Analyzing The Impact of Artificial Intelligence in Big Data-Driven Marketing Tool Efficiency
Analyzing The Impact of Artificial Intelligence in Big Data-Driven Marketing Tool Efficiency
Abstract
The rapid integration of Artificial Intelligence (AI) and Big Data into digital marketing
strategies has transformed the landscape of marketing tools and their efficiency. This
research, based on a sample of 300 respondents, employs Partial Least Squares (PLS)
analysis to examine the impact of AI and Big Data integration on digital marketing tool
efficiency. The findings reveal substantial relationships between AI integration, Big Data
utilization, and tool efficiency. The study affirms a positive correlation between AI
integration and marketing tool efficiency, indicating that increased AI integration leads to
more efficient marketing tools. Similarly, a strong positive association is observed
between the volume of Big Data utilization and marketing tool efficiency. Furthermore,
the interaction between AI integration and Big Data utilization emerges as a critical
moderator, significantly amplifying the impact of these technologies on tool efficiency.
These results underscore the potential of AI and Big Data integration in enhancing the
effectiveness of digital marketing tools. Organizations are encouraged to strategically
incorporate AI and Big Data technologies to improve marketing tool efficiency, driving
better customer insights and business performance. This research contributes to a deeper
understanding of the dynamic interplay between AI, Big Data, and digital marketing,
paving the way for more data-driven and efficient marketing strategies.
1. INTRODUCTION
The widespread adoption of Big Data and Artificial Intelligence (BD&AI) has ushered in
revolutionary opportunities that are now considered indispensable for achieving
competitive growth. As an increasing number of companies rapidly embrace BD&AI
technologies at an exponential rate, the demand for BD&AI professionals is soaring
(Johnson et al., 2021). The data market extends far beyond the Big Data & Analytics
(BDA) market, encompassing not only the value generated by dedicated data players
advancing BDA technologies but also the value derived from data-related research,
enterprises, information, and IT services (Sundu et al., 2022). AI has evolved into a
strategic marketing approach, driven by real-time, data-driven decision-making.
However, the integration of AI marketing into overarching strategic marketing campaigns
must be approached with caution, given that it is still in its early stages of adoption.
1
Marketing Department, Faculty of Business, Applied Science Private University, Amman 11937, Jordan,
[email protected]
2
Management Information System Department, Faculty of Business, Applied Science Private University, Amman 11937,
Jordan, [email protected]
3
College of Communication and Media, Al Ain University, Al Ain 112612, UAE, [email protected]
4
Department of Marketing, Faculty of Business, Applied Science Private University, Amman 11937, Jordan,
[email protected]
Mohammad Khalaf Daoud et al. 522
2. RESEARCH PROBLEM
As highlighted by Anshari et al. (2019), the process of translating this data into practical
knowledge for executing tailored actions in online marketing presents a genuine
challenge. Furthermore, managing data in online marketing becomes notably arduous due
to the escalating volume and diversity of accessible data. The scarcity of relevant skills
compounds the growing challenges in data management. Antonopoulou et al. (2022) also
emphasized that the extensive volume and diversity of available information create
substantial opportunities concerning customer relationships and knowledge for
enterprises capable of identifying the appropriate metrics for comprehending consumer
behavior and evaluating the performance of marketing endeavors. The use of channel-
specific metrics for individual marketing channels quickly becomes limiting since it fails
to consider the overall effectiveness of marketing actions throughout the entire customer
journey. For example, metrics such as click-through rates for screen-based
communication or conversion rates for commercial websites are specific to channels and
do not provide a holistic view of marketing performance within the broader customer
journey. The implementation of AI in data collection enhances transparency for both
competitors and customers. Consequently, the management of privacy concerns becomes
a more focal point for marketers. When AI is employed for market analysis, it transforms
theory-based marketing research into data-driven approaches, prompting discussions on
whether marketing research should adopt data-centric or theory-centric approaches.
