In 2024, it can be hard to find what you’re looking for online. Whether it’s new music, TV shows, clothes or holiday destinations, consumers are now averaging 182 hours per year searching for content online. It’s no wonder then that many of us look to influencers for guidance, but with AI-driven recommendations becoming ubiquitous across online platforms, consumers are faced with a real choice on who to listen to. On the one hand there’s robotic, somewhat contrived recommendations driven by algorithms and on the other… is AI. Okay joking aside, let’s take a look at the data and see who consumers are trusting more for recommendations in 2024.
More and more people trust the algorithm
According to a recent survey by Accenture, 65% of consumers are open to receiving product recommendations from AI, citing convenience and personalisation as key factors driving trust in these systems. There’s a growing feeling amongst consumers that the level of choice for content and shopping, once lauded as the ultimate freedom, is well, now, quite the opposite. We’re now spending up to 30 minutes looking for content on streaming platforms, so it’s unsurprising consumers are now more comfortable with recommendations driven by data if they’re shortening the time we spend searching. Maybe this is why an increasing amount of our attention is spent on content with more effective algorithms like TikTok, rather than trawling platforms like Netflix. With the rise of platforms like ChatGPT, it begs the question of how video and music streaming services can benefit from generative AI to serve powerful recommendations. Spotify has already unveiled a generative AI-powered voice guide to suggest songs, though this has yet to be integrated into many other media platforms.
The power of influencer endorsements
On the other hand, social media influencers wield significant influence over consumer behaviour, particularly among younger demographics. A study conducted by Influencer Marketing Hub found that 63% of consumers trust influencers’ product recommendations more than traditional advertisements. And this is still the case when it comes to recommendations from AI. New data from Morning Consult paints a clear picture: all demographics, though open to AI recommendations, still place their trust more heavily in influencers. The disparity between the two is striking for younger audiences with Gen-Z firmly clinging to influencers for guidance on TV, movies and music.
Lessons for marketers
For marketers then, it’s essential to recognise that Gen Zers place more trust in influencers than AI when it comes to media suggestions. Therefore, companies should consider leveraging influencer-curated playlists and content selections. Although Max (formerly HBO Max) emphasised this approach upon its 2020 launch, it remains relatively uncommon in today’s video streaming landscape. Given the exponential growth of content since then, reintroducing a clearer element of human curation to subscribers seeking more intentional recommendations seems logical. Especially when trust is such a critical element.
Despite the effectiveness of both AI and influencer recommendations, consumers grapple with distinguishing between authentic endorsements and promotional content. Dr. Michael Lee, a consumer behaviour expert, stresses the significance of transparency: “Consumers value authenticity and transparency in recommendations. Whether from AI algorithms or influencers, clarity regarding the basis of recommendations fosters trust and credibility.”
In conclusion, the choice to turn to AI or influencers for product recommendations still hinges on individual preferences and trust factors. While AI offers personalised suggestions rooted in data-driven insights, consumers still feel influencers provide genuine endorsements grounded in personal experiences. As consumers navigate the digital landscape, transparency and authenticity remain crucial in fostering trust and facilitating informed purchasing decisions.
For more insights on influencer marketing contact the Rabbit comms team at info@wearerabbits.co.uk
