Exclaimer, the leading email signature management platform, has released a new study that delves into the impact of AI on consumer connection and loyalty.
According to a recent McKinsey report, Generative AI could contribute up to $4.4 trillion in annual global productivity, with brands using Gen AI to help with workflows. However, 71% of consumers expect a personalized experience in business communications, which means AI could risk losing the personal touch.
To explore how an excessive use of AI in email might affect consumer perceptions, Exclaimer surveyed consumers across four generations to gauge their views.
“The Personal Touch” study offers valuable insights into how AI can influence consumer engagement, trust, and loyalty. It helps brands balance technological advancements with genuine personal interaction.
55% of consumers say AI-generated communications come across negatively
According to Exclaimer’s research, most (55%) of consumers believe that AI-generated communications, whether obvious or not, come across negatively. It revealed that nearly one in five (18%) consumers believe that AI is somewhat noticeable in emails and that it negatively affects the quality of brand communication.
The leading reason for this is that consumers see AI-driven emails as less “authentic”. More than two-fifths (41%) of respondents explained that AI-driven emails reduce the genuineness and transparency of brands. As a result, 27% expressed a lack of connection with brands who use AI in email communication.
More than half of customers are concerned by AI-generated emails within the healthcare industry
The study revealed that consumer attitudes toward the use of AI in emails vary significantly by industry, with certain sectors facing more resistance than others.
More than half (52%) of participants believe the healthcare industry should not use or send AI-generated communications. This concern is highest in the Baby Boomer (51%) and Gen-X (61%) cohorts.
41% of respondents believe AI-driven emails make brands seem less authentic, reducing their genuineness and transparency.
Baby Boomers are concerned about AI in communications from finance companies
The financial sector is another industry where consumers have concerns about AI-generated emails, with 18% saying that AI should not be used in this industry. Older generations, such as Baby Boomers (26%), exhibit even higher levels of concern, twice that of Gen Z (13%).
The hesitance seen in healthcare and finance isn’t shared across every industry. Responses showed that 6% of people are against AI-generated communications in the retail sector and only 4% in the technology industry.
Carol Howley, CMO at Exclaimer, comments:
“The findings indicate that privacy and security remain significant concerns for many regarding AI-generated or AI-driven email communications. Whether addressing subtle inquiries or matters related to health and wealth, our research reveals that people still want a human connection and trust in the services they engage with.
“However, for those in retail and technology, people are far more likely to accept AI-generated content in communications. This highlights how businesses need to be careful and use AI where it’s appropriate to avoid potentially damaging their customer relationships.”
79% of consumers would consider switching to a competitor due to over-use of AI
Exclaimer’s research survey reveals that 79% of consumers might switch brands if all interactions were AI-based, with Gen Z (85%) being the most likely to do so. This poses a serious risk to brand reputation, potentially impacting long-term sales and growth.
Howley continues:
“As has always been the case in marketing, consumers want to feel understood and appreciated by the brands they use or are considering using. With this in mind, companies using AI in their email communications should focus on making AI interactions subtle and human-like. This ensures that the technology enhances rather than detracts from the customer experience.”
Further Findings
- 32% of consumers believe that AI is most beneficial for personalized discounts and offers. This sentiment is shared across all age groups
- 51% of consumers are less likely to recommend brands that use AI in email communication
- 88% of consumers would ignore suspected AI-generated marketing emails