Artificial Intelligence (AI) Based Personalization - Global Strategic Business Report

The global market for Artificial Intelligence (AI) Based Personalization was valued at US$2.9 Billion in 2024 and is projected to reach US$9.0 Billion by 2030, growing at a CAGR of 20.8% from 2024 to 2030. This comprehensive report provides an in-depth analysis of market trends, drivers, and forecasts, helping you make informed business decisions. The report includes the most recent global tariff developments and how they impact the Artificial Intelligence (AI) Based Personalization market.

Global Artificial Intelligence (AI) Based Personalization Market - Key Trends & Drivers Summarized

The Power of AI-Based Personalization Across Industries

AI-based personalization is redefining how companies engage with customers, users, and even employees by delivering experiences that are context-aware, hyper-targeted, and dynamically adaptive. At the heart of this transformation is the ability of artificial intelligence to process vast volumes of behavioral, transactional, and contextual data in real time, enabling systems to tailor content, services, and product recommendations at an individual level. What began as a marketing tactic in e-commerce and streaming platforms has now evolved into a full-fledged business strategy across industries such as finance, healthcare, education, retail, and media. The rise of omnichannel engagement, coupled with growing customer expectations for relevance and convenience, is driving the expansion of AI-based personalization solutions across digital touchpoints.

A major trend propelling the market is the integration of machine learning algorithms with customer data platforms (CDPs), which unify data from various sources to create a centralized user profile. These AI models can predict user intent, segment audiences, and optimize experience flows in real time - improving conversion rates, retention, and satisfaction. Another key trend is the emergence of real-time adaptive personalization, where systems adjust messaging, layouts, or content dynamically based on user behavior, location, device, and even emotional cues. Companies are also deploying personalization engines powered by deep learning and natural language processing (NLP) to personalize search results, automate content generation, and craft individualized marketing messages at scale.

How Is AI Enabling Hyper-Personalized Customer Journeys?

AI is revolutionizing customer journeys by enabling continuous personalization that evolves with user preferences, feedback, and behavioral signals. Unlike rule-based personalization, which relies on predefined triggers or segments, AI-based systems learn from user interactions over time to deliver increasingly precise and relevant experiences. In e-commerce, for instance, AI tracks browsing behavior, purchase history, and click patterns to recommend products uniquely suited to each customer’s taste and needs. Personalized pricing, cart abandonment interventions, and dynamic bundling are now commonly driven by AI models that anticipate customer actions before they occur.

In digital media and entertainment, AI curates personalized playlists, viewing queues, and content recommendations that align with user sentiment, engagement history, and genre preferences. In banking and financial services, AI delivers personalized financial advice, tailored product offerings, and predictive alerts - such as budget reminders or investment opportunities - based on transaction data and life events. AI also powers personalization in travel and hospitality, adjusting offers and itineraries based on user profiles, past bookings, and even weather patterns. These capabilities ensure that every customer interaction feels timely, relevant, and value-driven, strengthening loyalty and enhancing lifetime value.

Where Else Is AI-Based Personalization Making Strategic Impact?

Beyond consumer-facing industries, AI-based personalization is gaining ground in enterprise applications and public services. In healthcare, AI is being used to personalize treatment plans, medication schedules, and wellness recommendations based on patient history, genomics, and lifestyle data. Virtual health assistants and telemedicine platforms are leveraging AI to deliver customized patient education and self-care support. In education, adaptive learning systems use AI to tailor content delivery and assessment pathways to each student’s pace, strengths, and learning style - improving engagement and outcomes across age groups and learning environments.

In human resources and workforce management, AI is enabling personalized learning and development programs, recommending upskilling opportunities, and aligning individual career goals with organizational objectives. Enterprise software platforms are incorporating AI-driven personalization into dashboards, user interfaces, and workflow automations to improve productivity and employee satisfaction. Even smart cities and public administrations are deploying AI-based personalization to deliver citizen-centric services, from customized transportation updates to personalized civic engagement platforms. These cross-sector applications reflect a broader shift toward data-driven personalization as a core strategy for enhancing efficiency, satisfaction, and systemic responsiveness.

What’s Fueling the Growth in the AI-Based Personalization Market?

The growth in the AI-based personalization market is driven by several factors rooted in technological innovation, user behavior evolution, and increasing pressure for customer-centric engagement models. One of the most significant drivers is the exponential growth of user data from digital interactions, mobile usage, and connected devices - providing the raw material for AI models to analyze and act upon. The advancement of machine learning, particularly deep learning and reinforcement learning, has enabled systems to continuously learn and improve personalization accuracy without constant human intervention.

