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CPG brands should focus AI on reducing cognitive overload

By Editorial28 May 20261w ago
CPG brands should focus AI on reducing cognitive overload

CPG brands are racing to deploy artificial intelligence, but they should focus first on a basic problem: consumers face too many choices, too much conflicting health information, and decision fatigue.

Hartman Group's white paper, The Practical Future of Food Tech, argues that cognitive overload is where AI makes the biggest difference for consumer food companies. "Consumers expressed overwhelm with the vastness of food-related information online combined with a lack of trust in that information," says Shelley Balanko, SVP at Hartman Group.

For brands, the challenge is not helping consumers find food information. It is filtering and curating what consumers already see. As generative engine optimization and answer engine optimization reshape how people search on AI platforms, brands must rethink how they appear in results. "Brands need to market to AI as much as they market to human consumers or they will be at risk for falling out of the consideration set," Balanko said.

Where consumers already make decisions

The research highlights a gap between inspiration and action. Social platforms and digital tools may inspire food choices, but everyday routines and cost determine what consumers actually buy. The biggest opportunity for AI is closing that gap by moving consumers directly from idea to purchase without behavior change. "Brands that make it easy for consumers to purchase within existing apps that are sources of inspiration is a good path forward since it requires no behavior change from the consumer," Balanko notes.

Building new standalone platforms carries high risk and cost. Brands should instead enhance existing ecosystems where consumers already spend time and money.

Personalized nutrition as low-hanging fruit

Consumer demand for practical tech is already visible. According to Hartman Group, 80% of consumers use technology to plan trips and 36% use it to compare prices while shopping. One major gap is personalized nutrition, which has been held back by cost and accessibility.

AI could layer personalized nutrition features into existing planning and shopping apps. This approach requires no new consumer behavior and solves an unmet need at scale.

The trust guardrail

Privacy and agency matter more than features. Consumers are willing to adopt AI tools when they feel in control of their data and decision-making. Without this control, adoption stalls regardless of the underlying technology's sophistication.

Brands should be selective about direct investment

Retailers and foodservice operators are ahead of CPG brands in deploying AI because they control real-time data and closed environments. CPG brands face a more complex calculation. The report suggests a mixed strategy: invest in internal AI for innovation and operations, partner with retailers to strengthen relationships, but wait and learn before launching consumer-facing AI initiatives. "Building AI capabilities for innovation and operational efficiencies is necessary ... and partnerships with retailers can only strengthen existing relationships, but for consumer-facing initiatives it might be best to wait and learn from others' experiments," Balanko said.

The payoff may ultimately be a shift in how consumers define value. Convenience is emerging as a premium lever. "Consumers express a willingness to pay more for personally relevant conveniences," Balanko said.

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