Rise of Artificial Intelligence in Marketing: Strategies for Ethical Implementation

Rise of Artificial Intelligence in Marketing: Strategies for Ethical Implementation

Copyright: © 2024 |Pages: 19
DOI: 10.4018/979-8-3693-6660-8.ch013
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Abstract

The chapter provides an overview of the wide-ranging impact of artificial intelligence (AI) on commercial opportunities, emphasizing its various applications and ethical considerations. It discusses AI's role in enhancing industry efficiency, banking transactions, marketing, and beyond, while also addressing concerns such as bias, discrimination, and data protection. The chapter underscores the importance of AI ethics and the need for responsible development and usage, as highlighted by the implementation of AI codes of ethics by tech companies. It further explores major ethical issues related to autonomous AI systems, including machine bias, privacy concerns, and job displacement, particularly in the marketing industry. Additionally, it mentions the European Commission's efforts to establish ethical principles for trustworthy AI and the legal implications of AI marketing, such as data privacy and consumer protection laws. Finally, it suggests the role of government and regulators in setting AI marketing technology laws to ensure fair competition and market practices.
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Ethical AI and Data Management Strategies in Marketing

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Introduction

One of the technology developments that significantly impacted marketing is artificial intelligence (AI)(Winecoff & Watkins, 2022). It's rewriting the rule book on how businesses evaluate data and engage with customers, providing great competitive personalization and maximizing operational efficiency by harnessing data at scale and using state-of-the-art algorithms(Author & Maglaras, 2022). Given the numerous ethical dilemmas this reality triggers, a thorough review of the intersections between AI and ethical marketing seems necessary. The list of concerns is long: privacy, algorithmic bias, data security (Huang & Yu, 2022).

The moral consideration revolving about AI in the field of marketing besides the transparency and the benefits of its usage is prevailing(Mogaji et al., 2021). The authors have provoked ethical interrogations of the AI-powered predictive marketing in this instance(Latham & Goltz, 2019). Esteemed moral instructions for multifarious AI challenges are also dealt with. On the contrary, it provides a sagacious vision on the ethical awareness and underlines the predicament of ethical ambition in the AI business(Wang, 2011). The mightier Technology for marketing AI must hence cling to the veracity of contemporary technology and should be fastened with the bow of moral conditions to ensure the soundness of the business well-being aspects alongside an evisceration to a moderate version of the public to reckon with(Guyo et al., 2023).

That is why it is crucial to scrutinize the ethics of the various AI systems used in marketing campaigns in this field. Concerns about the responsibility of increasingly independent AI systems have been growing, especially in instances where these systems’ judgments could affect customers’ privacy and consent(S. et al., 2023). As we rely more heavily on algorithmic processes, worries about AI decision-making's transparency and interpretability are mounting, potentially further isolating companies from their consumers(Campbell et al., 2020). This means we need to find ways to enhance the adoption of AI in marketing for targeted assistance while also addressing ethical concerns and data protection simultaneously. When employing AI for marketing purposes, one of the principals you should hold onto is ethical standards (Author & Maglaras, 2022). It is also crucial to form a moral code that thinks about the societal duties of each individual as well as their personal array of values.

The field of marketing and advertising frequently generates ethical and social dilemmas. Problems that arise relate to privacy, data security, bias, and transparency. Research findings suggest that AI models and data sets should not perpetuate unfairness or bias and must be transparent(Vlačić et al., 2021). It has become critical for enterprises to use varied information when calibration experiments though auditions are essential.

An example of this is the proposal of a new certification mechanism for AI-powered marketing systems at companies, in an attempted consider of the issues(Hermann et al., 2023). A program which strives to establish methods for evaluating marketing systems based on the criteria of acknowledged ethics, to boost customer trust and assure that companies of all scales are all playing by the identical rules(Saadi & Azdimousa, 2024). This program would thus be focused on the significance of AI marketing tricks and the ways in which the ethics of marketing could be altered by these mechanisms. The primary motive for this certification program is to assure that marketing technology further develops the industry while still maintaining its primary objective of holding all marketing systems, within the confines of ethical standards, sound and secure(Sharma & Sharma, 2023; Volkmar et al., 2022).

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