AI AND ML APPLICATIONS IN CUSTOMER RELATIONSHIP MANAGEMENT

Abstract

This review research paper aims to explore the applications of Artificial Intelligence (AI) and Machine Learning (ML) in Customer Relationship Management (CRM) and their impact on business performance and customer satisfaction. The paper is grounded in theories of AI and ML technologies, CRM strategies, and customer behavior analysis to provide a comprehensive understanding of how these technologies are transforming CRM practices. A systematic review approach is employed to analyze existing literature, case studies, and industry reports on AI and ML implementations in CRM across various sectors. The methodology includes examining key metrics such as customer retention, acquisition costs, and personalized marketing effectiveness. The findings reveal that AI and ML applications in CRM lead to enhanced customer segmentation, predictive analytics for personalized recommendations, automation of routine tasks, and improved customer service through chatbots and virtual assistants. This paper contributes to the research by synthesizing current knowledge on AI and ML in CRM, providing insights for researchers to further explore innovative applications. Practically, it offers guidance for businesses to adopt AI-driven CRM strategies for better customer engagement and operational efficiency. Socially, it emphasizes the need for ethical considerations in AI applications to ensure customer data privacy and trust. The originality of this paper lies in its in-depth analysis of AI and ML applications specifically in CRM contexts, highlighting their transformative potential and ethical considerations. The value of this research lies in guiding future developments in AI-driven CRM strategies and fostering responsible innovation in customer management practices.