WSEAS Transactions on Business and Economics
Print ISSN: 1109-9526, E-ISSN: 2224-2899
Volume 22, 2025
Exploring the Relationship between AI Innovations in Digital Marketing and Brand Loyalty: The Mediating Effect of Customer Experience
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Abstract: This Study examines how artificial intelligence (AI)–based innovations can change digital marketing, in terms of customer experience and brand loyalty. It looks at how the customer experience mediates between the AI innovations and brand loyalty. Partial Least Squares Structural Equation Modeling (PLS-SEM) was used to analyze data of 480 customers. The findings indicate that AI personalization, chatbots, AI-generated content, A/B testing, and data analytics contribute to the enhancement of customer experience to a significant extent. Customer experience has a strong impact on brand loyalty and moderates the association of AI innovations with brand loyalty. The structural model has a high explanatory power, with R² values of 0.657 for customer experience and 0.806 for brand loyalty. Results provide valuable insights on how to use AI-based personalization tools to boost the level of engagement and loyalty.
Keywords:
AI-driven innovations, AI-powered personalization, AI chatbots, AI-optimized content creation, customer experience, brand loyalty
Pages: 2800-2815
DOI: 10.37394/23207.2025.22.220