Why Marketing Leaders Need to Invest in AI Personalization in 2025

min read
Why Marketing Leaders Need to Invest in AI Personalization in 2025

The era of one-size-fits-all marketing is over. Today's consumers don't just prefer personalized experiences — they demand them. In fact, according to McKinsey, 71% of consumers expect personalized experiences, and 76% express frustration when they don’t get them. Whether they're browsing a website, viewing an ad, or placing a phone call, consumers want brands to recognize them and cater to their unique needs.

It’s difficult for brands to deliver seamless experiences at scale, especially as new regulations limit cookie tracking and third-party data collection. Traditional tactics like segmentation offer a baseline level of personalization, but they aren’t dynamic enough to adapt as customer needs and preferences change throughout the buying journey. Breakthroughs in artificial intelligence have changed the game, allowing marketers to deliver a single, cohesive experience across a customer’s website visits, targeted ads, and phone calls.

For CMOs, keeping pace with AI-driven personalization capabilities isn't just about staying competitive — it's about survival. Companies that use AI to create seamless, personalized experiences across channels are seeing dramatic improvements in engagement, conversion rates, and customer loyalty. Meanwhile, brands that stick to traditional segmentation and rules-based personalization risk falling behind as customers increasingly gravitate toward businesses that truly understand and cater to their preferences and needs.

In this post, we’ll explain the reasons your brand needs to invest in personalization and how you can use AI to deliver it at scale.

Reason 1: Website Personalization Drives More Revenue 

According to McKinsey research, websites with personalized content drive 40% more revenue from visitors. This increased spending stems from visitors feeling more connected to the brand, finding relevant products more quickly, and receiving timely recommendations that align with their interests. The data shows that personalized experiences not only drive higher conversion rates, but also increase average order value and customer lifetime value.

As competitors use increasingly sophisticated personalization capabilities, brands that stick to static, one-size-fits-all websites risk losing market share to more adaptive rivals. Companies that successfully deploy personalization can create a virtuous cycle: better experiences lead to more engagement, which provides data for even better personalization, ultimately driving sustained competitive advantage. Website personalization, therefore, is a critical investment for any marketing leader serious about maximizing revenue growth.

How to Deliver Website Personalization at Scale with AI 

With AI, marketers can deliver seamless website personalization that adapts as consumer preferences change. These systems analyze visitor behavior patterns, including past purchases, browsing history, click patterns, time spent on specific pages, and demographic information to understand each user's preferences and intent. The AI then uses these insights to dynamically adjust website content, from product recommendations and promotional offers to layout and imagery. For example, if a consumer browsed pricing for the Toyota RAV4 during their last website session, the AI might automatically adjust the homepage to feature that vehicle as well as comparable models the next time they come to the site.

What makes AI-powered personalization particularly powerful is its ability to continuously learn and adapt based on user interactions. Traditional rule-based personalization systems rely on predetermined settings and manual updates, but AI systems can identify subtle user behavior patterns that human marketers might miss. The AI can detect when user preferences shift, understand complex purchasing patterns, and even predict future needs. This enables websites to evolve their personalization strategies in real time, creating increasingly relevant experiences that drive higher engagement and conversion rates. 

Pro Tip: To take website personalization to the next level, consider feeding the AI conversation analytics data from phone calls. This will allow you to personalize your site based on the preferences consumers voiced over the phone, giving them a custom browsing experience tailored to their unique needs.

Reason 2: Smarter Retargeting Preserves Ad Budgets

Many CMOs are being asked to drive more results with less budget. Investing in a personalized retargeting strategy is one of the best ways to get more bang for your buck. When someone has already visited your website, called your business, or engaged with your content, they're more likely to convert compared to a “cold” prospect seeing your brand for the first time. By analyzing these previous touchpoints, you can craft relevant follow-up messages that address their specific needs and move them closer to a purchase. The results speak for themselves: research shows that consumers are 70% more likely to convert when they’re retargeted.

How to Deliver Retargeting at Scale with AI 

As privacy regulations and browser restrictions limit access to third-party data, AI has become essential for helping brands capture and use first-party data effectively. AI tools analyze customer interactions across multiple sources — including websites, apps, emails, and phone calls — to build rich customer preference and behavior profiles. Since you own these channels, you can collect this data without fear of violating privacy regulations. In addition, this data is often more accurate than third-party data and it provides a competitive advantage since you maintain exclusive ownership of it.

AI transforms this first-party data into powerful retargeting opportunities by identifying patterns that indicate purchase intent and readiness to convert. Rather than relying on basic rules, AI systems consider hundreds of interaction signals to determine optimal targeting parameters, timing, and messaging. 

To take ad retargeting up a notch, consider tapping into first-party data from phone calls. Platforms like Invoca use AI to analyze phone conversations so you can understand which products consumers are interested in and where they are in their journeys. You can, in turn, use these insights to personalize digital ads on a deeper level. For example, if you’re a telecom company, you could retarget a caller who inquired about a broadband package but didn’t convert with an exclusive discount to entice them to complete their purchase.

Reason 3: Customers Expect You to Already Know Why They’re Calling

When it comes to personalizing experiences, brands can’t afford to neglect their offline channels. Consumers expect just as much personalization over the phone as they do online — in fact, our research shows that 71% of consumers expect a brand to know why they’re calling before they even pick up the phone! Brands that make callers feel valued and understood will reap a distinct competitive advantage over brands that make them endure multiple transfers and repeat themselves.

How to Deliver Create Seamless Online-to-Offline Experiences

Brands can personalize the online-to-offline experience with solutions like Invoca PreSense. PreSense helps companies deliver personalized call center experiences by automatically routing callers to the most relevant agents based on their digital journey before the call. The solution analyzes what pages visitors viewed, ads they clicked, and previous interactions to understand intent. It then presents this data to agents before they pick up the phone, so they can start the conversation with a personalized greeting and jump right into the heart of the issue.

Watch this short video to see how PreSense works:

Level Up Your Personalization with Invoca’s Leading AI

Top-notch personalization starts with top-notch data. Marketing leaders who take advantage of all the first-party data at their disposal will be uniquely positioned to delight consumers and earn their lasting loyalty. 

That’s why leading brands like AutoNation, AT&T, and Banner Health use Invoca's AI to capture rich first-party data from phone conversations. The platform can identify which products callers discussed, their level of purchase intent, and whether they converted, enabling brands to create highly targeted audiences for digital advertising.

Additional Reading

Want to learn more about how Invoca’s AI can help you create seamless, personalized customer experiences? Check out these resources:

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