AI-Based Personalization in Digital Marketing: A Systematic Review of Consumer Engagement and Purchase Behavior

Abstract

AI-enabled personalization—including targeted advertisements, recommendation systems, and chatbots—is transforming digital marketing by reshaping how consumers interact with brands. Its influence on consumer engagement (such as clicks, time spent, and satisfaction) and purchase behavior (including purchase intention and sales) is significant yet dispersed across recent literature. This study systematically reviews empirical and review research published between 2021 and 2026 on AI-based personalization in digital marketing, focusing specifically on engagement and purchase outcomes. Following PRISMA 2020 guidelines, searches were conducted in Scopus, Web of Science, and Google Scholar using combinations of terms such as “AI personalization,” “digital marketing,” “consumer engagement,” and “purchase intention.” Studies were included if they empirically examined AI-driven personalization and consumer-related outcomes, with additional references drawn from platform API documentation and regulatory texts. Out of 1,102 screened records, 42 studies met the inclusion criteria. Thematic synthesis revealed that personalization generally enhances perceived relevance and usefulness, thereby increasing engagement and purchase intent, with trust in AI systems frequently acting as a mediating factor. However, privacy and ethical concerns may weaken these positive effects, as consumers increasingly expect responsible data practices; regulatory developments such as the EU Digital Services Act, which restricts ad targeting using sensitive data, reflect these concerns. Most studies relied on survey-based designs, and few measured actual sales outcomes. Due to heterogeneity in metrics and insufficient reporting of effect sizes, no meta-analysis was conducted. Overall, AI-driven personalization demonstrates strong potential to enhance engagement and sales, but its effectiveness depends on trust, transparency, and privacy safeguards, highlighting the need for future cross-cultural, longitudinal, and compliance-focused research.