Moreover, when AI is applied to comprehend customers' emotions, it may give the
impression that AI can genuinely grasp human emotions, despite the absence of genuinely
emotional machines. These issues give rise to numerous potential research areas for the
future. In theory, we can conclude that there exists a disparity between the vast amounts
of data collected about customers and the market and the effective management of this
data using marketing tools. This gap aligns with the findings mentioned by Huang and
Rust., (2021). The utilization of AI for data collection increases transparency for both
competitors and customers, emphasizing the growing importance of privacy governance
for marketers. When AI is employed for market analysis, it shifts marketing research from
a theory-driven approach to a data-driven one, prompting a debate regarding the choice
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523 Analyzing the Impact of Artificial Intelligence in Big Data-Driven Marketing Tool Efficiency
3. PREVIOUS LITERATURE
3.1 Big Data
According to Fan & Bifet, (2013). Organizations today amass vast quantities of data,
preserving it in the expectation of its future utility. This presents the formidable task of
effectively handling these data volumes and deriving pertinent insights to inform
decision-making.
The concept of Big Data is now globally pervasive and universally embraced, signifying
the forefront of information management. However, this widespread adoption is not
without its share of debates and discussions. As noted by Moro et al. (2016),
contemporary origins of substantial data volumes encompass social media, mobile apps,
websites, and more. Research has demonstrated their substantial influence on consumer
choices, directly influencing brand development. Given the significance and intricacy of
this data, it serves as a pivotal source for making marketing decisions. Ibrahim et al.
(2023). It is essential for managers to emphasize the provision of relevant training to their
workforce for harnessing the potential of big data analytics to bolster both routine and
strategic operations. Through such training, employees positioned at the forefront will
acquire the skills to employ big data analytics effectively, enabling them to decipher the
genuine requirements of consumers and deliver environmentally friendly and sustainable
products or services. By equipping their employees with proficiency in big data analytics,
organizations can unlock the value inherent in data analytics, ultimately affording them a
competitive edge. According to Lies, (2019). Some experts posit that the availability of
robust data analysis technology has made it possible to simplify marketing decisions. In
practice, the distribution and accessibility of smart data are likely critical aspects
contributing to the success of marketing intelligence applications. This dynamic is both
rooted in and leads to a corporate culture that prioritizes the adoption of these
technological innovations. However, the effective dissemination of intelligence must be
well-structured. Managing communication between marketing data managers and those
individuals who can and should use the data – such as teams involved in sales,
distribution, or procurement – represents just one potential avenue for achieving success.
Marketing science has a rich history of embracing fresh challenges, novel methodologies,
and emerging fields. Daoud et al. (2023). The present state of the discipline is the product
of the collaborative work of researchers who, spanning nearly five decades, have
amalgamated solutions from various fields to offer fresh perspectives on marketing
issues. Frequently, the crucible of marketing science has reciprocated by providing other
disciplines with improved and more resilient models and methodologies. The COVID-19
pandemic has exerted a profound impact on consumer behavior, leading to a notable shift
away from physical in-store shopping and a surge in the demand for online shopping. For
restaurant enterprises, the absence of innovation and the inability to leverage technology
could potentially push them towards a bankruptcy crisis. The incorporation of big data
can play a pivotal role in enabling companies to promptly comprehend consumer
preferences, enhance the customer experience, and expedite the transformation of
enterprise logistics and smart manufacturing processes. As a result, businesses must
expedite their adoption of technology and prioritize user-friendly, human-oriented big
data applications.
Mohammad Khalaf Daoud et al. 524
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4. RESEARCH METHODOLOGY
4.1 Research Design
This research adopts a mixed-methods approach with a primary emphasis on quantitative
research methods. The primary objective is to analyze the Impact of Artificial Intelligence
on the Efficiency of Big Data-Driven Marketing Tools. The study utilizes a structured
questionnaire as the primary data collection instrument, complemented by qualitative data
for deeper insights.
4.2 Research Sample
The research sample consists of 300 respondents, meticulously chosen through a stratified
random sampling technique. This selection process ensures the inclusion of a diverse and
representative group of individuals from the target population, which comprises specify
the target population digital marketing professionals.
