Artificial intelligence-enabled personalization in interactive marketing: a customer journey perspective

Abstract

Purpose: Artificial intelligence (AI) technology has revolutionized customers' interactive marketing experience. Although there have been a substantial number of studies exploring the application of AI in interactive marketing, personalization as an important concept remains underexplored in AI marketing research and practices. This study aims to introduce the concept of AI-enabled personalization (AIP), understand the applications of AIP throughout the customer journey and draw up a future research agenda for AIP. Design/methodology/approach: Drawing upon Lemon and Verhoef's customer journey, the authors explore relevant literature and industry observations on AIP applications in interactive marketing. The authors identify the dilemmas of AIP practices in different stages of customer journeys and make important managerial recommendations in response to such dilemmas. Findings: AIP manifests itself as personalized profiling, navigation, nudges and retention in the five stages of the customer journey. In response to the dilemmas throughout the customer journey, the authors developed a series of managerial recommendations. The paper is concluded by highlighting the future research directions of AIP, from the perspectives of conceptualization, contextualization, application, implication and consumer interactions. Research limitations/implications: New conceptual ideas are presented in respect of how to harness AIP in the interactive marketing field. This study highlights the tensions in personalization research in the digital age and sets future research agenda. Practical implications: This paper reveals the dilemmas in the practices of personalization marketing and proposes managerial implications to address such dilemmas from both the managerial and technological perspectives. Originality/value: This is one of the first research papers dedicated to the application of AI in interactive marketing through the lenses of personalization. This paper pushes the boundaries of AI research in the marketing field. Drawing upon AIP research and managerial issues, the authors specify the AI–customer interactions along the touch points in the customer journey in order to inform and inspire future AIP research and practices.