SAP Engagement Cloud’s latest study indicates Gen Z is spearheading the adoption of AI-driven commerce. However, this demographic is also prone to abandoning brands that don’t meet their expectations regarding AI usage.
Per SAP’s 2026 Customer Loyalty Index, AI is becoming integral to the buying process. 32% of U.S. consumers regularly use AI tools or assistants when selecting products, while 34% have acquired items suggested by an AI assistant. Additionally, 32% would feel at ease letting an AI assistant handle purchases for them.
The data indicates Gen Z is increasingly open to granting AI a key role in product discovery, selection, and acquisition. Globally, 47% of Gen Z consumers have purchased products recommended by AI, and 44% would trust an AI assistant to act on their behalf. Yet, 45% say they have switched brands because of its use of AI.
The findings also reveal evolving consumer influence patterns. 44% of U.S. shoppers express a preference for AI recommendations over input from friends and family, showing AI’s expanding impact on purchasing choices.
For companies, the results imply that heightened AI adoption does not inherently support customer loyalty. While AI holds promise for strengthening connections, Gen Z consumers demand its deployment be both ethical and open.
Balancing AI and Human Interaction
Across global Gen Z consumers, 16% report greater affinity for brands leveraging AI to enhance the shopping experience, and 26% feel more connected to brands employing personalized marketing strategies.
Nevertheless, enthusiasm for AI comes paired with specific expectations. 39% of Gen Z consumers seek human assistance availability when needed, 36% desire guarantees about data privacy and security, and 30% wish for clarity on how AI-driven decisions are made. 22% state that concealed or opaque AI usage would prompt them to abandon a brand completely.
Experts Comment on Gen Z’s AI Expectations
“Gen Z isn’t rejecting AI. They’re adopting it faster than any other generation and increasingly allowing it to influence what they buy,” said Sara Richter, CMO, SAP Engagement Cloud. “The surprise is that greater adoption does not translate into greater tolerance. Gen Z is willing to trust AI with recommendations and even purchasing decisions, but they expect brands to be transparent about how it is used. Brands that fail to earn that trust risk losing customers just as quickly as they gain them.”
“There’s a tendency to assume that because Gen Z loves technology, they’ll tolerate anything brands do with it. The data suggests the opposite. They’re adopting AI rapidly, but they’re also proving to be the least forgiving when brands get it wrong,” said Marketing Professor Mark Ritson.