PANDIT DEENDAYAL ENERGY

UNIVERSITY
APPLIED RESEARCH METHOD
RESEARCH PROPOSAL- ARTIFICIAL
INTELLIGENCE IN DIGITAL MARKETING:
THREAT TO MARKETERS AND
CONSUMERS

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 TITLE OF THE RESEARCH PROPOSAL
AI in Digital Marketing: A Threat to Marketers and Consumers

RESEARCH TEAM
NAME: PALAK UNADKAT NAME: DHRUPAL VAGADIYA

ROLL NO: 21BABBA356 ROLL NO: 21BABBA124

MAJOR: FINANCE MAJOR: FINANCE

ABSTRACT
Artificial Intelligence (AI) has revolutionized the way digital marketing operates, enabling
marketers to personalize content and ads, optimize campaigns, and achieve better results.
However, the rise of AI in digital marketing also comes with negative consequences that can
harm both consumers and marketers. The study investigates the dark side of AI in digital
marketing, focusing on the unfavorable outcomes that may result from the application of AI-
driven technology. We conducted a comprehensive assessment of academic and business
literature using a qualitative study methodology to discover and analyze the effects of AI in
digital marketing. Our research shows that AI may have unforeseen consequences like bias,
privacy violations, job losses, and diminished creativity. We talk about the ramifications of these
detrimental effects for advertisers, consumers, and society at large and offer suggestions for
reducing the risks connected to AI in digital marketing. The study finishes by making the case
that, even while AI can be a potent tool for digital marketers, its usage must be constrained by
moral considerations and a commitment to responsible innovation.

By expanding our understanding of collaboration with AI in the workplace to guide future

research in this area, this paper makes a theoretical and practical contribution. The information
will be useful to researchers in understanding the consequences of employees' identities when
working with AI in businesses. Scholars will evaluate which predictors lead to AI identity danger
in the workplace by proposing a theory-based approach. Practitioners will be able to understand
which aspects of implementing AI for collaborative purposes are particularly important. Readers

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will understand that as AI is used more and more, employees start to experience identity
anxieties. Successful human-AI collaboration is more likely when potential dangers are
recognized and eliminated. We think that this study will be helpful for understanding and
overcoming challenges while working with AI for researchers, practitioners, and society.
Therefore, by updating our understanding on identity and related dangers in the context of AI in
a collaborative working environment and how predictors are interconnected, this study
contributes to the IS literature.

INTRODUCTION TO THE TOPIC

Artificial intelligence (AI) has quickly emerged as a powerful force in digital marketing, with
companies of all sizes relying on AI to better their customer targeting tactics and optimize their
campaigns. The expanding use of AI in digital marketing has raised questions, meanwhile, about
potential drawbacks. Based on information gathered from consumers and business professionals,
this study research seeks to investigate the detrimental consequences of AI on digital marketing.

Following the most recent methodological recommendations for literature reviews in information
systems (IS), we first performed a systematic literature review (SLR). We contend that the
research has not yet effectively addressed the complexity, opportunities, and associated identities
of AI and employees in the workplace, as well as accompanying risks. In order to compile
research evidence based on scientific facts, this descriptive approach investigates the body of
literature already in existence that describes the current condition.

LITERATURE REVIEW
1. The way businesses produce content for campaigns, generate leads, lower customer
acquisition costs, manage customer experiences, market to potential employees, and convert their
reachable consumer base via social media is being revolutionised by artificial intelligence (AI)-
enabled digital marketing. It begs the question of whether marketing professionals will accept AI
as a way to relieve them from less valuable tasks so they can spend time on more valuable ones,
or whether they will see AI as a danger to their jobs? (Patrick van Esch, 2011)

2. This qualitative study examines the techniques that may be employed to excel and
differentiate oneself from other digital marketers while taking into account the new insights that
AI has given to the world of digital marketing. . (Altheer Khalid Alansari, 2023)

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3. Establishing the impact of artificial intelligence technology on digital marketing was the
interview's main focus. The major findings suggested a strategy for how businesses should
approach artificial intelligence.The report outlines the benefits and drawbacks of artificial
intelligence with the goal of assisting marketers in making wiser business decisions. (G, 2019)

