the consumer experience even more. I believe it will enable platforms to analyze customer behavior in real time and deliver seamless, hyper-personalized experiences that anticipate needs and values.
Agentic AI will soon do real work on behalf of users—booking flights, arranging an autonomous ride or ordering food. According to Gartner, 'By 2028, 33% of enterprise software applications will include agentic AI, up from less than 1% in 2024, enabling 15% of day-to-day work decisions to be made autonomously.'
This underscores the transformative potential of this technology. Our data indicates that consumers are ready for this new reality, with two-thirds of surveyed consumers saying they're comfortable with generative AI.
The future of digital experiences and advertising lies in AI-generated content and agentic AI. Our research also shows consumers believe that "60% of their content in search [and] 40% of the music they listen to is generative." Consumers are embracing AI, and I believe the platforms that invest will gain a stronger competitive advantage. Consumers are ready; now is the time to act.
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