Better Together Agency - Biased Generative AI Is Bleeding Your Bottom Line and the Easiest Way to Lose Consumer Trust

1 in 3 consumers will dump your product if your generative AI shows bias; Better Together Agency's study - the only one conducted by a communications agency - shows why fairness isn't only ethics, it's economics

WASHINGTON, June 17, 2025 /PRNewswire/ -- Stop dismissing generative AI bias as a "soft," "fluffy" issue. Better Together Agency's 2nd Annual Biases in Generative AI Impact Survey delivers a wake-up call to executives who think fairness is optional: biased generative AI is costing you customers, revenue, and market share right now.

The numbers don't lie. 33% of consumers will abandon a product if its generative AI shows bias. More than 80% expect businesses to prevent bias in their generative AI tools actively. Nearly 60% trust brands more when their generative AI is built to be fair and inclusive.

"We're witnessing a fundamental shift in consumer behavior," said Catharine Montgomery, Founder and CEO of Better Together Agency. "Companies can no longer treat generative AI bias as a secondary concern. Our data indicate that fairness has a direct impact on a company's bottom line. The organizations that prioritize inclusive generative AI development today will be the ones capturing market share tomorrow."

"Bias isn't breaking hearts, it's breaking bank accounts," said Michael Franklin, Co-Founder of Speechwriters of Color. "While competitors worry about optics, smart companies are capturing market share by building generative AI that works for everyone."

The Revenue Reality Check

Better Together Agency's research – the only communications-industry-led study of generative AI bias – exposes how bias attacks businesses at every stage:

• 25% of consumers choose brands that address generative AI bias over those that don't.
• 33% will stop using biased AI tools — that's direct revenue walking out the door.
• Trust erosion hits hardest in high-value sectors: healthcare (56%), education (50%), and finance (45%).

"This isn't tomorrow's problem," said Tara Charne, Responsible AI Solutions Lead at FemAI. "Consumer behavior is shifting today. Companies that ignore this data are handing their competitors a competitive advantage."

Performance Meets Profit: The Business Case for Bias-Free Generative AI

The survey reveals a direct correlation between bias reduction and business performance. Companies investing in inclusive AI development report:

• Higher customer retention rates due to improved user experience across diverse demographics.
• Expanded market reach by serving previously underserved customer segments.
• Reduced legal and reputational risk that protects long-term profitability.
• Improved product accuracy that drives user satisfaction and engagement.

Some Companies Get it Right

• JetBlue redesigned its AI recruiting tool after bias detection, resulting in more diverse hiring and improved team performance.
• Michael Kors tested its Shopping Muse AI across all body types and skin tones, capturing new customer segments and increasing recommendation accuracy.
• Ulta Beauty's inclusive skincare AI expanded product matching for women of color, directly driving new customer acquisition.

Customers Know Bias When They See It

The survey of more than 1,100 U.S. adults reveals consumer awareness of generative AI bias:

• 48% identify facial recognition errors as a significant concern.
• 46% spot racial and ethnic bias in generative AI outputs.
• 40% notice language and cultural misunderstandings that impact their experience.

One survey respondent captured the sentiment perfectly: "If your generative AI doesn't get people like me, I don't want your product."

The Tale of Two Companies

Company A: Launches generative AI assistant without bias testing. Tool misunderstands accents, provides culturally tone-deaf responses, and frustrates users. Customer complaints spike. Brand trust plummets. Revenue drops.

Company B: Investments in diverse data sets and bias audits before launch. AI handles diverse interactions smoothly. Users feel understood and respected. Word-of-mouth marketing soars. Market share grows.

"Generative AI doesn't exist in a bubble," said Alphonso David, CEO of the Global Black Economic Forum. "When companies invest in bias audits and inclusive data practices, they're doing good, and they're doing business better."

The Return on Investment (ROI) of Responsibility

The financial benefits of bias-free generative AI development include:

• Reduced customer acquisition costs through improved word-of-mouth and brand loyalty.
• Higher lifetime customer value from inclusive user experiences.
• Market expansion opportunities by serving diverse customer bases. Risk mitigation that protects against costly legal challenges and reputation damage.
• Competitive differentiation in crowded markets where trust becomes a key differentiator.

How Companies Must React

The data is clear. Consumer expectations have shifted. Bias in generative AI is an ethical issue, and it's a business liability that's costing businesses customers and cash.

Companies that act now will capture the trust dividend. Those who wait will watch competitors win the customers they're losing to broken generative AI tools.

Read the full Report.

Read the survey Media Kit.

Listen to a recap of the Report.

About Better Together Agency

Better Together Agency is a Black woman-founded, AI-forward communications firm that uses strategic storytelling to achieve equity. We center the people behind the work and integrate modern tools to make their efforts more effective. This approach positions us at the forefront of the industry while holding to principles that support justice and progress across organizations, communities, and movements. We stand together, stronger.

Press Contact:

Kira Mamula
(850) 312-0707
https://thebettertogetheragency.com/

SOURCE Better Together Agency