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DigitalFeaturedOpinion

Navigating the future of hyperpersonalisation with AI in 2025

"Hyperpersonalisation will give businesses an unprecedented ability to connect with consumers on a deeply individual level," by Hyther Nizam, President and VP of Products at Zoho, Middle East and Africa (MEA)

Hyther Nizam, President, Zoho MEA, hyperpersonalisation
Hyther Nizam, President, Zoho MEA

In 2025, AI will have matured into an even more sophisticated tool for hyperpersonalisation, revolutionising how businesses interact with consumers. By analysing data—from browsing history and past interactions to preferences and demographics—AI will tailor responses that are uniquely personal, creating increasingly human-like engagements.

Hyperpersonalisation will give businesses an unprecedented ability to connect with consumers on a deeply individual level. At its core, it takes traditional segmentation to the next level. Rather than simply categorising customers into broad groups based on overlapping psychographic and demographic traits, AI enables a much deeper level of segmentation. The result is highly specific, one-on-one interactions that truly reflect an individual’s unique preferences, behaviours, and needs. This level of precision was once an unattainable goal for advertisers and marketers—until AI emerged.

For instance, an online retailer’s AI system can track a customer’s browsing history, noting items they’ve looked at, what they’ve added to their cart, and what they’ve abandoned. If that customer revisits the site, the AI can instantly serve up personalised recommendations, perhaps with a special offer on an item they left behind. This isn’t just a marketing trick; it’s an effort to connect with the customer in a way that feels authentic and show that the brand truly gets them.

A more human-like experience

One of the most exciting developments in hyperpersonalisation by 2025 is the rise of context-aware agentic AI systems. These agents can understand the subtle nuances of individual customer needs, even factoring in emotional undercurrents. For example, if a customer browses for a pair of shoes on a website but leaves without completing the purchase—perhaps due to high prices or shipping fees—the next time they visit, the AI can analyse their past behaviour to identify why they abandoned the cart. With this insight, the system can offer a personalised incentive, such as a discount or free shipping, to encourage the customer to complete the purchase.

With this type of advancement, AI systems are evolving to be more than simple transactional tools—they are becoming virtual sales advisors. They don’t just respond to customer queries, but proactively recommend products, offer tips, and even provide advice about items you might want to pair together—just like a good salesperson would do in a physical store. This shift is ushering in an era of more human-like interactions in the digital world, making hyperpersonalisation feel less like a sales pitch and more like a genuine interaction.

Multimodal AI: Breaking the boundaries of communication

Another game-changing development in AI this year is the rise of multimodal systems, which power chatbots capable of processing text, voice, and visual inputs. These chatbots go beyond text-based interactions, understanding images and voice commands to offer real-time, personalised suggestions. For instance, a customer could snap a photo of a garment and ask, “What shoes should I pair with this?” The AI would instantly analyse the image and provide tailored options from the brand’s store that match its style, colour, and, even fabric. This real-time, context-aware response brings us closer to a truly personalised shopping experience, bridging the gap between digital and one-on-one engagement.

One of the most compelling reasons why hyperpersonalisation works is its ability to drive customer loyalty. When a brand tailors its interactions based on behaviour, preferences, and needs, customers feel understood, connected, and more likely to return.

As AI systems become better at maintaining the context of conversations and adapting to changing customer needs, the relationship between businesses and their customers can evolve from being transactional to relational. Another example of this is email marketing campaigns. Where early email marketing simply inserted a customer’s name into a template, modern AI systems can now craft messages that are personal and highly context aware. The result is a message that no longer feels like spam, but a personalised communication that resonates well.

Responsibly navigating hyperpersonalisation

Despite the clear benefits, the evolution of hyperpersonalisation also raises some important concerns. As AI grows increasingly adept at tailoring experiences, it is essential for businesses to be mindful of the ethical implications.

Some of the most obvious concerns are privacy, adjunct surveillance, and the potential to reinforce filter bubbles by limiting exposure to diverse perspectives. While there is growing momentum toward responsible AI governance, with efforts aimed at ensuring transparency and fairness, no comprehensive frameworks are in place yet. To navigate these challenges, businesses must strike a balance between leveraging AI for efficiency and maintaining human connections, ensuring that innovation doesn’t come at the cost of consumer trust and societal impact.

AI-powered applications like predictive analytics, content curation, social media management and marketing automation as well as user experience optimisation are already among the most essential cloud-based tools for marketers. It is crucial that businesses set ethical standards for using customer data when hyperpersonalising, where transparency with customers regarding privacy and data usage is a cornerstone.

This could be established in various ways. To start with, businesses should have a rigorous selection process for technology vendors and choose ones that have clear privacy frameworks. Businesses should also strive to set a standard for the usage of AI-powered tools for personalisation, ensuring it remains aligned and in compliance with local laws and regulations, such as intellectual property, data protection and ecommerce regulations.

In doing this, companies can ensure that they are not just meeting customer expectations but also fostering trust, diversity, and meaningful relationships in the process.

By Hyther Nizam, President and VP of Products at Zoho, Middle East and Africa (MEA)