The Behavioral Impact of AI on Modern Consumer Choices

Abstract

Artificial Intelligence (AI) has significantly impacted consumer industries, especially the fast-moving consumer goods (FMCG) sector, by helping businesses to analyze complex consumer data and deliver personalized experiences. Even after AI being accepted all over, there is limited research focusing on its influence on consumer behavior, particularly in aspects such as decision-making speed, purchase intentions, customer satisfaction, and acceptance towards AI. The purpose of this study is to investigate how young customers in Chennai, aged from 18 to 30, behave while making purchases in response to AI-driven technologies like personalized suggestions and targeted ads. Using a quantitative methodology, the study examines the effects of independent factors like tailored suggestions and targeted advertisements on dependent variables like customer satisfaction, decision-making speed, and purchase intentions. Various responses have been collected from various people in Chennai with their demographic information, purchase intentions, and acceptance towards artificial intelligence. According to various studies, AI-driven personalization makes buying easier for young people who value convenience, significantly accelerating decision-making, increasing purchase intents, and enhancing customer happiness. The study will be highlighting how AI is playing a major role in shaping modern customer behavior and encourages businesses to adopt AI-driven tools to enhance customer-centric experiences.