The Psychology of Consumer Trust in AI-Based Marketing

The rapid growth of Artificial Intelligence (AI) has transformed modern marketing by enabling businesses to analyse consumer behaviour, personalise advertisements, predict customer preferences, and automate communication. However, the effectiveness of AI-based marketing depends not only on technological efficiency but also on the level of trust consumers place in AI-driven systems. This paper examines the psychology of consumer trust in AI-based marketing, with particular focus on the factors that influence consumers’ willingness to interact with and rely on AI-enabled marketing practices. Transparency, perceived accuracy, privacy, fairness, human involvement, explainability, and perceived control are identified as important psychological factors shaping consumer trust. While personalised recommendations and faster services may increase consumer confidence, excessive data collection, algorithmic bias, lack of transparency, and concerns about manipulation may create distrust. The study argues that consumer trust is influenced by both the perceived benefits and perceived risks associated with AI. Building sustainable trust therefore requires businesses to adopt transparent, ethical, consumer-centred, and responsible AI practices. The paper concludes that understanding consumer psychology is essential for organisations seeking to use AI-based marketing effectively while maintaining long-term customer relationships and brand credibility.