The Role of Artificial Intelligence in Revolutionizing Personalization and Customer Engagement

Abstract

Artificial Intelligence (AI) is changing the world of online shopping by creating tailored experiences for customers and improving customer interactions. In this paper, the study shows how AI methods like Natural Language Processing (NLP) and machine learning are helping to study customers’ feedback and scores to create customized recommendation systems. The fusion of sentiment analysis and collaborative filtering-based recommender systems results in higher customer satisfaction rates and better customer experiences, and helps businesses build customer loyalty by employing personalised touchpoints. It enhances organisations' operational activities and remains competitive for a long time. A dataset of 363K product reviews is used to conduct sentiment analysis and build a recommendation system. The research shows connections between how customers feel about a product, their ratings, and their buying habits, offering ideas for using AI to enhance personalised strategies for businesses.