Artificial Intelligence based Personalization Market by Technology, Application, Industry Vertical

Description

List of Tables

[196 Pages Report] 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.

KEY MARKET STATISTICS
Base Year [2023]	USD 3.84 billion
Estimated Year [2024]	USD 4.54 billion
Forecast Year [2030]	USD 12.71 billion
CAGR (%)	18.62%

Technology: Integration of advanced technology in AI powered personalization to enhance highly individualized user experiences

In the rapidly evolving domain of AI-based personalization, various advanced technologies are pivotal in crafting tailored user experiences. These technologies offer predictions and adapt to individual preferences seamlessly, revolutionizing customer engagement models. At the heart of this innovation are collaborative filtering methods that enhance recommendation systems by analyzing user behavior patterns. Contextual bandit algorithms excel in real-time decision-making, optimizing the balance between exploring new options and exploiting known preferences. Deep learning and machine learning algorithms are instrumental, with the former specializing in parsing through massive data to detect patterns for complex task performance and the latter adapting over time to predict user interests with increasing precision. Natural language processing (NLP) bridges human-machine interaction by interpreting and responding to user commands in natural language. At the same time, neural networks mimic human brain function to process and analyze data, making personalized experiences more intuitive. Predictive analytics forecast future behaviors using historical data, enhancing the anticipatory aspect of personalization. Reinforcement learning adapts through trial and error, continually improving user engagement and satisfaction. Together, these technologies form the backbone of AI-driven personalization, offering businesses cutting-edge tools to deliver highly individualized user experiences.

Application: Exponential usage of personalization AI in enterprises for process optimization and elevating customer satisfaction

In digital marketing, artificial intelligence (AI) has revolutionized personalization, offering unprecedented ad targeting and retargeting precision. By meticulously analyzing user data, including browsing habits, historical purchases, and demographic details, AI delivers supremely relevant advertisements at the most opportune moments, significantly enhancing conversion probabilities. Content personalization, another facet of AI's capabilities, dynamically adjusts the material shown to users according to their preferences and interactions, leading to increased engagement and fortified customer connections. In email marketing, AI's prowess in tailoring messages for each recipient promises higher engagement and conversion rates, making campaigns notably more efficient. Furthermore, AI augments customer service quality by powering chatbots and virtual assistants capable of providing prompt, tailored support, elevating customer satisfaction. Search engines and platforms benefit from AI in personalizing search results, ensuring users find what they need swiftly and accurately. In social media, AI personalization enriches user experience by fine-tuning content feeds and advertisements to match user behavior and preferences, thereby fostering longer engagement. Moreover, AI, website, and app personalization significantly bolster user satisfaction and conversion rates by adapting real-time interfaces and recommendations to reflect individual user profiles. This comprehensive suite of AI-based personalization techniques refines user experiences across multiple channels. It offers businesses a formidable tool to enhance ROI on advertising spend, cement customer loyalty, and drive conversions.

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.

FPNV Positioning Matrix

The FPNV Positioning Matrix is pivotal in evaluating the Artificial Intelligence based Personalization Market. It offers a comprehensive assessment of vendors, examining key metrics related to Business Strategy and Product Satisfaction. This in-depth analysis 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: 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 examination of the current state of vendors in the Artificial Intelligence based Personalization Market. By meticulously comparing and analyzing vendor contributions in terms of overall revenue, customer base, and other key metrics, we can offer companies a greater understanding of their performance and the challenges they face when competing for market share. 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 this expanded level of detail, vendors can make more informed decisions and devise effective strategies to gain a competitive edge in the market.

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

The report offers valuable insights on the following aspects:

1. Market Penetration: It presents comprehensive information on the market provided by key players.

2. Market Development: It delves deep into lucrative emerging markets and analyzes the penetration across mature market segments.

3. Market Diversification: It provides detailed information on new product launches, untapped geographic regions, recent developments, and investments.

4. Competitive Assessment & Intelligence: It conducts an exhaustive assessment of market shares, strategies, products, certifications, regulatory approvals, patent landscape, and manufacturing capabilities of the leading players.

5. Product Development & Innovation: It offers intelligent insights on future technologies, R&D activities, and breakthrough product developments.

The report addresses key questions such as:

1. What is the market size and forecast of the Artificial Intelligence based Personalization Market?

2. Which products, segments, applications, and areas should one consider investing in over the forecast period in the Artificial Intelligence based Personalization Market?

