An Engineering Framework for Artificial Intelligence-Based Marketing Systems and Digital Consumer Engagement Models

Abstract

This study presents the method of incorporating AI technology in digital marketing systems to establish a high degree of customer-business relationship based on the AI capabilities in digital media platforms like Twitter, Facebook, Google, etc., and AI technology like ML, NLP, and Predictive analytics. The model designed within the framework of the current work enables creation of individual marketing plans that will contribute to better customer interaction, company profitability, and business performance in general. Based on the data collected for this study, the researchers found that the use of AI technology to develop marketing systems has greatly improved consumer behavior due to the delivery of custom content that matches their individual tastes. The case study of Amazon's AI-driven recommendation system illustrates the effectiveness of using AI to increase sales and enhance the way Amazon interacts with its customers. Since 2018, Amazon has utilized AI technologies to create a more personalized shopping experience, increasing the level of engagement and sales through the use of AI as a key component of its e-commerce strategy. Amazon's recommendation system is responsible for generating a significant portion of its sales through the analysis of individual consumer purchase history, browsing activity, and preferences, with nearly 35% of total sales being accounted for by Amazon's AI-driven recommendation system (2020).  To fully take advantage of AI's capabilities in marketing, more refinement needs to be done on the AI algorithm to allow for real time content personalization and also to adapt to changing consumer buying behaviour This study concluded that although AI has great potential for helping organizations grow their revenue, in order for an organization to realize the true benefits of AI they will also have to consider the ethical implications of using customer data and how much data should be available through AI technologies.