What is AI personalization?
AI personalization is the use of artificial intelligence to tailor content, product recommendations, messages, and even user interfaces based on individual users’ behavior, preferences, and real-time data patterns.
Traditionally, companies created logic-based codes that looked like: "if user is in X segment, show Y banner." But with the advent of AI personalization, this has become more dynamic and contextual: “User A is likely to respond to Offer X right now because of Y pattern we’ve seen in similar users.”
AI personalization spans a variety of tools, each designed to optimize a specific part of the customer experience. Here are the key categories to consider based on your goals and touchpoints:
Website personalization tools: These dynamically tailor on-site experiences like banners, product showcases, and CTAs, based on user behavior, demographics, and intent.
Email personalization tools: You can create hyper-personalized email content, subject lines, and send times using behavioral data, segmentation, and predictive triggers.
Product recommendations engines: They leverage algorithms like collaborative filtering and behavioral AI to suggest products based on past purchases, browsing patterns, or user similarity.
AI chatbots and virtual assistants: They deliver contextual, conversational support or product guidance using natural language processing to adapt to user intent and tone.
Predictive analytics tools: They help you forecast behaviors like churn, conversion, or purchase intent to proactively tailor experiences or outreach before users act.
Ad personalization tools: You can optimize digital ad targeting and creative with AI that personalizes offers, messaging, and formats based on behavioral and demographic insights.
Here’s a look at 5 tools that represent the best of what AI personalization can offer:
Insider
Insider is a personalization platform that combines unified customer data and AI to deliver relevant and timely experiences across all customer touchpoints. Its customer data platform (CDP) gathers information from websites, apps, emails, CRM systems, POS, and contact centers to build a 360-degree view of every customer, whether anonymous or known.
The AI tool, Sirius AI, automates segmentation, journey orchestration, and content generation, reducing manual effort while increasing efficiency. It supports real-time triggers, predictive segments, and over 120 rules and attributes
Other features the platform offers:
Segment Creator to build goal-based segments tailored to your business objectives
Journey Automator to auto-generate cross-channel journeys optimized for maximum results
Content Generator to craft email subject lines and messages customized for each channel
Attribute Affinity to identify which product attributes matter most to customers and drive smarter recommendations
NLP Search to auto-complete search that helps customers find products faster and more accurately
Pricing: Pricing has not been publicly disclosed and must be requested through a custom quote.
CleverTap
CleverTap offers a range of AI-powered agents designed to improve personalization. For example, their decision agents connect each customer to the most relevant experiences by predicting intent, recommending the best products or offers, and analyzing options to suggest actionable insights.
They also have a set of Creative Agents that focus on generating personalized messages, and templates for each user. By understanding customer preferences and behaviors, they help marketers deliver winning campaigns.
Other features the platform offers:
Customer behavior insights to understand exactly how users interact with your app or website and uncover actionable opportunities
Omnichannel messaging to deliver highly personalized campaigns across multiple digital touchpoints for better engagement
Advanced segmentation to create precise customer groups based on specific criteria for more relevant campaigns
Secure data management to protect your data and control access with advanced security features
AI Predictive segmentation to identify high-value customer groups and anticipate their behavior for smarter campaigns
Pricing:
| Plan |
Price |
| Essentials |
$75 / month (for up to 5,000 MAUs) |
| Advanced |
Custom pricing |
| Cutting-Edge |
Custom pricing |
Bloomreach
Bloomreach stands out for its AI-powered product recommendations. Using Loomi AI, the platform analyzes customer behavior and product details through statistics, rules, or machine learning to deliver personalized suggestions as customers shop. This improves engagement and drives conversions by showing each visitor the most relevant products at the right time.
Another standout feature is the AI-segmented single opt-in email subscription banner. This allows you to offer website visitors an incentive, such as free delivery or a discount on their next purchase, while letting AI personalize which banner each visitor sees through A/B testing.
Other features the platform offers:
Unified customer data to connect real-time customer and product information from all sources, creating a single view for more personalized marketing
AI-powered campaign automation to launch intelligent campaigns across 13+ channels, with AI determining the next best action, ideal channel, and perfect timing for every customer
Loomi analytics to explore customer behavior, track campaign results, and uncover insights instantly with simple prompts
Content and product recommendations to automatically surface the best content and products for each customer, increasing conversions and lifetime value
Pricing: Custom enterprise pricing.
Lytics
When it comes to AI personalization tools, Lytics is a strong contender. The platform offers powerful AI-driven recommendations for content and products, helping every visitor see what’s most relevant to them. This boosts engagement and conversions, though some advanced features may require higher-tier plans.
The platform also delivers value through its CMS integrations. By connecting with WordPress or other content management systems like Drupal, you can turn your site into a Digital Experience Platform (DXP) and deliver personalized experiences in real time. While it doesn’t require rebuilding your website, some of the more sophisticated personalization features may be limited depending on your plan.
Other features the platform offers:
Multi-domain support to manage up to 10 websites or projects from one account
CSV data import to quickly bring in existing customer or product information
Reverse ETL integration to sync data seamlessly from your warehouse
Personalization SDK to embed tailored experiences directly into your applications
Ad network integration to connect with ad platforms and deliver consistent personalized campaigns
Pricing:
| Plan |
Pricing (billed monthly) |
| Developer |
Free forever |
| Growth |
Starts at $500 / month |
| Enterprise |
Custom pricing |
Nosto
Most AI personalization platforms offer basic recommendation engines, but Nosto goes several steps further. First, its AI engine combines four key competencies—Predictive AI, Semantic AI, Visual AI, and Generative AI—powering every feature of its Commerce Experience Platform (CXP) to deliver smarter, faster, and more efficient personalization.
Predictive AI analyzes large volumes of behavioral and transactional data to forecast future actions, enabling hyper-personalized experiences at scale. Semantic AI improves the search with human-like understanding, Visual AI organizes and recognizes images for content campaigns, and Generative AI streamlines workflows and boosts efficiency across the platform.
Other features the platform offers:
Content personalization to customize all site elements, including banners, videos, copy, menus, and layouts - for every customer segment.
A/B testing & optimization to test and refine website elements for maximum conversions and a high-performing store.
Dynamic bundles to create automated or curated “shop-the-look” bundles that boost basket value and online revenue.
Personalized search to deliver hyper-relevant search results, improving product discovery, engagement, and sales.
Post-purchase upsell to present AI-driven product offers immediately after checkout, increasing revenue without adding friction.
Pricing: Custom pricing
Takeaways
As personalization continues to evolve, brands that use AI effectively will set themselves apart, not just by understanding their audience, but by anticipating what they need before they even ask.
The tools listed here give you the opportunity to do just that by delivering tailored content, predictive recommendations, and timely experiences that resonate with each individual cust
