AI (vs. Human) Recommendation on Luxury Services

Ana Rita Gonçalves; Diego Costa Pinto; Saleh Shuqair; Anel Imanbay; Anna S. Mattila

doi:10.1007/978-3-031-53286-3_12

AI (vs. Human) Recommendation on Luxury Services

Ana Rita Gonçalves, Diego Costa Pinto, Saleh Shuqair, Anel Imanbay, Anna S. Mattila

Research output: Chapter in Book/Report/Conference proceeding › Conference contribution › peer-review

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Abstract

Despite Artificial Intelligence (AI)'s emerging trend in luxury services, recent research shows mixed findings regarding its impact. This paper builds upon the optimum distinctiveness theory and the need for uniqueness to examine AI's effects on consumers’ willingness to accept luxury suggestions. Four studies reveal that using AI recommendations in the luxury sector reduces consumers’ differentiation, which has downstream effects on luxury services and causes brand dilution. Findings further indicate that when specific characteristics of luxury, such as uniqueness, are enhanced, it damages consumers’ willingness to accept luxury recommendations, and thus, AI backfires. The study findings have important theoretical and managerial implications, suggesting when AI should be used to provide recommendations for luxury experiences.

Original language	English
Title of host publication	Bringing the Soul Back to Marketing
Subtitle of host publication	Proceedings of the 2023 AMS World Marketing Congress, Canterbury, UK, July 11–14, 2023
Editors	Vincent Jeseo, Juliann Allen
Place of Publication	Cham, Switzerland
Publisher	Springer Nature Switzerland AG
Pages	121-131
Number of pages	11
ISBN (Electronic)	978-3-031-53286-3
ISBN (Print)	978-3-031-53285-6, 978-3-031-53288-7
DOIs	https://doi.org/10.1007/978-3-031-53286-3_12
Publication status	Published - 16 Mar 2024
Event	24th AMS World Marketing Congress (Academy of Marketing Science) - University of Kent, Canterbury, United Kingdom Duration: 11 Jul 2023 → 14 Jul 2023 Conference number: 24 https://www.ams-web.org/events/EventDetails.aspx?id=1330563&group=

Publication series

Name	Developments in Marketing Science: Proceedings of the Academy of Marketing Science
Publisher	Springer Nature Switzerland AG
ISSN (Print)	2363-6165
ISSN (Electronic)	2363-6173

Conference

Conference	24th AMS World Marketing Congress (Academy of Marketing Science)
Abbreviated title	24TH AMS WMC
Country/Territory	United Kingdom
City	Canterbury
Period	11/07/23 → 14/07/23
Internet address	https://www.ams-web.org/events/EventDetails.aspx?id=1330563&group=

Keywords

Artificial intelligence
Differentiation
Luxury
Recommendation
Services

UN SDGs

This output contributes to the following UN Sustainable Development Goals (SDGs)

Access to Document

10.1007/978-3-031-53286-3_12Licence: Unspecified

AI_vs_Human_Recommendation_on_Luxury_Services_AAMAccepted author manuscript, 265 KBLicence: Unspecified

Cite this

Gonçalves, A. R., Pinto, D. C., Shuqair, S., Imanbay, A., & Mattila, A. S. (2024). AI (vs. Human) Recommendation on Luxury Services. In V. Jeseo, & J. Allen (Eds.), Bringing the Soul Back to Marketing: Proceedings of the 2023 AMS World Marketing Congress, Canterbury, UK, July 11–14, 2023 (pp. 121-131). (Developments in Marketing Science: Proceedings of the Academy of Marketing Science). Springer Nature Switzerland AG. https://doi.org/10.1007/978-3-031-53286-3_12

Gonçalves, Ana Rita ; Pinto, Diego Costa ; Shuqair, Saleh et al. / AI (vs. Human) Recommendation on Luxury Services. Bringing the Soul Back to Marketing: Proceedings of the 2023 AMS World Marketing Congress, Canterbury, UK, July 11–14, 2023. editor / Vincent Jeseo ; Juliann Allen. Cham, Switzerland : Springer Nature Switzerland AG, 2024. pp. 121-131 (Developments in Marketing Science: Proceedings of the Academy of Marketing Science).

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abstract = "Despite Artificial Intelligence (AI)'s emerging trend in luxury services, recent research shows mixed findings regarding its impact. This paper builds upon the optimum distinctiveness theory and the need for uniqueness to examine AI's effects on consumers{\textquoteright} willingness to accept luxury suggestions. Four studies reveal that using AI recommendations in the luxury sector reduces consumers{\textquoteright} differentiation, which has downstream effects on luxury services and causes brand dilution. Findings further indicate that when specific characteristics of luxury, such as uniqueness, are enhanced, it damages consumers{\textquoteright} willingness to accept luxury recommendations, and thus, AI backfires. The study findings have important theoretical and managerial implications, suggesting when AI should be used to provide recommendations for luxury experiences.",

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Gonçalves, AR , Pinto, DC , Shuqair, S , Imanbay, A & Mattila, AS 2024, AI (vs. Human) Recommendation on Luxury Services. in V Jeseo & J Allen (eds), Bringing the Soul Back to Marketing: Proceedings of the 2023 AMS World Marketing Congress, Canterbury, UK, July 11–14, 2023. Developments in Marketing Science: Proceedings of the Academy of Marketing Science, Springer Nature Switzerland AG, Cham, Switzerland, pp. 121-131, 24th AMS World Marketing Congress (Academy of Marketing Science), Canterbury, United Kingdom, 11/07/23. https://doi.org/10.1007/978-3-031-53286-3_12

AI (vs. Human) Recommendation on Luxury Services. / Gonçalves, Ana Rita ; Pinto, Diego Costa ; Shuqair, Saleh et al.
Bringing the Soul Back to Marketing: Proceedings of the 2023 AMS World Marketing Congress, Canterbury, UK, July 11–14, 2023. ed. / Vincent Jeseo; Juliann Allen. Cham, Switzerland: Springer Nature Switzerland AG, 2024. p. 121-131 (Developments in Marketing Science: Proceedings of the Academy of Marketing Science).

Research output: Chapter in Book/Report/Conference proceeding › Conference contribution › peer-review

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Gonçalves AR , Pinto DC , Shuqair S , Imanbay A, Mattila AS. AI (vs. Human) Recommendation on Luxury Services. In Jeseo V, Allen J, editors, Bringing the Soul Back to Marketing: Proceedings of the 2023 AMS World Marketing Congress, Canterbury, UK, July 11–14, 2023. Cham, Switzerland: Springer Nature Switzerland AG. 2024. p. 121-131. (Developments in Marketing Science: Proceedings of the Academy of Marketing Science). doi: 10.1007/978-3-031-53286-3_12

AI (vs. Human) Recommendation on Luxury Services

Abstract

Publication series

Conference

Keywords

UN SDGs

Access to Document

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