4. The rise of information technology has benefited business and commerce by increasing
productivity, efficiency, and the bottom line. The way society and individuals interact is
fundamentally changing as a result of emerging "third-platform" technologies including data
analytics, mobile devices, automation, and artificial intelligence (AI). (Gaurav K, 2021)

5. It investigates the relationship between artificial intelligence (AI) and digital marketing in
academia while simultaneously presenting a machine learning model that could fit in various
areas of the scientific field of digital marketing.By mapping the current state of artificial
intelligence (AI) applications in the field of digital marketing, this paper identifies key
publications, identifies gaps in coverage, suggests potential causes for these omissions, and
offers a machine learning model that could be applied to a variety of digital marketing scenarios.
(Gkikas D, 2019)

6. In the marketing department, artificial intelligence shines brilliantly and smartly assists
numerous additional tasks in real time. to investigate the scene for managers, scholars, and
activists in marketing. We highlight the most recent use-cases of (AI) in the marketing
environment as part of our effort to establish a marketing understanding of (AI) and its current
potentials. (S, 2021)

7. The study looks at how AI is affecting every stage of the fashion value chain, starting with
product discovery and moving backward to manufacturing. You can learn about ideas like
connected retail, data mining, and robotics with artificial intelligence by reading Artificial
Intelligence for Fashion. Each chapter includes a case study illustrating one key technology
subject and how AI is being used in the fashion business. (L, 2018)

8. This essay illustrates the modest and average effects of artificial intelligence approaches on
advertising in the context of digital marketing.This paper's goal is to compare several approaches
to digital marketing utilising artificial intelligence, and to suggest some particular guidelines
based on various frameworks, tools, and metrics.Through this paper, we have been able to notice
research trends over the last five years (2016-2021), which show that customer relationship and
promotional activity are the most commonly utilised characteristics in the field of digital
marketing. (Paul S, 2022)

9. The objective of this study was to compile research on the advantages and disadvantages of
employing artificial intelligence (AI) in marketing. (Nurm, 2019)

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10. Digital marketing can now be improved in significant ways because to artificial intelligence
(AI). AI can assist marketers in creating better goods, providing customers with faster and more
relevant advertising, and understanding the data patterns of their audience. In this study, different
AI technologies used in digital marketing were examined, as well as how they may enhance the
projects of digital marketers, using content analysis and interview approaches. (G P. , 2023)

11. The conclusion drawn from this thesis is that AI will profoundly alter how marketers do
their business, resulting in ads that are more customised, foresighted, and automated than ever
before. It has been determined that AI will unavoidably play a function in marketing and sales in
the future. The earlier we get familiar with AI's capabilities, the better. (Muhammadian, 2020)

12. In order to ensure that legislation keeps up with technological advancement, it pushes
potential policy alternatives across many EU legislative files, including but not limited to the AI
act. It also contends that other regulatory norms that can already control the introduction and use
of AI-enabled and algorithmic-management systems at work should serve and complement the
AI legislation rather than supersede it. (Professor Valerio De Stefano, 2022)

13. the role between artificial intelligence and digital marketing, seeing results that use artificial
intelligence in digital marketing, and the effect of artificial intelligence (AI) on digital marketing.
AI helps to build relationships between with customers at higher level. The information received
from AI should be use in a correct way. (Jarungjit Tiautrakul, 2019)

RESEARCH GAP
 Lack of Personalisation: Personalization has declined as a result of AI, which has made it
simpler for firms to gather and analyse client data. AI algorithms could place an undue
emphasis on data and fail to take into account preferences or particular situations. This
may lead to a faceless, uninteresting customer experience that lacks customization.
 Data privacy issues: There are significant data privacy issues raised by the acquisition
and use of customer data by AI. Customers now want businesses to be open and honest
about their data practises because they are increasingly aware of how their data is being
gathered and used. Failure to address these issues could result in a decline in customer
confidence and bad press.
 Reduced customer trust: Using AI in digital marketing can potentially lead to a decline in
consumer faith. Customers are less likely to interact with a company when they believe
their data is being utilised unethically or manipulatively. A brand's reputation may suffer
as a result, and there may be a loss of revenue.

