Artificial Intelligence based Personalization Market by Technology (Collaborative Filtering, Contextual Bandit Algorithms, Deep Learning), Application (Ad Targeting & Retargeting, Content Customization, Email Marketing Personalization), Industry Vertical

Artificial Intelligence based Personalization Market by Technology (Collaborative Filtering, Contextual Bandit Algorithms, Deep Learning), Application (Ad Targeting & Retargeting, Content Customization, Email Marketing Personalization), Industry Vertical - Global Forecast 2024-2030

The Artificial Intelligence based Personalization Market size was estimated at USD 3.84 billion in 2023 and expected to reach USD 4.54 billion in 2024, at a CAGR 18.62% to reach USD 12.71 billion by 2030.

Artificial intelligence (AI) based personalization refers to using AI technologies to tailor users' content, recommendations, and experiences based on their unique preferences, behaviors, and interactions. This approach leverages algorithms and machine learning to analyze vast datasets, identifying patterns and insights that inform personalized engagements across various channels and touchpoints. The shift towards data-driven marketing strategies has fostered the growth of AI-based personalization. This data-centric approach allows companies to deliver personalized content and recommendations to their customers, enhancing engagement and conversion rates. The data privacy and security issues associated with AI based personalization present a significant challenge for providers and operators. Moreover, the rapid advancements in artificial intelligence and machine learning technologies have made AI-based personalization more accessible and effective. These technological improvements have enabled the processing of large datasets to identify patterns, preferences, and behaviors, thereby facilitating highly accurate and dynamic personalization capabilities.

Regional Insights

In the Americas, the United States and Canada are significant players in AI innovation, including AI-based personalization domains. Investments in AI startups and research initiatives are substantial in this region, driven by private and public sectors. The consumer market is highly receptive to personalized experiences, prompting companies to adopt AI to tailor their offerings. On the other hand, the European Union's commitment to ethical AI development shapes its market for AI-based personalization, focusing on user-centric and privacy-first solutions. AI adoption in the Middle East is burgeoning, with investments targeting retail, healthcare, and finance sectors. Countries leverage AI personalization to enhance customer experiences amidst a digitally transforming landscape. Moreover, the Asia Pacific region is witnessing a remarkable surge in adopting AI-based personalization technologies across various sectors, such as retail, e-commerce, healthcare, and media. As digital transformation accelerates, companies increasingly leverage AI to deliver personalized experiences to their customers, aiming to enhance customer satisfaction and loyalty while optimizing operational efficiencies. The region's vast and growing digital consumer base and high mobile penetration rates provide a fertile ground for AI personalization solutions.

Market Insights

Market Dynamics

The market dynamics represent an ever-changing landscape of the Artificial Intelligence based Personalization Market by providing actionable insights into factors, including supply and demand levels. Accounting for these factors helps design strategies, make investments, and formulate developments to capitalize on future opportunities. In addition, these factors assist in avoiding potential pitfalls related to political, geographical, technical, social, and economic conditions, highlighting consumer behaviors and influencing manufacturing costs and purchasing decisions.

Market Drivers

• The shift towards data-driven marketing strategies among industries
• Increasing demand for enhanced customer experiences in e-commerce and online platform
• Increase data volume and for enhanced data security solutions

Market Restraints

• Data privacy and security concerns associated with AI-based personalization

Market Opportunities

• Advancements in machine learning algorithms and natural language processing
• Burgeoning demand from the banking and financial sectors

Market Challenges

• High cost associated with the integration of AI-based personalization

Market Segmentation Analysis

• Technology: Integration of advanced technology in AI powered personalization to enhance highly individualized user experiences
• Application: Exponential usage of personalization AI in enterprises for process optimization and elevating customer satisfaction

Market Disruption Analysis

• Porter’s Five Forces Analysis
• Value Chain & Critical Path Analysis
• Pricing Analysis
• Technology Analysis
• Patent Analysis
• Trade Analysis
• Regulatory Framework Analysis

FPNV Positioning Matrix

The FPNV positioning matrix is essential in evaluating the market positioning of the vendors in the Artificial Intelligence based Personalization Market. This matrix offers a comprehensive assessment of vendors, examining critical metrics related to business strategy and product satisfaction. This in-depth assessment empowers users to make well-informed decisions aligned with their requirements. Based on the evaluation, the vendors are then categorized into four distinct quadrants representing varying levels of success, namely Forefront (F), Pathfinder (P), Niche (N), or Vital (V).

