The Influence of AI-Based Content Personalization on Brand Loyalty on E-Commerce Platforms: A Study on Generation Z in Indonesia
DOI:
https://doi.org/10.38035/jafm.v7i4.3723Keywords:
AI Personalization, Brand Loyalty, E-Commerce, Generation ZAbstract
The rapid integration of artificial intelligence (AI) in e-commerce has made personalized content a central strategy for fostering consumer-brand relationships. However, understanding how such personalization shapes brand loyalty among digitally native Generation Z consumers in emerging markets remains limited. This study qualitatively explores the perceptions of Indonesian Gen Z regarding AI-driven content personalization on e-commerce platforms and how these perceptions influence brand loyalty. In-depth semi-structured interviews were conducted with 25 Gen Z e-commerce users aged 18–26 in Indonesia. Data were analyzed using thematic analysis. Findings reveal five core themes: perceived utilitarian convenience, emotional value and relational signaling, privacy intrusion and the “creepiness” factor, conditional brand loyalty, and the moderating role of digital literacy. Personalization that delivers relevant and timely recommendations strengthens both attitudinal and behavioral loyalty by enhancing shopping efficiency and making consumers feel valued. Conversely, overly intrusive personalization triggers privacy concerns, distrust, and potential defection. The study contributes a nuanced, context-rich understanding of the personalization–loyalty dynamic, highlighting the privacy calculus that Gen Z performs. It offers managerial implications for e-commerce platforms in balancing personalization with transparency to sustain loyalty in the Indonesian market.
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