Made With AI: Consumer Engagement With Social Media Containing AI Disclosures

Abstract Social media shapes how people connect, communicate, and consume information. As generative artificial intelligence (AI) becomes an increasingly common tool for content creation, many platforms have introduced disclosure requirements to inform consumers when content has been created or significantly edited by AI. Yet, little is known about how such AI-generated content (AIGC) disclosures influence consumer engagement, a key metric for creators, platforms, and brands. This research examines whether and why AIGC disclosures affect engagement on social media. Analysis of engagement behavior on TikTok following the introduction of their AIGC disclosure policy and eight preregistered experiments (including two in the web appendix) finds that disclosures reduce consumer engagement. This reduction does not stem from concerns about content quality, wariness of artificial content, or general AI aversion. Instead, the findings identify a novel process: AIGC disclosures reduce parasocial connection—one-sided emotional bonds between consumers and creators. Reduced parasocial connection is driven in part by the perceived effort of the content creator. As such, disclosures that signal greater effort can mitigate reductions in engagement. The implications of these findings for platform policy, content creator strategy, and the future design of AI disclosure practices are discussed.