AI shopping is shaping how people discover products. Whether it’s ChatGPT recommending a serum or Perplexity listing top moisturizers, the journey from search to purchase is being flattened into a short list of interchangeable options. This is especially true in the beauty and skincare markets, where brand share of voice is more evenly distributed.
But here’s the thing: even as AI commoditizes the path to purchase, brand awareness and brand story still drive decisions. Here are four reasons why beauty and skincare brands should think twice about ditching brand-building for short-term conversion tactics, especially in the era of AI.
1. Consumers Prefer Familiar Brands (Even When AI Suggests Alternatives)
AI shopping recommendations can show your moisturizer next to 5 competitors with equal authority. But that doesn’t mean shoppers will pick randomly, nor will they necessarily pick from the very top of the list. In fact:
- 59% of consumers prefer buying new products from brands they already know.
- 81% say they need to trust a brand before they purchase.
2. Emotional Connection Can’t Be Flattened
Beauty and skincare brands know that loyalty isn’t built off being “top-rated” alone. It’s built on trust, authentic conversations and a commitment to larger social issues. This is especially true in these areas where products are a form of self-expression and personal alignment is key.
Consumers need to feel confident that the brand they choose is relatable and trustworthy, not just that the product works. Real, human-centered emotional connection is a major influence of decision-making in an increasingly saturated, recommendation-based landscape.
3. AI-Powered Recommendations Don’t Create Brand Loyalty
Just because AI recommends your product doesn’t mean shoppers will stay loyal to your brand. In the case of a specific search query, an AI recommendation might be the frictionless answer. But in terms of longer lasting brand-loyalty, there is no substitution for a strong brand story. Loyalty comes from a continual relationship, stemming from how the consumer feels about your brand, not just a one-time purchase.
Let’s take the brand Olaplex as an example. Olaplex appeared as a top 10 beauty brand for visibility in Avenue Z’s AI Shopping Visibility Index Report, a sign that it’s frequently recommended by AI when consumers search for haircare solutions. But Olaplex doesn’t thrive on visibility alone. Instead, they gained a loyal following through the communication of their promise to provide patented bond-building technology that is clinically credible and has emotional relevance. From hairstylists to the typical at-home consumer who seeks a regime for healthy hair, Olaplex has created social communities centered around feeling seen and inspired. In turn, AI has a rich ecosystem of social testimonials to draw from when forming recommendations.
4. AI Systems Reward Brands with Strong, Distributed Stories
Shoppers may not see the whole brand story in AI shopping recommendations, but the AI had to source that recommendation from somewhere. Just like a consumer needs trust to recommend your brand, so does AI. And it will use the story you feed it when it scrapes and indexes what’s already out there: SEO-optimized pages, press mentions, user reviews and social content. AI systems prioritize content that appears trustworthy, consistent across multiple platforms and has a compelling narrative.
5. Recommendations for Brands: Staying Top-of-Mind (And Top-of-List)
- Blend high-quality content with SEO tools to be both discoverable and meaningful – keyword stuffing won’t cut it.
- Invest in thoughtful press and social proof – generate conversations around your brand across channels and aim for quality coverage in trusted outlets, as well as user-generated content. Authentic, trusted content will carry weight with customers and AI crawlers.
- Run awareness campaigns that feed the algorithm – use top-of-funnel efforts (paid and organic) to communicate brand values and purpose, seeding recall and helping AI associate your brand with specific queries.
The Takeaway: Don’t Trade Your Brand for Short-Term Conversions
When AI serves up nearly interchangeable choices, familiarity, trust and connection is more necessary than ever in setting your brand apart. Rather than abandoning brand-building and awareness for quick wins, beauty and skincare marketers must double down on the storytelling. AI doesn’t replace the brand – it amplifies the brands that have done the work to be known, trusted and memorable. Want to learn more about how to optimize for AI? Discover more.
And if you’re ready to work on your upper-funnel awareness efforts, our experts are here to guide the way.
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