Abstract

Objectives: This study explores consumer perceptions of artificial intelligence (AI) in marketing, with a particular focus on its influence on buying behavior and ethical concerns, including data protection and privacy. The research aims to examine how AI technologies are received by consumers, assess the effectiveness of AI-driven ad personalization, and understand the factors that facilitate or hinder adoption. Methods: A quantitative research design was employed, utilizing a structured survey to gather data from consumers. The reliability of the survey instruments was assessed using Cronbach's Alpha and Average Inter-Item Correlation. Chi-square analysis was applied to examine relationships between variables. Results: The findings indicate that Effort Expectancy, the perceived ease of use, is a strong predictor of consumers' Behavioral Intention to adopt AI in marketing. However, Performance Expectancy is found to be non-significant, suggesting ongoing doubts about AI's predictive accuracy. Ethical concerns and trust deficits emerge as major barriers to adoption. Interestingly, Social Influence negatively affects Behavioral Intention, with consumers perceiving AI-driven marketing as potentially intrusive. Conclusions: To fully leverage AI in marketing, strategies must prioritize usability, transparency, and ethical data practices. Customization based on demographic insights can enhance relevance and improve adoption rates. The study underscores the importance of aligning AI technology with consumer expectations and values to foster trust and long-term engagement.