| Abstract [eng] |
Andriuškaitė, Eglė. (2025) The Impact of Artificial Intelligence on the Effectiveness of Personalized Advertising. MBS Graduation Paper. Kaunas: Kaunas Faculty, Vilnius University, 81 p. SUMMARY In today’s world, artificial intelligence is present in almost every aspect of our lives and plays an important role in shaping the way we work, communicate and use technology. Over the last few years, AI has also become very popular in advertising, enabling the creation of personalised ads to engage with the target audience. The potential of AI in advertising includes areas that improve the design, targeting and optimisation of advertising campaigns. All this transformation has given marketers the ability to delve deeper into consumer behaviour, predict trends and adapt strategies more effectively. The object of the thesis is on the effectiveness of AI in personalised advertising and the aim of the thesis is to investigate how the use of AI in personalised advertising contributes to advertising effectiveness. In order to achieve this aim, the following objectives were set: 1. To analyse the possibilities and principles of artificial intelligence in the context of personalised advertising. 2. Identify the main AI solutions used to personalise advertising content. 3. Evaluate the results of the empirical assessment of the impact of AI on the effectiveness of personalised advertising described in the scientific literature. 4. Conduct an empirical study to determine the impact of AI-based personalisation on consumer attitudes towards advertising and branding. 5. Conduct a qualitative study with marketers to explore their views on the potential of AI. The thesis consists of 81 pages, including 7 figures and 28 tables. The thesis consists of an introduction, 3 main parts, conclusions. The reference list consists of 96 sources. The analysis reveals that 401 respondents took part in the survey. The analysis showed that as many as 80.5% of all respondents indicated positive attitudes towards AI advertisements, choosing either “agree” or “strongly agree”. In contrast, only 3.7% of respondents expressed disagreement (answers “disagree” or “strongly disagree”), indicating a clear majority in favour of the issue. The results of the study show that consumers' willingness to accept AI advertising has a significant, albeit weak, positive effect on the perception of personalisation of advertising. The more willing consumers are to accep AI advertising, the more they perceive it as personalised. Perceived personalisation is also found to have a positive effect on attitudes towards the Spotify brand, which in turn builds trust and trust builds consumer engagement. Meanwhile, privacy concerns had no significant impact on either engagement or willingness to accept AI ads, which may indicate that consumers either do not prioritise data security or trust the platform. The qualitative research surveyed marketing specialists and managers. Informants highlighted that AI helps to base decisions on data rather than intuition and allows for quicker campaign adjustments. However, disadvantages were also noted: some tools are expensive and the content generated is sometimes too templated or inadequate for the technical context. Nevertheless, the attitude towards the future of the AI was unequivocally positive. |