4.3 Data Collection
4.3.1 Questionnaire Development
A carefully crafted questionnaire has been developed to gather primary data for this study.
The questionnaire comprises a mix of closed-ended and Likert-scale questions, tailored to
align with the research objectives and variables under investigation.
4.3.2 Pilot Testing
Prior to administering the questionnaire to the main sample, a pilot test will be conducted
with a small group of individuals to assess the questionnaire's clarity, relevance, and
comprehensibility. Necessary revisions will be made based on the feedback received
during this phase.
4.3.3 Data Collection Process
The data collection process entails the distribution of the questionnaire to the selected
respondents. Multiple data collection methods, including online surveys and email
Mohammad Khalaf Daoud et al. 526
Big Data
Artificial Intelligence
Marketing Tool
5. RESULTS
In this section of the paper, we will present the practical results obtained from our study.
The reporting style in this section follows the established guidelines for Partial Least
Squares Structural Equation Modeling (PLS-SEM) analysis, as recommended by prior
research (Chin, 2010). The use of these guidelines ensures that our analysis and reporting
are in line with best practices in the field of PLS-SEM. The following subsections will
detail the key findings and outcomes of our study based on these guidelines.
5.1 Respondents Profile
Table 1. Respondents profile (N=300)
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to be below the cutoff of 0.85, as shown in Table 4, further supports the effective
establishment of discriminant validity (Henseler & Sarstedt, 2015).
Table 4. Heterotrait-Monotrait Ratio
Heterotrait-Monotrait Ratio (HTMT)
Big Data Artificial Intelligence Marketing Tool
Big Data
Artificial Intelligence 0.418
Marketing Tool 0.421 0.452
5.4 Structural Model Assessment
The critical next stage in the study is to evaluate the findings of the structural model once
convergent validity and discriminant validity have been established. It is crucial to
confirm that the structural model is free of multicollinearity problems before moving
further with hypothesis testing.
5.4.1 R-Square (R2)
The R2 size reflects how much of the variance in the dependent variables can be
explained by the independent variables. The structural model's ability to predict outcomes
is therefore improved by a greater R2 value. The R2 values in this study are computed
using the SmartPLS algorithm function, and the t-statistics, P-values, UL (Upper Level),
and LL (Lower Level) values for the mediation analysis are generated using the
SmartPLS bootstrapping tool.
Table 5. (R-Square)
Endogenous Variable R2 Predictive Relevance
to calculate f2. Effect sizes can be interpreted as follows generally of thumb: 0.02 denotes
a little effect, 0.15 denotes a medium impact, and 0.35 denotes a high effect Cohen,
(2013).
Table 7. (Effect Size)
Variable Endogenous Variable f² Effect Size Rating
Big Data Artificial Intelligence 0.362 Large
Marketing Tool 0.287 Medium
Artificial Intelligence Marketing Tool 0.383 Large
6. FINDINGS
The research findings indicate some significant outcomes. Firstly, the data demonstrates a
strong positive relationship between the extent of Artificial Intelligence (AI) integration
and the efficiency of digital marketing tools. In essence, as AI integration increases,
digital marketing tools tend to perform more efficiently. Secondly, the results reveal a
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similar positive relationship between the volume of Big Data utilization and the
efficiency of digital marketing tools. Essentially, as organizations make more extensive
use of Big Data, their marketing tools tend to become more efficient. Thirdly, the
interaction between AI integration and Big Data utilization significantly impacts the
relationship between both AI integration and Big Data utilization and the efficiency of
digital marketing tools. This suggests that AI and Big Data, when combined effectively,
can enhance marketing tool efficiency to a greater extent than when each is used
independently. Overall, these findings underscore the potential of AI and Big Data
integration in elevating the effectiveness of digital marketing tools. The synergy between
these technologies can lead to more efficient marketing strategies, better customer
insights, and enhanced business performance.
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