Page 84 - IMDR Journal 2025

Research Article
|Artificial Intelligence and Personalized Marketing implications of big data, AI, and AR technologies continue
to be a major concern as they continue to transform
To better understand consumer behavior, Smith & McKeen
marketing.
(2019) claim that AI has made it possible for businesses to
deliver highly targeted content, segment audiences more Ethical Concerns and Consumer Trust
successfully, and use predictive analytics. AI's capacity to As tools like big data, AI, and AR keep changing how
create more volumes of user data and customize experiences marketing works, people have started worrying more about
to suit individual preferences directly leads to personalized what’s right and wrong. One big concern is that AI in
recommendations, like those found on websites like marketing might take away a person’s freedom to make their
Amazon and Netflix. Actually, by presenting pertinent own choices.
goods or services, AI-powered recommendation systems are
now crucial in influencing consumer purchase decisions Some experts are worried that this kind of tech can influence
since they reduce decision fatigue (Huang & Benyoucef, people too much or even push them into buying things they
2017). Customers often feel more satisfied with their normally wouldn’t (Eubanks, 2018). Even though AI can
shopping experience when they receive personalized make marketing smarter and more useful, it can also use
recommendations because it appears that the business is people’s habits and emotions in a way that’s not fair. This
might lead to problems like showing ads only to certain
more aware of their preferences, according to research by
groups or getting results that are biased because of how the
Lamberton and Stephen (2016).
algorithm works.
Consumer Engagement with Augmented Reality (AR)|
For businesses using these tools, gaining and keeping
Augmented reality (AR) is another important technological customer trust is really important especially when they’re
development that has made easy for consumers to engage
dealing with people’s personal data.
with products before making purchasing decisions. Now
using augmented reality, Users can see products in the real Laws like the GDPR in Europe have set strict rules to protect
world through mobile applications that use augmented customer data, and many other countries are planning to
reality (AR), making for good shopping experience. follow the same path. This study looks into how marketing
Particularly in the retail and real industries, the impact of AR strategies and consumer behaviour have changed because of
on consumer behavior is becoming increasingly evident. technology over the last two decades. It also explores the
According to Rau Schnabel et al., IKEA's augmented reality ethical side of using digital tools in marketing, especially the
app, for instance, allows users to virtually arrange furniture impact on trust and privacy.
in their homes to see how it fits and complements their
interior design, significantly reducing uncertainty in OBJECTIVES
purchase decisions. in 2020).
How Modern Marketing is Shaped by Deep Tech (AI,
Big Data and Predictive Analytics
AR, Big Data, and Machine Learning).
For the marketers who trying to better understand the Technologies like artificial intelligence (AI), augmented
preferences and behavior of their target audience uses big reality (AR), big data, and machine learning have made a big
data tool for predictive analytics . Because data analytics difference in last 20 years in the marketing . In the early
tools provide useful information that helps with better 2000s, marketing were done through basic tools like
decision-making and more accurate targeting, businesses websites, emails, and regular ads. But now, with the help of
can now track customer behavior in real time (Wedel and
modern technology tools , marketing has become smarter
Kannan, 2016). Currently, marketers use vast datasets, from
and more customize. So to understand the customers needs
demographic information and purchase trends to browsing and wants, these tools AI, AR and big data helps companies
histories and social media activity, to create highly to understand it better. Machine learning allows businesses
customized marketing campaigns.
to predict trends and customer needs, helping them plan
Blockchain Technology and Transparency better campaigns. Overall, deep tech has completely
Blockchain Technology and Transparency Despite being changed the way businesses connect with people.
primarily associated with cryptocurrencies, blockchain has How AI Personalization and Digital Tools Affect
begun to gain traction in the marketing sector because of its Consumer Behaviour and Brand Interactions.
capacity to boost online transaction transparency and trust. So, to feel more personal to each customers the AI helps
Blockchain technology enables a decentralized ledger brands to show ads and content. This is called
system that protects against fraud and ensures data integrity. personalization or customization, and it affects how people
Because blockchain technology tracks customer shop and how they feel about certain brands.
interactions and validates ad impressions, it has the potential
to address persistent issues with ad fraud and data When people want to see products that matches their style or
mismanagement in marketing (Zohar et al.2019) Block tastes, so they take the help of smart tools like chatbots,
chain technology may be a powerful tool for rebuilding through which they are likely to trust and interact with that
consumer trust in digital marketing by ensuring brands.
accountability and providing verifiable transaction records Personalized marketing makes customers feel understood,
(Tapscott and Tapscott, 2017). which can lead to stronger brand loyalty and faster buying
Ethical Implications and Consumer Trust The ethical decisions.

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