Customers don’t care that your product is AI-powered
Research from Growth Unhinged, 2025 & Washington State University, 2024
Does ‘AI-powered’ labeling actually sell?
It sounds like a no-brainer—labeling a product as “AI-powered” should signal innovation and boost sales.
But customers aren’t buying it
Here’s what studies from WSU and Growth Unhinged found—AI-labeling:
❌ Lowers purchase intent on hardware. (TV: 14% ↓, Car: 21%↓)
🤨 Fails to increase trust, perceived value, or willingness to pay for software.
💔 Weakens emotional trust. Customers question AI’s reliability.
⚠️ Especially harmful for high-risk products. (Illness Diagnosis Tool: 35% ↓)
Why customers tune out “AI”
Skeptical of buzzwords—“AI” feels like empty jargon.
Bad experiences with clunky AI—AI hallucinates.
Trust gaps—privacy concerns, lack of transparency, and limited understanding fuel uncertainty.
Fear of malfunctions—especially in health, safety, or finance.
* Both studies tested general U.S. consumers, ensuring a broad and real-world applicable dataset rather than focusing on tech experts or early adopters.
How to market AI without saying "AI"
Focus on real value, not buzzwords
❌ “AI-Powered Document Creator”
✅ “Draft a client-ready proposal in under 2 minutes”
❌ “AI-Powered Sales Assistant”
✅ “Close deals 40% faster with automated follow-ups”
If you must use AI in messaging:
✅ Pair it with clear benefits.
✅ Still avoid using “AI” as the headline.
✅ Address privacy concerns & AI’s role upfront.
Good example—Notion
Notion doesn’t sell AI as the main attraction—it sells a better way to work. Instead of overhyping AI, it integrates AI as a writing and collaboration assistant.
Image source: NotionAI isn’t the value prop— your product is. What matters most is how it solves real problems, not that it’s AI-powered.
💡 If you removed the word ‘AI’ from your product’s pitch, would your value proposition still be compelling?
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My insights are backed by research from: