Artificial intelligence or artificial marketing? How to cut through the AI hype when browsing for products

SINGAPORE — Walking through a consumer technology fair on Thursday afternoon (Aug 29), 25-year-old Leong Jun Wei’s attention was caught by a booth selling laptops said to be integrated with artificial intelligence (AI).
“I’m unsure what exactly is the AI function in the device, but since they label it as such, I expect that the function (ought to be) better than non-AI ones,” the engineer said.
His brother, Leong Choon Hong, 22, who just finished his full-time National Service, said that he was not immediately won over by such claims, but the promotional material piqued his interest to “research more about it”. 
With AI gaining more public interest, it is no surprise that consumers such as the Leong brothers are seeing marketing materials using it as a buzzword — with at least one marketing expert describing it as a “noticeable trend”.
Along with the hype comes the potential danger of false advertising, experts said, where sellers put out inaccurate or exaggerated claims of products being enabled by AI when they are not.
Checks by TODAY found dozens of retailers here selling products that they say are powered or enabled by AI, though a number of them make such claims with no explanation or substantiation.
In one instance, a company touts an AI-powered bed with an alarm function that requires the user to set the said alarm function manually the night before.
Another retailer was selling a supposedly AI-enabled electric fan that adjusts its speed based on room temperature, which sounds like any other thermostat-controlled device.
Beyond electrical appliances, a beauty firm is also selling an “AI-formulated” shampoo, claimed to be tailored to individual needs. However, consumers may buy a bottle online with no prior consultation or checks on their scalp or hair.
Besides taking time to find out more information about a product, having a basic understanding of what constitutes AI or otherwise can help prevent consumers from being taken in by such lofty claims, experts said.
Companies are highlighting AI in their marketing materials — legitimately or otherwise — simply to capitalise on the growing interest and hype around this type of technology, marketing experts said.
Dr Wong Kin Yin, senior lecturer in marketing at Nanyang Business School in Nanyang Technological University, said that using the term “AI” may signal to consumers that the product “may be smarter or can perform a function in a better way”, thereby piquing consumers’ interest.
When it comes to making inaccurate claims, Dr Samer Elhajjar from the National University of Singapore (NUS) Business School said that it might be due to a lack of understanding among the marketers or even within the companies themselves.
Others pointed out that to determine whether something is truly AI-driven or otherwise is “not always straightforward”.
For instance, Dr Sophia Wei from Nanyang Polytechnic said: “AI systems come in various levels of complexity, and interpretations of what counts as ‘AI’ can differ.”
The course manager for the polytechnic’s diploma in AI & data engineering added: “Most modern technologies today use at least some form of basic algorithms to detect patterns in data — and that is AI!”
Of course, it may also be the case of the companies exploiting the general lack of understanding of AI technologies among consumers.
As with all forms of purchase, doing some research into a particular product or service before buying it can help prevent a consumer from being taken in by claims of AI capabilities in promotional materials, marketing experts said.
Having a basic grasp of what is AI — and what is not — would go a long way as well.
Dr Koh Noi Sian, senior lecturer at Nanyang Polytechnic for the diploma course in applied AI and analytics, outlined a few key characteristics to differentiate between AI and automation:
1. Adaptability and learning – AI-enabled products use machine learning to adapt and improve, while automated products follow predefined rules and provide standard solutions without adapting or making decisions.
2. Task complexity –  AI-powered products perform complex tasks such as understanding and interpreting natural language. Automated products handle simple, repetitive tasks.
3. Personalisation – AI-enabled products analyse user behaviour to offer personalised suggestions, such as streaming services that recommend content based on viewing history. Automated products provide one-size-fits-all solutions with little to no customisation.
4. Decision-making – AI-driven products make decisions and can handle ambiguity and recognise patterns. Automated products follow specific instructions without making decisions, such as a conveyor belt in a factory moving items on a fixed schedule.
5. Interaction and communication – AI-driven products engage in complex interactions. Automated products interact in straightforward, predefined ways — for example, an automated customer service phone line with pre-recorded responses based on menu selections.
Consumers who encounter advertisements that contain potentially misleading statements may log their feedback with the Advertising Standards Authority of Singapore (Asas), its chairman Bryan Tan told TODAY.
Consumers who encounter disputes over such products may also approach the Consumers Association of Singapore for help, he added.
At the end of the day, both AI and marketing experts advised customers to evaluate each product based on the functionality and how the function meets their needs, rather than focus on whether the function is powered by AI or other forms of technologies.
“Sometimes, a simple non-AI solution might work better than a complex AI one, and vice versa. It’s all about finding the right tool for the job,” Dr Wei from Nanyang Polytechnic said.
To knowingly claim that a product is driven by AI when it is not can be considered false or unethical advertising, the marketing experts said, especially when it misleads consumers about the product’s capabilities.
It could lead to “disappointment and a loss of trust in the brand” on the part of the consumers, Dr Elhajjar from NUS Business School said.
The term “value washing” refers to positioning a product based on certain desirable characteristics or value without real substance to back it up.
One common form of this unethical practice is greenwashing, referring to making exaggerated or false claims of environmental friendliness when selling something.
Dr Wong of Nanyang Business School said that “AI washing”, which is already a widely used term, can be of greater concern than greenwashing in some ways.
For one thing, AI washing typically involves claims about a product’s functionality, which can be more apparent to a user or buyer, who may be personally disappointed when the product does not perform as promised.
In comparison, greenwashing would sometimes include claims involving practices higher up in the supply chain — such as how materials are sourced, or the energy and resources consumed during production.
“(With greenwashing), it means that the consumer likely has to rely on the brand’s claim rather than, say, going to the factory to verify for themselves,” she said.
Buying into a greenwashed product may then mean that the consumer is generating more negative environmental impact than intended.
In response to TODAY’s queries, Asas said that since 2022, it has not received any feedback on claims about products being AI-enabled.
Mr Tan its president said: “If Asas receives such feedback, we would contact the advertiser to substantiate the claims and assess compliance with the Singapore Code of Advertising Practice (Scap).
“As new technologies emerge, Asas would like to emphasise that adherence to the core principles of Scap — legal, decent, honest and truthful — must always be upheld in all advertisements.”
Like the Leong brothers, another visitor at the consumer tech fair, Mr Shu Herng, 39, who works in the manufacturing industry, said that he would “test what the AI function is about” when he comes across a marketing material touting such buzz words.
“Does such a claim make the item sound hi-tech? Yes. But as a consumer, you need to be savvy and learn more about it first.”
To give feedback on false advertising, visit the website of the Advertising Standards Authority of Singapore.