AI adoption amid consumer distrust could undermine brand loyalty

The news: US adults are worried about AI’s risks and effects, though they continue to use it.

Eighty-nine percent have at least one concern about AI, per YouGov, and 39% say AI’s impact on society is at least somewhat negative. Top concerns about AI include:

  • Data privacy and security (63%)
  • Human dependence on AI (53%)
  • Surveillance and lack of trust in AI companies (48%)
  • Distrust in AI’s reliability and accuracy (46%)
  • AI replacing human jobs (44%)
  • Ethical qualms (40%)

And yet 67% use AI tools at least once per month, including 22% who use them daily. This estimate is higher than our August forecast, which shows that 53.3% of the US population will use genAI at least once per month in 2026.

Digging into the data: Consumers’ frequent use of AI tools despite distrust in the companies behind them indicates adoption metrics alone may not tell marketers how receptive audiences are to AI experiences.

  • A customer who uses ChatGPT daily might still reject AI-powered ads, customer service, or personalization.
  • Brands that lead with capability and ignore concerns about transparency and human involvement risk a backlash that usage data alone may not predict.

Another barrier is consumers’ low patience for AI disappointments—63% of US monthly online shoppers have reduced spending on a brand after multiple experiences with frustrating AI service, per Gladly, and 53% have warned friends, family, or colleagues to avoid a brand as a result of poor AI interactions.

Recommendations for brands: Gather metrics from multiple data sources, including platform-provided usage figures and self-reported consumer attitude surveys, before scaling AI-dependent strategies.

  • Segment audiences by comfort level and create experiences that accommodate all levels of AI adoption. This could include offering AI customer service options that can be toggled off for those who prefer immediate human interaction.
  • Offer consumers quick, easy paths to rate web experiences and satisfaction to ensure AI-powered interactions aren’t affecting trust. A feature that adds efficiency but hurts loyalty or confidence should be optional to users or held back.

This content is part of EMARKETER’s subscription Briefings, where we pair daily updates with data and analysis from forecasts and research reports. Our Briefings prepare you to start your day informed, to provide critical insights in an important meeting, and to understand the context of what’s happening in your industry. Non-clients can click here to get a demo of our full platform and coverage.

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