Utilization of AI in Digital Marketing : An empirical study of Artificial Intelligence and the impact of effectiveness, ethics and regulations.

Abstract: Date: 2023-05-30 Level: Bachelor thesis in Business Administration, 15 cr Institution: School of Business, Society & Engineering, Mälardalen University Authors: Belinda Sundqvist         Jerar Ohanisian                 Shaafi Osman Ali                        00/09/08                        97/09/03                               99/02/05 Title: Utilization & impact of AI in digital marketing Examinator: Magnus Linderström  Supervisor: Stylianos Papaioannou Keywords: Artificial intelligence (AI), Digital marketing, Search engine optimization (SEO), Customer relationship management (CRM), Gathered data, Ethics, Effectiveness, Regulation Research question: How do businesses utilize AI and how does it impact digital marketing? Purpose: The purpose of this study is to examine how organizations use artificial intelligence (AI) technology in their digital marketing, and how this affects their efforts to communicate digitally. This in conjunction with any repercussions regarding ethical and legal concerns, that may occur through the utilization of AI. Method: Qualitative method  Conclusion: AI tools, especially text generators like ChatGPT, are being widely used in digital marketing, especially by small to medium-sized enterprises (SMEs). Larger businesses consider ethical and legal aspects like GDPR in AI implementation. The utilization and choice of AI tools depend on a business's needs and resources. While AI helps improve margins, reduce costs, and enhance quality, it also includes challenges like potential skill gaps. Business size matters: large businesses can invest more but struggle with implementation, whereas SMEs adapt quicker and can achieve growth through AI. The study confirms AI's profitability in business, specifically in digital marketing.