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  Increased Competition: Competition has grown as a result of AI, which has made it
simpler for companies to target clients more precisely. It gets harder for individual
businesses to stand out in a crowded market as more businesses implement AI. Sales and
revenue may decline as a result of this.
 Algorithm bias: AI algorithms have the potential to be biassed, which could lead to unfair
targeting and discrimination. An AI programme may continue prejudices in its targeting,
for instance, if it was trained on biassed data. This may lead to unfair business practises
that hurt particular customer groups. Overall, even though AI provides many advantages
for digital marketing, it is crucial for firms to be aware of any potential drawbacks and
take precautions against them. Concerns concerning data privacy must be addressed, data
policies must be made more transparent, and bias-free AI algorithms must be guaranteed.

RESEARCH OBJECTIVES
The objective of this study is to investigate the moral issues surrounding artificial intelligence
(AI) in digital marketing, including data usage, privacy, and human values. It looks into the
biases in AI algorithms that can result in discrimination or unfair targeting in digital marketing
activities, as well as the possible negative consequences of AI on employment, such as job
displacement in the advertising business. It focuses on examining the restrictions on data
sources, data quality, and data accessibility that may reduce the efficacy of marketing initiatives
powered by AI.

Incorporating AI technology into current digital marketing systems and workflows presents both
technical and organisational hurdles, which are identified in this paper. It examines the possible
dangers of relying too much on AI as well as the challenges in calculating the return on
investment (ROI) of marketing activities based on AI. It evaluates the cyber security risks and
vulnerabilities related to AI technology used in digital marketing, such as the possibility of data
breaches or AI model exploitation. It focuses on analysing the difficulties of complying with
consumer privacy and data protection laws (such as the GDPR and CCPA) when employing AI
in digital marketing. Analysing the risks of being overly dependent on AI, which could
potentially lead to challenges if AI systems fail or experience disruptions, it helps to understand
potential resistance or backlash from consumers who may feel uneasy or distrustful of AI-driven
marketing campaigns. It evaluates the lack of AI skills and knowledge within marketing teams,
which could obstruct the effective application of AI technologies.

These negative study goals can assist you in recognising and addressing the difficulties and
potential drawbacks of utilising AI in digital marketing, which will ultimately result in more
responsible and informed AI adoption in this industry.

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RESEARCH QUESTIONS
1) Will increase in AI leads to increase in unemployment?
2) Will all industries be able to make use of AI for Digital Marketing?
3) Is Human controlling AI or AI is controlling human?
4) What regulatory frameworks and guidelines exist to address the ethical and legal
concerns surrounding AI in digital marketing, and how effective are they in protecting
consumers and businesses?
5) What challenges do marketers face in ensuring transparency and accountability when
implementing AI technologies in their marketing strategies?
6) How do consumers perceive the use of AI in marketing, and what factors influence their
acceptance or rejection of AI-driven marketing strategies?
7) How do AI-driven recommendation systems and personalized content delivery influence
consumer decision-making, and what are the implications for marketers and consumers?
8) What are the key challenges in ensuring AI-driven marketing campaigns are both
effective and non-intrusive to consumers' online experiences?
9) How can marketers strike a balance between leveraging AI for personalized marketing
and respecting consumer autonomy and choice in the digital landscape?
10) What are the potential consequences of AI-generated content, such as deepfake videos
and automated social media posts, on consumer perception and trust in digital marketing?
11) How can marketers protect their brands from adversarial attacks and misinformation
campaigns that leverage AI technology?

RESEARCH METHODOLOGY
A) RESEARCH DESIGN
We are employing an explanatory sequential mixed approach in this study, which begins with the
collecting and analysis of qualitative data before moving on to the interpretation of those results.
For this research paper, we are using Correlational research design. Correlation reflects the
strength and/or direction of the relationship among variables. The direction of a correlation can
be positive or negative. Correlational research design helps researchers establish a relationship
between two variables without the researcher controlling any of them. The correlational research

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in this study shows the how Artificial Intelligence has affected the employment and the
consumers. So, there is cause and effect relationship between Artificial Intelligence in Digital
Marketing and marketers and consumers.

B) MAIN VARIABLES OF THE STUDY

 INDEPENDENT VARIABLE:
 LEVEL OF AI INTEGRATION: This independent variable reflects the degree to which
AI technology is included into a marketing plan, ranging from complete AI
implementation to no AI integration.

 DEPENDENT VARIABLES:
 CLICK THROUGH RATE (CTR): CTR is a dependent variable that can be used to
gauge how well- AI-driven personalised content engages users.
 CONVERSION RATE: Using this statistic, you may evaluate how AI-generated
recommendations affect how many website visitors become paying customers.
 CUSTOMER SATISFACTION SCORE: A dependent variable in evaluating customer
experience, it shows how AI-driven chatbots or virtual assistants affect customer
satisfaction.

