Artificial intelligence-powered digital marketing and customer relationship management capabilities for e-retailers in Argentina and Mexico

Purpose This study examines the role of artificial intelligence (AI) in enhancing digital marketing and customer relationship management (CRM) capabilities among e-retailers in Argentina and Mexico. It aims to explore how AI strengthens e-retailers’ capabilities in customer acquisition, development and retention within the Latin American e-commerce market. Design/methodology/approach This paper adopts a multiple case study design, analyzing 11 e-retailers in Argentina and 8 e-retailers in Mexico that operate on the Mercado Libre platform. Findings The findings reveal that AI significantly enhances digital marketing capabilities, specifically: data analytics and predictive capability, content creation and management, omni-channel integration and agility and adaptability. These capabilities, in turn, improve CRM performance across the distinct stages of customer acquisition, development and retention. Practical implications The findings offer actionable insights for practitioners seeking to optimize CRM capabilities through staged AI implementation and specific performance metrics. Originality/value The study highlights AI's dual role: first, as a capability enhancer that improves CRM outcomes through specific digital marketing capabilities, and second, as a contextual problem-solver that addresses structural challenges (e.g. payment fragmentation and trust deficits) in the Latin American e-commerce market.