Artificial Intelligence (AI) is becoming an important part of the retail industry. Retail businesses are using AI-powered marketing tools such as chatbots, recommendation systems, predictive analytics, and personalized marketing to improve customer experience and increase business performance. The main purpose of this study is to understand the adoption of AIpowered marketing strategies in the retail industry and identify the factors that influence their adoption. The study was conducted among 125 respondents from Bengaluru South using a structured questionnaire. This investigation interrogated a quartet of pivotal determinants: fiscal viability, institutional integrity, consumer receptivity, and the caliber and accessibility of datasets. Leveraging descriptive metrics and multifaceted regression modeling, the inquiry synthesized the gathered empirical evidence. The results elucidate a favorable predisposition among retailers toward AI-integrated promotional paradigms. Specifically, the pillars of organizational credibility, user sanction, and high-fidelity data streams emerged as preeminent catalysts for technological integration. Paradoxically, the perceived economic utility of these systems failed to exert a statistically meaningful pressure on adoption rates. Ultimately, the analysis posits that artificial intelligence serves as a transformative conduit for amplifying commercial efficacy, deepening client interactions, and refining strategic discernment within the merchant landscape. Furthermore, the scholarship underscores that cultivating consumer confidence, optimizing data integrity, and fostering technological literacy are indispensable precursors to a seamless digital transition.