 CONTROL VARIABLES:
 MARKETING BUDGET: By accounting for the marketing budget, researchers are able
to separate the precise effects of AI technology from the total cost of marketing.
 MARKET COMPETITION: By adjusting for market competition, one may be sure that
no outside influences will skew the results and reveal the genuine impact of AI in
marketing.

C) SOURCES OF DATA
We conducted an SLR to find pertinent literature and discover interpretable patterns and
hypotheses because existing research has not sufficiently addressed the transfer of the notion of
IT identity and related dangers into the field of AI. A study model predicting AI identity at work
is developed using existing conceptualizations and propositions as a theoretical base. Using PLS-
SEM, we further quantitatively assessed our study model and were able to explain the causal
connections between the identified predictors of AI identity danger. Finally, in order to better

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present an overview of the applicable approaches and determine whether the identified predictors
are actually relevant to AI identity danger, we performed semi-structured interviews with
professionals who are familiar with AI in their workplaces.

D) TIME PERIOD OF THE STUDY

The time period of research study is 1 month. The research started on September 14 with the
initial step of selecting the topic of research and it continued with the further steps. We
bifurcated the time in each week according to the necessity of the research. Initially, in the first
week we selected the topic, then in following week we did the literature review and indentified
the research gap. At last, we selected the research design and methodology to be used for the
research.

RELEVANCE OF THE STUDY FOR POLICY MAKING

 ALGORITHMIC ACCOUNTABILLITY: To stop biassed or discriminatory practises,
policymakers might use research findings to create rules and standards for algorithmic
transparency and accountability in marketing.
 COMPLIANCE AND ENFORCEMENT: Policymakers can use research findings to
improve compliance and enforcement procedures, ensuring that businesses abide by laws
and rules relating to the use of AI in digital marketing.
 INNOVATION AND RESEARCH FUNDING: By allocating funds for AI research and
innovation, policymakers can promote the development of AI technologies that are
consistent with morally and responsibly doing business.
 GLOBAL STANDARDS: In an interconnected world, policymakers can work with
foreign counterparts to create worldwide standards for AI used in digital marketing. This
would ensure uniformity and consumer safety.
 ETHICAL FRAMEWORKS: The study can help with the development of ethical
frameworks that direct marketers in responsible and ethical AI use. This will help to
ensure that AI technologies are used in ways that are advantageous to both enterprises
and consumers.

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  CONSUMER PROTECTION: In order to ensure that consumers are protected and their
rights are upheld in the world of digital marketing, policies must address possible threats
to consumers such privacy violations, data misuse, and manipulation.
 TECHNOLOGICAL ADVANCEMENT: Research can assist decision-makers in
comprehending the quick development of AI technology and incorporating ways to keep
regulations current with the changing digital marketing environment.
 COMPETITIVE FAIRNESS: Taking into account the competitive advantages AI can
offer, policies can be created to ensure a fair playing field for enterprises of various sizes
and to prevent monopolistic behaviour.

RELEVANCE OF THE STUDY FOR SOCIETY

 CONSUMER EMPOWERMENT: By learning more about these hazards, society may
better prepare for the risks they may face, enabling people to make wise decisions about
the goods and services they interact with online.
 CONSUMER KNOWLEDGE: These studies can increase consumer knowledge of how
AI affects the information they view, encouraging media literacy and critical thinking in
consumers to distinguish between content produced by AI and content produced by
humans.
 GLOBAL PERSPECTIVE: Society may learn about the effects of AI on marketing
globally, promoting collaboration between nations and the creation of common standards
and best practises.
 SECURITY AND FRAUD PREVENTION: By comprehending the risks, society can
create defences against AI-driven fraud and cyberthreats, making the digital environment
more secure.
 PROGRESS AND INNOVATION: As society becomes more aware of the risks and
possible benefits of artificial intelligence, advancements in AI technology and marketing
techniques may result in better customer experiences and more successful marketing
tactics.
 ECONOMIC IMPACT: By helping society plan for changes in the labour market and the
expansion of companies related to AI, understanding the implications of AI in digital
marketing may be able to prevent job displacement and spur economic growth.

