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How AI Is Helping Retail Brands Create Personalized Marketing at Scale March 24, 2025 (0 comments)

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New York, NY--Artificial intelligence (AI) is reshaping how retailers connect with consumers, making tailored marketing strategies achievable at scale. An article by Inc. states that brands effectively leveraging AI are seeing significant growth by enhancing customer engagement, predicting future needs, and providing human-like interactions without constant human intervention.

[Image via istockphoto.com]

The article notes the following points.

1. Location-Based Engagement to Boost Sales

One of the most practical ways retailers use AI is location-based customer engagement. With most consumers carrying smart devices while shopping, AI tools can detect proximity and trigger personalized interactions. By engaging customers near a store, brands stay top-of-mind, prompting purchases in real-time.

The article cites Starbucks as an example, which uses the AI-driven GenesisX platform to foster at-location engagement. The system detects customers nearby and delivers immersive, personalized content—like quizzes and infographics—relevant to the Starbucks experience. According to Inc., this targeted approach resulted in a 15% increase in sales.

Such strategies capture attention and collect zero-party and first-party data, strengthening future interactions and decision-making. AI's ability to gather and leverage real-time data ensures that customer experiences remain relevant and dynamic.

2. Predictive Analysis to Anticipate Customer Needs

Even the most skilled marketers find data interpretation daunting. AI simplifies this process by accurately identifying patterns and predicting customer preferences. One of the most effective predictive analysis applications is Amazon's marketing strategy, where AI recommends products based on browsing history and purchase patterns.

The article states that Amazon's AI suggests more than just products. It even predicts clothing sizes that fit customers correctly, reducing returns and boosting satisfaction. This seamless shopping experience retains customers and minimizes churn, enhancing lifetime value and brand loyalty.

By analyzing purchase data and behavioral patterns, AI empowers brands to anticipate customer needs, making marketing efforts more efficient and impactful.

3. Generative AI Content That Feels Human

Generative AI is rapidly advancing, making it possible to create customer interactions that feel natural and human-like. AI is bridging the gap between automation and personal touch, from real-time chatbots to automated emails.

The Inc. article quotes a 2023 eMarketer survey highlighted that customer experience professionals expect generative AI to revolutionize support and marketing efforts. Six out of ten consumers reported being unable to distinguish between conversations with AI chatbots and human agents.

Retailers integrating generative AI into customer engagement strategies can maintain 24/7 communication without human input. Whether personalized recommendations or customer support, these tools are game-changers for brands looking to increase engagement and drive sales.

Learn more in this article by Inc.