Artificial intelligence and consumer behaviour on social media: A study of personalization, trust, and privacy

Artificial Intelligence (AI) is rapidly transforming consumer behaviour, particularly within social media environments where algorithmic personalization and automated engagement tools shape consumer, brand interactions. This study investigates the influence of AI-enabled technologies, such as chatbots, sentiment analysis, and influencer algorithms, on key consumer responses, including trust, perceived personalization, brand loyalty, and privacy concerns. Data were collected from active social media users via a structured questionnaire, following a pilot study. Quantitative analysis, including regression modelling, examined the interrelationships among constructs. Results indicate that perceived personalization and consumer trust significantly enhance brand loyalty, while privacy concerns exert a direct negative effect on these relationships rather than statistically moderating them. Additionally, respondents demonstrate growing receptiveness to AI-powered virtual assistants and augmented retail experiences, highlighting a shift toward hybrid consumption models. This research contributes to theory by linking AI capabilities with consumer behaviour constructs in the context of social media. For practitioners, the findings underscore the importance of transparent AI design and ethical data use in fostering sustainable consumer engagement