Specifying which parts of online content were generated by AI can blunt the trust-damaging effects of blanket AI disclosures; scope-based labels make AI involvement more informative and convey seller effort, improving consumer responses.
Given the increasing prevalence of Artificial Intelligence-Generated Content (AIGC), regulatory authorities have begun requiring firms to disclose their involvement with AI to enhance transparency and prevent deception. However, emerging evidence suggests that general disclosures of AI involvement may unintentionally undermine consumer trust and reduce purchase intentions. This study examines whether and how scope-based AIGC disclosure can mitigate these adverse effects in e-commerce contexts. Drawing on cue utilization theory, we conceptualize the scope-based AIGC disclosure as an information cue that clarifies which part of the content was created by AI. We propose that scope-based AIGC disclosure shape consumer responses through two parallel mechanisms: perceived diagnosticity and perceived seller effort. We plan to conduct a lab experiment to test these arguments. This study contributes to AI transparency and explainability research by shifting attention from whether firms disclose AI use to how disclosure is designed in digital commerce.
Summary
Main Finding
This study hypothesizes that scope-based AIGC disclosure — a label that specifies which part(s) of digital content were produced by AI — can mitigate the negative effects of general AI-use disclosures on consumer trust and purchase intentions in e-commerce. Specifically, scope-based disclosure is expected to improve outcomes relative to a generic “AI was used” label by increasing (1) perceived diagnosticity of the information and (2) perceived seller effort, which jointly restore trust and willingness to buy.
Key Points
- Regulatory context: Authorities increasingly require firms to disclose use of AI in consumer-facing content to increase transparency and prevent deception.
- Problem: Emerging evidence suggests that generic/unspecified AI disclosures can backfire, reducing consumer trust and purchase intentions.
- Conceptual innovation: Introduces scope-based AIGC disclosure as an information cue that clarifies which portion of content (e.g., product description, photos, reviews) was AI-generated rather than merely indicating AI involvement.
- Theoretical framing: Uses cue-utilization theory to argue that consumers use disclosure format as a cue; clearer/specific cues (scope-based) should be more diagnostic and convey greater seller effort.
- Proposed parallel mechanisms:
- Perceived diagnosticity: Scope-based labels give consumers clearer, actionable information about content provenance, improving perceived informativeness and enabling better judgments.
- Perceived seller effort: More specific disclosure signals seller care and accountability (effort to be transparent), which increases trust.
- Expected net effect: Scope-based disclosure → higher perceived diagnosticity & seller effort → higher trust and purchase intentions versus generic disclosure (and possibly versus no disclosure, depending on baseline effects).
Data & Methods
- Research design: Controlled lab experiment (e-commerce context) to manipulate disclosure type.
- Suggested experimental conditions (implied by theory): at minimum — (a) no disclosure, (b) generic AI-use disclosure, (c) scope-based disclosure specifying which parts are AI-generated. Additional variants could manipulate level of scope granularity (e.g., single element vs multiple elements).
- Sample: Human subjects (online panel or lab participants) recruited to evaluate product listings or other commerce content.
- Stimuli: Simulated product pages or content examples with identical informational content but differing in disclosure text/labels.
- Measures:
- Dependent variables: consumer trust, purchase intention/willingness to buy, perceived deception.
- Mediators: perceived diagnosticity of the disclosure, perceived seller effort/intentionality.
- Controls: product type, prior AI attitudes, familiarity with AI, demographic covariates.
- Analyses:
- Between-subjects comparisons (ANOVA/OLS) of disclosure conditions on outcomes.
- Mediation analysis (e.g., structural equation modeling or causal mediation) to test whether perceived diagnosticity and seller effort explain treatment effects.
- Robustness checks (e.g., moderation by prior AI attitudes or product risk).
- Timeline/status: Planned lab experiment (study not yet executed in the provided description).
Implications for AI Economics
- Policy design: Findings would inform regulators on disclosure standards. Mandates requiring mere AI-use notification may be counterproductive; specifying scope could achieve transparency goals while avoiding demand damage.
- Market outcomes: Disclosure design affects consumer trust and purchase decisions, altering demand for AIGC-enabled offerings. Firms may strategically choose disclosure formats that minimize negative demand effects while complying with regulation.
- Signaling and competition: Scope-based disclosure can act as a signal of seller quality/effort; heterogeneous adoption could create competitive differentiation and influence pricing, entry, and investment in human vs AI content production.
- Welfare and adoption: Better-designed disclosures could preserve consumer welfare (avoid unnecessary pessimism about AI) while maintaining protection against deception. This influences overall adoption rates of AIGC and the diffusion of AI in commerce.
- Future empirical work: Results would motivate field experiments and marketplace data analysis to quantify real-world demand shifts, second-order effects (seller reputation dynamics), and optimal regulatory cost–benefit tradeoffs.
Assessment
Claims (6)
| Claim | Direction | Outcome | Confidence & Evidence | Details |
|---|---|---|---|---|
| Regulatory authorities have begun requiring firms to disclose their involvement with AI to enhance transparency and prevent deception. Governance And Regulation | positive | requirement for firms to disclose AI involvement (regulatory disclosure) |
Reading fidelity
high
Study strength
medium
|
|
| Emerging evidence suggests that general disclosures of AI involvement may unintentionally undermine consumer trust and reduce purchase intentions. Consumer Welfare | negative | consumer trust and purchase intentions |
Reading fidelity
high
Study strength
medium
|
|
| Scope-based AIGC disclosure can mitigate the adverse effects (reduced trust and purchase intentions) of general AI-use disclosures in e-commerce contexts. Consumer Welfare | positive | consumer trust and purchase intentions (mitigation of adverse effects) |
Reading fidelity
high
Study strength
speculative
|
|
| Scope-based AIGC disclosure can be conceptualized, drawing on cue utilization theory, as an information cue that clarifies which part of content was created by AI. Decision Quality | positive | clarity/diagnosticity of information provided to consumers |
Reading fidelity
high
Study strength
low
|
|
| Scope-based AIGC disclosure shapes consumer responses through two parallel mechanisms: perceived diagnosticity and perceived seller effort. Decision Quality | positive | perceived diagnosticity and perceived seller effort (mediators influencing consumer responses) |
Reading fidelity
high
Study strength
speculative
|
|
| The authors plan to conduct a lab experiment to test the proposed effects of scope-based AIGC disclosure on consumer responses. Adoption Rate | null_result | planned experimental test of consumer responses to disclosure designs |
Reading fidelity
high
Study strength
speculative
|