Use AI to shop smarter—not spend more—this holiday season

Artificial intelligence is changing how people shop—helping consumers find gifts faster, compare prices and even interact with livestream hosts selling products in real time. But these tools can also amplify biases and encourage impulse spending if you’re not careful.

Ying Zeng

CU Boulder Today spoke with Ying Zeng, assistant professor of marketing at the Leeds School of Business, about how to make the most of AI and shopping platforms this holiday season by turning these digital tools into an advantage.

How is AI influencing the way people shop online this year?

AI is changing how people make decisions. In the past, we had to visit websites, search for products, compare options and make decisions ourselves. Now AI can do that for us—it can generate options and suggestions that might not have occurred to us.

This can be good and bad. On the one hand, it saves time and makes things easier. On the other hand, it might make us rely too much on the system and stop questioning whether these suggestions are the best fit for us.

You’ve studied how digital tools shape consumer decision-making. What are some benefits and risks of relying on AI when shopping?

There are two sides to AI use. One is on the supply side—how sellers use it. For example, they might use AI models to customize how a product looks on a virtual model.

But consumers are still wary of AI models. They may think they look fake or that a company using AI-generated images has something to hide.

The other side is on the consumer side. We can use AI as an assistant—for example, to compare products or summarize reviews. Amazon and social media platforms are already starting to use AI to summarize the reviews they have. So consumers can easily see the pros, cons and common themes without reading hundreds of posts. That makes reviews more informative—you don’t have to read every single text to understand what’s going on.

So tools like ChatGPT can actually help with shopping decisions?

Yes. I bought a desktop recently, and I had no idea where to start. I just sent the product specifications to ChatGPT and asked it to help me compare.

But there’s a caveat. When we rely on a single source of information—like Google before it—eventually that source can become a place for advertising. Google started with objective results, then sellers began paying to appear higher in the search. The same thing could happen with AI. Sellers will spend money to ensure they’re included in AI-generated answers.

People use AI because they trust that it’s objective, but whenever there is traffic, there is marketing. So as AI becomes more popular, it’s important to remember that what looks like a neutral answer might eventually be influenced by advertisers.

Livestream shopping has also exploded lately, especially on TikTok. Why is it catching on?

Livestream shopping started in Asia, where it became almost a mainstream way to promote products. It combines entertainment, social interactions and shopping, which makes it feel more engaging.

There are real functional benefits. Hosts select products for you, explain them in simple, relatable ways, and often offer exclusive discounts. But there’s also a huge social and emotional component. You see the host and audience members interacting in real time—it feels like a community.

People feel social pressure when they see others buying, and that creates excitement. The hosts also use tactics—for instance, ‘Stay, stay, stay, in 30 seconds we’ll have a new discount!’—to keep you watching and buying. So while it might seem like you’re saving time from selecting products and looking for the best deals, the system is actually designed to keep you there longer.

That sounds like a recipe for impulse buying. What’s your advice for people who get caught up in the moment?

It’s very hard to overcome because every remedy we come up with, sellers learn quickly.

For livestream shopping, there are real benefits—prices are often genuinely lower. So consumers face a hard choice: Use self-control and skip the deals, or stay and risk buying things you don’t really need.

I personally just don’t go to the livestreams for the “lower” price. I find myself spending hours there, and I just don’t think it’s worth my time. I get so excited—‘Wow, so pretty!’—and then I end up with 10 packages I return later. It’s a double waste of time. I’d rather pay a small price premium and avoid that cycle.

You also study sustainable consumption. How does that connect to these new digital shopping trends?

Sustainable consumption has become a popular topic in marketing research. We know we overconsume things like fast fashion or holiday decorations we buy every year and only use once. It’s not just a waste of products but a waste of time and money.

The idea of sustainable consumption is to buy something that might cost more but is more durable—and then stop buying. Use what you have and buy things for the long term. Even luxury brands are adopting this idea—designing classic pieces that last rather than chasing short-lived trends.

At some point, we stop buying things we want and start buying just to buy. The key is to think about what you already have and what you’ll actually use.

So what’s your top advice for shoppers this holiday season?

Use AI for inspiration, not persuasion. Enjoy the convenience, but keep control over your decisions.

We can’t change what’s going on in the world, but we can change how we view it, how much we accept it, and how much we resist it. Allow a little room—it’s fine to be slightly influenced—but don’t let yourself be overly manipulated.