Personalization at Scale: The Role of AI in Customizing Consumer Experiences in Service Marketing

Abstract

In the rapidly evolving landscape of service marketing, artificial intelligence (AI) has emerged as a pivotal force in enhancing consumer engagement through personalized experiences. This chapter explores the integration of AI technologies in service marketing, aiming to understand how these innovations can transform consumer interactions into highly tailored encounters. By analyzing various AI-driven approaches, such as machine learning, natural language processing, and predictive analytics, this study examines the impact of these technologies on consumer satisfaction and loyalty. The methodology involves a mixed-methods approach, combining quantitative data from industry cases and qualitative insights from expert interviews. The findings suggest that AI and technologies like virtual reality (VR), augmented reality (AR), and mixed reality (MR) not only contribute to operational efficiencies, but also significantly enrich the consumer experience, providing a competitive edge to businesses in the service sector.