Interface flexibility played a special role at this stage. Personalization systems began to influence not only content but also form: visual elements, page structure, and layout blocks changed depending on how the user perceived information, what device they were using, their mood, or the specific tasks they were solving at that moment.
Thus, before entering the modern stage, personalization evolved from behavior prediction to contextual and empathetic adaptation based on a deep understanding of the individual (table 2) [21].
Table 2. The evolution of personalization
Thus, this is not merely technological automation – it is the transformation of personalization into a form of cognitive interaction between the system and the user, in which decisions are made not only based on logic but also by considering psychological, situational, and even ethical factors. However, these advancements have also brought new challenges.
Modern personalization requires significant computing power and large volumes of data, making it increasingly complex and multi-layered. It is also essential to consider the need for data privacy. In an environment of constant changes in consumer behavior and intense market competition, personalization becomes not only a means of attracting customers but also a necessary tool for retaining them. It enables brands not only to respond to requests but also to create unique and valuable interactions that significantly influence brand perception and market position.
With technological progress, market globalization, and the rapid expansion of digital platforms, customer needs and expectations have undergone substantial changes. In a world where nearly every aspect of daily life is becoming increasingly digital, consumers are no longer satisfied with standard products or services. Instead, they increasingly seek personalized experiences that precisely reflect their individual needs, interests, and lifestyle.
The shift from mass service to an individualized approach has become one of the most significant changes in consumer behavior models over the past decades. This shift is driven not only by the development of technological capabilities but also by changes in how the value of interaction between brand and customer is perceived. There are several reasons underlying the formation of such expectations (fig. 9).
Figure 9. Reasons behind the formation of personalization
The primary reason for this is the rapid development of technologies that enable brands to collect and analyze customer data, as well as the evolving dynamics of interaction between consumers and products. Brands began offering suggestions not only based on past consumer behavior but also on their expectations and current mood. This approach was immediately perceived by users as convenient, allowing them to avoid unnecessary effort in searching for the right content or product. Gradually, this expectation became the norm, extending not only to media platforms but also to various business sectors – from banking services to online retail.
Another factor that shaped this expectation was the information overload faced by modern consumers. In a world of pervasive digitalization and saturated information spaces, consumers are now confronted with an overwhelming number of products and services. In such a context, only the brand that can address individual needs is able to capture their attention.
Additionally, since technologies developed and customized solutions came within reach, these practices had come to be regarded as an obvious thing. Sites like Google and VK that gather enormous amounts of user activity data have been able to get ahead of the users’ wishes and provide just the content that they will want most. This not only made it easier for these services to be used but also affected people’s expectations from all the brands they interact with. People began expecting that businesses ought to provide them with not just homogenous solutions but also unique solutions that reflect their personal taste.
Yet another important contributory factor to the demand for a personized approach is having the sense of being special and appreciated. Where consumers are often overwhelmed in a mass production culture with the same goods and services, they desire to experience that their specific needs and interests are applicable. Personalization can capitalize on this sense of being appreciated, where it can emphasize to consumers that the offer and experience is based on their own, exclusive data. This approach impacts not just loyalty but also emotional brand perception. When customers feel appreciated and listened to, it creates a firm connection with the brand – one that goes beyond consumer interest and is a deeper psychological attachment.
In addition, over the last several years, with growing collective consumer consciousness regarding personal data and privacy, consumers now expect not only that their data will be used by brands to personalize, but that it is done so in a manner respectful of their right to privacy. With personalization becoming the norm, customers find that they are demanding to be provided with some level of insight into how they are handling their data and that they would not trade it to third parties without their consent. This compels customers to push brands not only to apply personalization technologies but to ensure that they are as safe and ethical as possible to users.
The call for personalization, then, is not merely due to a desire for speed and convenience but also because customers increasingly seek not merely a product or service but an experience that resonates with their value system, interests, and lifestyle. The trend calls on companies not merely to adopt new data-collecting and data-analytical technologies but also to be capable of evolving in reacting to shifting demand and taste. In a competitive business environment, those that fail to meet expectations of personalization are likely to fall behind global trends and lose the competitive edge.
Conclusion to chapter 1
Emotions are a key part of marketing and play a significant role in consumer behavior and decision. Neuropsychological studies prove that emotions not only govern short-term reaction but also long-term brand commitment, dramatically increasing customer loyalty. Emotional response is a much more powerful driver of decision than reason or fact, as a variety of research and extremely successful ad campaigns such as those of Nike and Coca-Cola have clearly illustrated. Feelings form connections that remain in the memory for quite a long period and influence the choices of consumers even if they are presented with products of similar kind.
This not only increases sales but also helps build a solid rapport with the brand, producing a sense of engagement and uniqueness in customers. Through the use of emotions in marketing, companies can distinguish themselves from others by positioning their brands as something desirable and consumer centric.
With technological advancement – more particularly the development from basic CRM systems to neural networks – marketing has been made increasingly personalized. It has become a key tool not only for customer acquisition but also for customer retention in a highly competitive marketplace. This development has, however, brought with it challenges related to handling extremely large data and ensuring customer privacy.
As a result, the need for an individualized approach has become a normal component of consumer behavior. Consumers now anticipate not just products and services, but an experience that is suited to their lifestyle and interests. Those companies that can deliver such an approach are already a step forward in a world of global change and rapidly changing market demands.
Chapter 2. AI and emotions: how it works
With the development of AI, one of the most ambitious tasks has become the understanding and analysis of human emotions. Unlike the traditional approach, which often boils down to superficial data processing, modern technologies allow for a deeper comprehension of feelings. As a result, it has become possible to create