Human vs. AI: Investigating Consumers' Context-Dependent Purchase Intentions for Algorithm-Created Content

Increasingly digitalized media consumption is pressuring profitability in the content industry. Technological advancements in the realm of Artificial Intelligence (AI) render the potential to cut costs by applying algorithms to create content. Yet, before implementing algorithm-created content, content providers should be aware of the impact of algorithmic authorship on consumers’ intention to purchase said content. Accordingly, this study investigates user attitudes toward algorithmic content creation and their dependence on the underlying utilitarian or hedonic consumption context. In our online experiment (N=298), we find evidence for a positive effect of algorithmic authorship on consumers’ purchase intention. Even though the overall purchase intention is context dependent, this algorithm appreciation is independent of the content consumption context. Our study thus suggests that consumers appreciate algorithm-created content. Our results thus provide insights into the benefits of leveraging algorithms in order to maintain content providers’ profitability.