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INNOVATIVE /PATH BREAKING ASPECTS OF
RESEARCH
 Explore how AI and behavioural psychology might be combined to better understand
customer behaviour. Create AI-driven models that more correctly forecast and sway
consumer decisions, resulting in marketing efforts that are highly targeted.
 Investigate AI solutions that offer more precise cross-channel marketing attribution,
which will aid marketers in determining the true impact of their campaign.
 Examine how AI and blockchain technology can work together to improve data security,
ensuring that customer information is safeguarded and used appropriately.
 Develop AI tools to automatically audit marketing campaigns for ethical concerns,
spotting potential biases and damaging content before it reaches consumers. This is
known as AI-Enhanced Ethical Marketing Auditing.
 Develop AI algorithms to identify and get around ad blockers so that marketers' content
may reach users of ad-blocking software; AI-Enabled Ad Blocker Detection.
 Investigate AI-driven techniques for assessing the value, veracity, and moral implications
of content produced by AI to make sure it reflects the ideals of both marketers and
consumers.

EXPECTED OUTPUT
A comprehensive research paper that covers all the objectives of the study and further
encircles the existing literature about Artificial Intelligence in Digital Marketing: Threat
to Marketers and Consumer

MILESTONES
1st week – Understanding the topic, Literature review, Forming Research Objectives.
2nd week – Research gap and Research questions
3rd week- Research methodology
4th week- Finalising the proposal and total budget

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DETAILS OF COLLABORATION
DHRUPAL VAGADIA PALAK UNADKAT

Abstract Literature Review

Introduction to the topic Research Gap

Literature Review Research Questions
Research Objectives Research Methodology
Relevance of the study for policy
Innovative/path-breaking Aspects of the
making
research
Relevance of the study for society
Total Budget
Atlan

BUDGET BIFURCATION
Sr.no Heads of expenditure Value (in INR)
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 1. Research Staff: 3,50,000
Interviewers, Data Analyst,
Research assistant
2. Equipment and study materials: 1,00,000
Computer, Printer, Journals, books,
Software, Source material, Data
sets
3. Contingency amount 80,000
4. Publication expenses 30,000
TOTAL 5,60,000

BIBLOGRAPHY
Altheer Khalid Alansari, A. H. (2023). How Artifical Intelligence Revolutionizing Digital Marketing. Lecture
Notes in Networks and Systems. Springer International Publishing AG.

G, M. (2019). The Silent Giant of Marketing: How Artificial Intelligence is Revolutionising Digital
Marketing. Bachelor's Thesis Degree, 43+1 .

G, P. (2023). The Effects Of Artificial Intelligence on Digital Marketing. Shodh Kosh Journal of Visual and
Performing Arts .

Gaurav K, K. S. (2021). Role of Artificial Intelligence Enable Technologies in Revolutionising Digital

Mraketing. Turkish Online Journal of Qualitative Inquiry.

Gkikas D, T. P. (2019). Artificial Intelligence (AI) Impact on Digital Marketing Research. Springer
Proceedings in Business and Economics. Springer International Publishing AG.

Jarungjit Tiautrakul, J. J. (2019). The Artificial Intelligence (AI) with the Future of Digital Marketing. SSRN
Electronic Journal .

L, L. (2018). Artificial Intelligence for fashion: How AI is revolutionising the fashion industry. Apress Media
LLC.

Muhammadian, R. (2020). Artificial Intelligence in Marketing - How AI is Revolutionizing Digital

Marketing (Thesis). Centria University of Applied Science.

Nurm, K. M. (2019). The Possibilities and Potential Risks Of Using Artificial Intelligence In Marketing - A
Literature Review. Thesis for Bachelor's.

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Patrick van Esch, J. S. (2011). Artificial Intelligence(AI): Revolutionizing Digital Marketing. Australian
Marketing Journal .

Paul S, A. S. (2022). A Survey on the Use of Artificial Intelligence(AI) - Enabled Techniques in Digital
Marketing. AIP Conference Proceedings. American Institute of Physics.

Professor Valerio De Stefano, K. L. (2022). AI and Digital Tools in Workplace Management and
Evaluantion. Panel for the Future of Science and Technology .

S, K. A. (2021). Artificial Intelligence (AI)..Marketing touchpoints. International Journal of Economic

Performance .

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