The Role of Artificial Intelligence (AI) in Enhancing Marketing and Customer Loyalty

The Role of Artificial Intelligence (AI) in Enhancing Marketing and Customer Loyalty

P.S. Venkateswaran, M. Lishmah Dominic, Shashank Agarwal, Himani Oberai, Ila Anand, S. Suman Rajest
Copyright: © 2024 |Pages: 16
DOI: 10.4018/979-8-3693-0049-7.ch003
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Abstract

This research aims to investigate how artificial intelligence (AI) can be used to improve marketing and brand loyalty. Artificial intelligence (AI) is one of the most revolutionary technologies because it allows computers to independently execute mental skills often reserved for humans, such as problem solving and reasoning. In order to make judgments (like which marketing actions to take) and reason (about those decisions) in real time, machines represent, learn, store, and refine their knowledge progressively based on past experiences and existing information (e.g., predicting customer satisfaction). AI, with its ability to analyze vast datasets, predict customer behaviors, and deliver personalized experiences, is reshaping the way companies approach and enhance their customer loyalty strategies. This exploration delves into the multifaceted role of AI in revolutionizing the realm of customer loyalty, shedding light on its applications, benefits, and the transformative potential it brings to the forefront of modern marketing.
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2. Review Of Literature

It's no secret that artificial intelligence (AI) has the potential to upend many industries, including marketing (Andrianto et al., 2019). To keep up with customers' ever-shifting wants and demands in today's competitive market, businesses are increasingly turning to artificial intelligence (AI) to create and distribute innovative new offerings (Hossain et al., 2021). Bringing AI to marketing gives companies a chance to boost client loyalty, individualise their offerings, and expand their operations (Wang et al., 2021). The focus of this study is on the potential benefits that can be reaped when fresh services are combined with artificial intelligence in the field of marketing (Kim et al., 2018).

The SOR model has been refined by academics to fit their specific research settings (Kim et al., 2020). Hossain et al. (2021) assumed that consumers' trust, commitment, and CRM performance would be influenced by their interactions, hence they used this model. Since consumer trust is so crucial to the success of the sharing economy, we develop this model further by making it the stimulus (Paudel et al., 2022). Customers have the ability to give and receive feedback (Pandit, 2023). The organism is founded on the judgments and opinions of consumers and reflects the mechanisms at work between an initial stimulus and the consumer's ultimate response (Islam and Rahman, 2017; Venkateswaran, 2015).

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