3. What are the technology trends and regulatory frameworks in the Artificial Intelligence based Personalization Market?

4. What is the market share of the leading vendors in the Artificial Intelligence based Personalization Market?

5. Which modes and strategic moves are suitable for entering the Artificial Intelligence based Personalization Market?

Product Code: MRR-351BAD503A0C

1. Preface

1.1. Objectives of the Study
1.2. Market Segmentation & Coverage
1.3. Years Considered for the Study
1.4. Currency & Pricing
1.5. Language
1.6. Stakeholders

2. Research Methodology

2.1. Define: Research Objective
2.2. Determine: Research Design
2.3. Prepare: Research Instrument
2.4. Collect: Data Source
2.5. Analyze: Data Interpretation
2.6. Formulate: Data Verification
2.7. Publish: Research Report
2.8. Repeat: Report Update

3. Executive Summary

4. Market Overview

5. Market Insights

5.1. Market Dynamics
- 5.1.1. Drivers
  - 5.1.1.1. The shift towards data-driven marketing strategies among industries
  - 5.1.1.2. Increasing demand for enhanced customer experiences in e-commerce and online platform
  - 5.1.1.3. Increase data volume and for enhanced data security solutions
- 5.1.2. Restraints
  - 5.1.2.1. Data privacy and security concerns associated with AI-based personalization
- 5.1.3. Opportunities
  - 5.1.3.1. Advancements in machine learning algorithms and natural language processing
  - 5.1.3.2. Burgeoning demand from the banking and financial sectors
- 5.1.4. Challenges
  - 5.1.4.1. High cost associated with the integration of AI-based personalization
5.2. Market Segmentation Analysis
- 5.2.1. Technology: Integration of advanced technology in AI powered personalization to enhance highly individualized user experiences
- 5.2.2. Application: Exponential usage of personalization AI in enterprises for process optimization and elevating customer satisfaction
5.3. Market Disruption Analysis
5.4. Porter's Five Forces Analysis
- 5.4.1. Threat of New Entrants
- 5.4.2. Threat of Substitutes
- 5.4.3. Bargaining Power of Customers
- 5.4.4. Bargaining Power of Suppliers
- 5.4.5. Industry Rivalry
5.5. Value Chain & Critical Path Analysis
5.6. Pricing Analysis
5.7. Technology Analysis
5.8. Patent Analysis
5.9. Trade Analysis
5.10. Regulatory Framework Analysis

6. Artificial Intelligence based Personalization Market, by Technology

6.1. Introduction
6.2. Collaborative Filtering
6.3. Contextual Bandit Algorithms
6.4. Deep Learning
6.5. Machine Learning Algorithms
6.6. Natural Language Processing
6.7. Neural Networks
6.8. Predictive Analytics
6.9. Reinforcement Learning

7. Artificial Intelligence based Personalization Market, by Application

7.1. Introduction
7.2. Ad Targeting & Retargeting
7.3. Content Customization
7.4. Email Marketing Personalization
7.5. Personalized Customer Service
7.6. Search Result Personalization
7.7. Social Media Personalization
7.8. Website & App Personalization

8. Artificial Intelligence based Personalization Market, by Industry Vertical

8.1. Introduction
8.2. Automotive
8.3. e-Commerce & Retail
8.4. Financial Services
8.5. Healthcare
8.6. Media & Entertainment
8.7. Telecommunications
8.8. Travel & Hospitality

9. Americas Artificial Intelligence based Personalization Market

9.1. Introduction
9.2. Argentina
9.3. Brazil
9.4. Canada
9.5. Mexico
9.6. United States

10. Asia-Pacific Artificial Intelligence based Personalization Market

10.1. Introduction
10.2. Australia
10.3. China
10.4. India
10.5. Indonesia
10.6. Japan
10.7. Malaysia
10.8. Philippines
10.9. Singapore
10.10. South Korea
10.11. Taiwan
10.12. Thailand
10.13. Vietnam

11. Europe, Middle East & Africa Artificial Intelligence based Personalization Market

11.1. Introduction
11.2. Denmark
11.3. Egypt
11.4. Finland
11.5. France
11.6. Germany
11.7. Israel
11.8. Italy
11.9. Netherlands
11.10. Nigeria
11.11. Norway
11.12. Poland
11.13. Qatar
11.14. Russia
11.15. Saudi Arabia
11.16. South Africa
11.17. Spain
11.18. Sweden
11.19. Switzerland
11.20. Turkey
11.21. United Arab Emirates
11.22. United Kingdom

12. Competitive Landscape

12.1. Market Share Analysis, 2023
12.2. FPNV Positioning Matrix, 2023
12.3. Competitive Scenario Analysis
- 12.3.1. Stellantis to Enhance Personalized Mobility Experience with Acquisition of CloudMade's Artificial Intelligence Technologies and IP
- 12.3.2. Zoovu Unveils Generative AI Solution to Provide Personalized Buying Experiences
- 12.3.3. Intent HQ Merges with Anagog to Advance Generative AI for Personal Relevance
12.4. Strategy Analysis & Recommendation

13. Competitive Portfolio

13.1. Key Company Profiles
13.2. Key Product Portfolio