The expansion of omnichannel ecosystems is also a key enabler, requiring brands to maintain continuity in user experience across web, mobile, email, social, and physical channels. AI-based personalization tools are being deployed to stitch together these experiences and maintain context as users move across platforms. Cloud computing and scalable AI infrastructure have further lowered the barrier to entry, allowing organizations of all sizes to implement advanced personalization strategies without building complex internal systems. Moreover, the proliferation of plug-and-play personalization engines, API-based integrations, and no-code AI tools is accelerating enterprise adoption across industries.

Additionally, the demand for real-time decisioning in customer interactions is pushing the development of personalization systems that can respond to behavioral changes and contextual shifts in milliseconds. Regulatory emphasis on transparency, data privacy, and consent - particularly under frameworks like GDPR and CCPA - is prompting companies to adopt AI solutions with built-in ethical and compliance mechanisms. Finally, the competitive imperative to differentiate through customer experience is driving enterprises to invest in AI as a strategic lever, embedding personalization not just in marketing, but across the entire customer and employee journey. These converging factors are establishing AI-based personalization as a key growth engine in the digital economy.

Report Scope

The report analyzes the Artificial Intelligence (AI) Based Personalization market, presented in terms of units. The analysis covers the key segments and geographic regions outlined below.

Segments: Application (Website Personalization, Display Ads Personalization, Social Media Personalization, eMail Personalization, Other Applications).

Geographic Regions/Countries: World; United States; Canada; Japan; China; Europe (France; Germany; Italy; United Kingdom; and Rest of Europe); Asia-Pacific; Rest of World.

Key Insights:

• Market Growth: Understand the significant growth trajectory of the Website Personalization segment, which is expected to reach US$4.1 Billion by 2030 with a CAGR of a 23.0%. The Display Ads Personalization segment is also set to grow at 19.3% CAGR over the analysis period.
• Regional Analysis: Gain insights into the U.S. market, valued at $788.2 Million in 2024, and China, forecasted to grow at an impressive 19.1% CAGR to reach $1.3 Billion by 2030. Discover growth trends in other key regions, including Japan, Canada, Germany, and the Asia-Pacific.

Why You Should Buy This Report:

• Detailed Market Analysis: Access a thorough analysis of the Global Artificial Intelligence (AI) Based Personalization Market, covering all major geographic regions and market segments.
• Competitive Insights: Get an overview of the competitive landscape, including the market presence of major players across different geographies.
• Future Trends and Drivers: Understand the key trends and drivers shaping the future of the Global Artificial Intelligence (AI) Based Personalization Market.
• Actionable Insights: Benefit from actionable insights that can help you identify new revenue opportunities and make strategic business decisions.

Key Questions Answered:

• How is the Global Artificial Intelligence (AI) Based Personalization Market expected to evolve by 2030?
• What are the main drivers and restraints affecting the market?
• Which market segments will grow the most over the forecast period?
• How will market shares for different regions and segments change by 2030?
• Who are the leading players in the market, and what are their prospects?

Report Features:

• Comprehensive Market Data: Independent analysis of annual sales and market forecasts in US$ Million from 2024 to 2030.
• In-Depth Regional Analysis: Detailed insights into key markets, including the U.S., China, Japan, Canada, Europe, Asia-Pacific, Latin America, Middle East, and Africa.
• Company Profiles: Coverage of players such as Accenture PLC, Acquia, Inc., Algonomy Software Private Limited, Amazon Web Services, Inc., Bloomreach and more.
• Complimentary Updates: Receive free report updates for one year to keep you informed of the latest market developments.

Some of the 23 companies featured in this Artificial Intelligence (AI) Based Personalization market report include:

• Accenture PLC
• Acquia, Inc.
• Algonomy Software Private Limited
• Amazon Web Services, Inc.
• Bloomreach
• Frosmo
• Oracle Corporation
• Verint Systems, Inc.
• ZS Associates, Inc.

Tariff Impact Analysis: Key Insights for 2025

Global tariff negotiations across 180+ countries are reshaping supply chains, costs, and competitiveness. This report reflects the latest developments as of April 2025 and incorporates forward-looking insights into the market outlook.

The analysts continuously track trade developments worldwide, drawing insights from leading global economists and over 200 industry and policy institutions, including think tanks, trade organizations, and national economic advisory bodies. This intelligence is integrated into forecasting models to provide timely, data-driven analysis of emerging risks and opportunities.

What’s Included in This Edition:

• Tariff-adjusted market forecasts by region and segment
• Analysis of cost and supply chain implications by sourcing and trade exposure
• Strategic insights into geographic shifts

Buyers receive a free July 2025 update with:

• Finalized tariff impacts and new trade agreement effects
• Updated projections reflecting global sourcing and cost shifts
• Expanded country-specific coverage across the industry