Market Share Analysis

The market share analysis is a comprehensive tool that provides an insightful and in-depth assessment of the current state of vendors in the Artificial Intelligence based Personalization Market. By meticulously comparing and analyzing vendor contributions, companies are offered a greater understanding of their performance and the challenges they face when competing for market share. These contributions include overall revenue, customer base, and other vital metrics. Additionally, this analysis provides valuable insights into the competitive nature of the sector, including factors such as accumulation, fragmentation dominance, and amalgamation traits observed over the base year period studied. With these illustrative details, vendors can make more informed decisions and devise effective strategies to gain a competitive edge in the market.

Recent Developments

Stellantis to Enhance Personalized Mobility Experience with Acquisition of CloudMade’s Artificial Intelligence Technologies and IP

Stellantis N.V. significantly enhanced its strategic capabilities by acquiring the sophisticated artificial intelligence framework, state-of-the-art machine learning models, and comprehensive intellectual property rights, including patents, from CloudMade. This acquisition underscores Stellantis's commitment to integrating cutting-edge artificial intelligence into its operations, propelling the company toward a future where personalization and intelligent automation redefine automotive experiences.

Zoovu Unveils Generative AI Solution to Provide Personalized Buying Experiences

Zoovu, a player in the e-commerce technology sphere, launched a cutting-edge generative artificial intelligence (AI) solution, setting a new benchmark in product discovery and online shopping experiences. This innovative platform leverages AI to transform the way customers find and buy products, offering a personalized shopping journey that is both seamless and intuitive. Zoovu's solution is poised to redefine the e-commerce landscape, ensuring consumers find what they want and discover products tailored to their preferences and needs.

Intent HQ Merges with Anagog to Advance Generative AI for Personal Relevance

Intent HQ, a Customer AI platform strongly emphasizing privacy, announced its strategic merger with Anagog, a key player in Edge AI technology for customer interactions. This amalgamation promises to significantly enhance Intent HQ's offerings by integrating edge capabilities and empowering clients and AI agents with unprecedented access to refined insights to craft more tailored and resonant consumer interactions. This merger is set to redefine the standards of personalized customer interactions, striking a balance between personalization and privacy.

Strategy Analysis & Recommendation

The strategic analysis is essential for organizations seeking a solid foothold in the global marketplace. Companies are better positioned to make informed decisions that align with their long-term aspirations by thoroughly evaluating their current standing in the Artificial Intelligence based Personalization Market. This critical assessment involves a thorough analysis of the organization’s resources, capabilities, and overall performance to identify its core strengths and areas for improvement.

Key Company Profiles

The report delves into recent significant developments in the Artificial Intelligence based Personalization Market, highlighting leading vendors and their innovative profiles. These include Abmatic AI, Accenture PLC, Adobe Inc., AIContentfy, Amazon Web Services Inc., Apple, Inc., Braze, Inc., Check Point Software Technologies,, Cisco Systems Inc., Gen Digital Inc., Google LLC by Alphabet Inc., Hewlett Packard Enterprise Development LP, Intel Corporation, International Business Machines Corporation, Kyndryl Inc., Microsoft Corporation, NEC Corporation, NVIDIA Corporation, Optimizely, Oracle Corporation, Salesforce, Inc, SAP SE, and Simplify360 Inc..

Market Segmentation & Coverage

This research report categorizes the Artificial Intelligence based Personalization Market to forecast the revenues and analyze trends in each of the following sub-markets:

• Technology
• Collaborative Filtering
• Contextual Bandit Algorithms
• Deep Learning
• Machine Learning Algorithms
• Natural Language Processing
• Neural Networks
• Predictive Analytics
• Reinforcement Learning
• Application
• Ad Targeting & Retargeting
• Content Customization
• Email Marketing Personalization
• Personalized Customer Service
• Search Result Personalization
• Social Media Personalization
• Website & App Personalization
• Industry Vertical
• Automotive
• e-Commerce & Retail
• Financial Services
• Healthcare
• Media & Entertainment
• Telecommunications
• Travel & Hospitality
• Region
• Americas
• Argentina
• Brazil
• Canada
• Mexico
• United States
• California
• Florida
• Illinois
• New York
• Ohio
• Pennsylvania
• Texas
• Asia-Pacific
• Australia
• China
• India
• Indonesia
• Japan
• Malaysia
• Philippines
• Singapore
• South Korea
• Taiwan
• Thailand
• Vietnam
• Europe, Middle East & Africa
• Denmark
• Egypt
• Finland
• France
• Germany
• Israel
• Italy
• Netherlands
• Nigeria
• Norway
• Poland
• Qatar
• Russia
• Saudi Arabia
• South Africa
• Spain
• Sweden
• Switzerland
• Turkey
• United Arab Emirates
• United Kingdom

Please Note: PDF & Excel + Online Access - 1 Year Show more