As artificial intelligence (AI)-powered digital streamers gain popularity in live commerce, online retailers face critical questions about the actual business value of their operations. This study offers timely, evidence-based insights into the economic impact and optimal design of digital streamers. Although current designs do not significantly improve sales over no live streaming, incorporating behavioral realism—especially enhanced real-time question and answer (Q&A)—can boost sales by 25%, making digital streamers as effective as human hosts. Visual upgrades and human-like voices also help but to a lesser degree. Importantly, not all AI-driven enhancements deliver immediate returns, and imitating human scripts does not guarantee success. Retailers should focus on dynamic human-AI interaction features that drive engagement and trust, such as real-time Q&A and interactive giveaways. Designers are encouraged to integrate multiple realism features to maximize effectiveness while managing cost and scalability. These findings offer actionable guidance for retailers and platform designers seeking to leverage AI effectively and cost efficiently in live streaming commerce.

Generative AI (GenAI) promises to revolutionize creative work, but its value is not universal. Using controlled lab settings with students and real-world tests with professional designers, our research shows that GenAI is a double-edged tool. In the initial brainstorming (ideation) stage, GenAI reliably boosts creativity for all users. However, in the execution (implementation) stage, whereas novice designers continue to benefit from GenAI’s assistance, expert designers encounter inefficiencies—spending significantly more time without improving creativity, because GenAI’s methods conflict with experts’ well-established routines. For firms, this means adoption strategies must be nuanced. GenAI delivers the greatest value when applied to brainstorming, early concept development, and work by less-experienced employees. In contrast, deploying GenAI in later-stage production tasks, especially with seasoned professionals, may reduce efficiency. Managers and tool designers should avoid blanket promotion of GenAI across all tasks and instead develop targeted adoption strategies that align with employees’ expertise and the stage of the creative process. By tailoring GenAI use, organizations can harness its creative potential while minimizing risks of counterproductive outcomes.