Abstract
Artificial intelligence (AI) has transitioned from being a novelty to a ubiquitous phenomenon,
fundamentally reshaping approaches to studying and understanding consumers. This paper
undertakes a study of how AI-driven marketing changes customers’ experience, engagement,
and retention in the modern business environment. The nature of the research problem
reflects the fact that businesses and students interested in the topic do not have a
comprehensive view of what AI-driven practices do to customers. The purpose of this paper
is to evaluate the topic using research details and sources of information. The descriptive
analysis uses qualitative research methodology and studies scholarly articles, books, and
other sources retrieved from academic databases. The sources analysed were published
between 2020 and 2026 and represent the general agreement on the impact of AI on
marketing, though earlier works were also considered. The findings describe how modern
companies utilise AI to offer more personal experiences to customers, engage through
analytics, and make quicker decisions. However, some articles feature ideas and research data
on the dangers of personalisation, privacy concerns, and the devaluation of human experience
in marketing. The paper finds that the marketing and business research field is converging
towards a general understanding that AI should be used as an enhancer of human-made
marketing rather than a core priority. It concludes that factors such as data quality, strategic
fit, and ethics will define the value of AI to marketers.
