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Consumer Trust in AI-Driven Digital Marketing: Examining the Role of Privacy, Transparency and Personalization in Indian E-Commerce
Authors
Dr. P. Manjula,Rajeswari V
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Keywords
Artificial Intelligence, Consumer Trust, Data Privacy, Digital Marketing, E-Commerce, Personalisation, Perceived Transparency.
Abstract
As artificial intelligence (AI) becomes a more ubiquitous part of digital marketing, it has revolutionized how consumers engage with Indian e-commerce businesses, with personalised recommendations, targeted ads and customised promotional offers becoming commonplace. But the lack of trust with the issues about personal data, transparency of AI marketing practices, and the effectiveness of personalised communication can impact consumer trust. The present study explores the effect of data privacy, perceived transparency and personalisation aspects on the consumer trust in case of AI-based digital marketing in the Indian context of e-commerce. The study adopts cross-sectional research design with a quantitative approach, and the data was obtained in the form of primary data with a questionnaire. The four constructs were measured by 20 items on a 5-point likert scale. Cronbach's alpha, KMO, Bartlett's Test and exploratory factor analysis were used to test the reliability and construct validity. The data was subjected to Pearson correlation and multiple linear regression analysis for the testing of the hypotheses. The internal consistency was relatively high for all four constructs with Cronbach's alphas between 0.932 and 0.970. 54.0% of the consumers' trust was accounted for by the regression model. Data privacy (? = 0.361, p < 0.001), perceived transparency (? = 0.480, p < 0.001) and personalisation (? = 0.480, p < 0.001) were found to have significant positive influences on consumer trust. The results suggest that trust can be built by using AI in marketing if consumers can be assured of responsible data handling, transparent communication, and relevant personalisation. The research offers valuable insights into the practical application of AI in e-commerce marketing, focusing on creating customer-centric and trustworthy strategies for Indian companies.
IJCRT's Publication Details
Unique Identification Number - IJCRT2608487
Paper ID - 312848
Author type - Indian Author
Page Number(s) - e561-e573
Pubished in - Volume 14 | Issue 8 | August 2026
DOI (Digital Object Identifier) - https://doi.org/10.56975/ijcrt.v14i8.312848
No Of Downloads - 57
Author Country - India, 631561, Kanchipuram, Kanchipuram, 631561, Management All
Publisher Name - IJPUBLICATION | www.ijcrt.org | ISSN : 2320-2882
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Dr. P. Manjula,Rajeswari V, "Consumer Trust in AI-Driven Digital Marketing: Examining the Role of Privacy, Transparency and Personalization in Indian E-Commerce", International Journal of Creative Research Thoughts (IJCRT), ISSN:2320-2882, Volume.14, Issue 8, pp.e561-e573, August 2026, Available at :http://www.ijcrt.org/papers/IJCRT2608487.pdf
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