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Conversational Marketing Powered by Generative AI

Conversational marketing powered by generative AI is a modern approach to engaging customers through real-time, personalized conversations.[1] It uses artificial intelligence, especially large language models like chatbots and virtual assistants, to communicate naturally with users, answer questions, and guide decision-making.[2]

Unlike traditional marketing, which often relies on one-way messages like emails or ads, conversational marketing focuses on two-way interactions.[3] These conversations happen on websites, messaging apps, or social media platforms.[4] Generative AI tools help create human-like responses that adapt to each customer’s tone, intent, and preferences.[5]

This technology is used by businesses to:

  • Improve customer service with 24/7 chatbots.
  • Generate leads by asking qualifying questions.
  • Recommend products or services in a more natural, helpful way.[6]

Many companies see this method as a way to boost engagement and customer satisfaction, while also reducing response time and support costs.[7] However, there are challenges, such as ensuring data privacy, avoiding biased responses, and maintaining a human touch.[8]

References

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  1. ^ Karami A., Shemshaki M., Ghazanfar M. A. (2024). "Exploring the Ethical Implications of AI‑Powered Personalization in Digital Marketing." Data Intelligence; includes analysis of AI-powered personalization benefits and risks in digital marketing.
  2. ^ Kamble S. M. (2025). “AI Recommendation Engines and Hyper‑Personalization in Online Marketing.” Journal of Information, Electronics & Research, 2025; examines customer engagement driven by AI recommendations.
  3. ^ Berkeley Haas School (2025). “Balancing Personalized Marketing and Data Privacy in the Era of AI.” California Management Review; discusses shift toward interactive AI-driven marketing strategies.
  4. ^ “Applying Transparency in Artificial Intelligence‑based Personalization Systems.” Schelenz et al. (2020), arXiv preprint; explores transparency in AI‑powered personalization on digital channels.
  5. ^ Wired (2025). “ChatGPT Is Just the Beginning: How AI Is Changing Customer Experience.” Wired; covers generative AI advancements in customer engagement.
  6. ^ IJPREMS (2025). "AI AND PERSONALIZATION IN DIGITAL MARKETING." International Journal of Progressive Research in Education and Management Sciences; includes case studies from Amazon, Netflix, Starbucks, Spotify on AI personalization impact.
  7. ^ ResearchGate (2024). “Assessing the Role of Artificial Intelligence in Enhancing Customer Personalization.” study on ethical and privacy implications of AI personalization in digital marketing.
  8. ^ Adanyin A. (2024). “Ethical AI in Retail: Consumer Privacy and Fairness.” arXiv preprint; examines consumer concerns over privacy, fairness, and transparency in AI-enabled retail personalization.