The Impact of Artificial Intelligence on Marketing Strategies and Consumer

Abstract

The purpose of this study is to investigate the impact of Artificial Intelligence (AI) on marketing strategies and consumer interactions. Utilizing a quantitative research design, data were collected through structured online questionnaires addressed to marketing professionals and consumers across various categories. Key findings indicate that AI technologies, such as machine learning, natural language processing, predictive analytics, chatbots, and programmatic advertising, significantly enhance marketing effectiveness and consumer engagement. Personalization facilitated by AI leads to higher consumer satisfaction and retention, while AI-based customer service tools, like chatbots, improve responsiveness and customer loyalty. Programmatic advertising and predictive analytics optimize ad placements and sales techniques, resulting in higher click-through rates (CTR) and return on investment (ROI). However, ethical issues and data privacy concerns remain critical barriers to consumer trust in AI as a marketing tool. The study contributes to the field by proposing marketing strategies focused on effective data management, ethical AI deployment, and investment in AI training. The implications for policy and practice include the need for robust data protection regulations and ethical compliance to harness AI's full potential in marketing strategies and consumer relationship management.