Building Brand Trust and Consumer Engagement in AI Advertising
Keywords:
AI transparency, perceived visual appeal, brand trust, customer engagement, AI-based advertisingAbstract
The growing adoption of artificial intelligence (AI) in digital advertising has changed the way organizations create and distribute advertising material, but has raised issues about transparency, client trust and engagement. The objective of this research is to examine the impact of AI transparency and perceived visual attractiveness on consumer engagement with brand trust as a mediator. The study was quantitative and consisted of a poll of 200 customers who had observed AI-based marketing on social media. Data were analyzed using Partial Least Squares Structural Equation Modeling (PLS-SEM). Results indicate that AI transparency enhances brand trust and consumer engagement. The perceived visual appeal has a positive impact on brand trust but no substantial direct impact on customer involvement. The biggest effect size was for the beneficial influence of brand trust on consumer engagement, indicating that brand trust is crucial to convert consumers’ impressions of AI-based advertising into action. In addition, the mediation study revealed that brand trust plays a crucial role as a mediator between AI transparency and client engagement and perceived visual attractiveness and consumer engagement. These findings indicate that AI-powered advertising is not only about technical skills or visual esthetics, but also about the capacity of brands to build trust with their customers. Our study contributes to a growing body of literature on AI-based advertising by highlighting the role of brand trust as a psychological mechanism that mediates the relationship between advertising characteristics and consumer engagement. The findings point to the need for marketers to blend straightforward discourse about AI with visually engaging advertising while placing a premium on trust-building tactics.
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Copyright (c) 2026 Putu Laksmita Dewi Rahmayanti, Cokorda Gede Govinda Partha, Fikrul Hakim, Ni Kadek Sumardi, Kadek Kamalatmika Nammi, I Gusti Ayu May Angelia Putri, Wayan Cherrie Hana Melati
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