The Personalization Paradox: How AI-Driven Green Marketing Can Advance Sustainable Consumption Without Triggering Consumer Skepticism

Raghava B S raghavbs007@gmail.com

Dr. Ganesha K S

Abstract

The convergence of artificial intelligence (AI) and sustainable consumption presents a defining challenge for contemporary marketing: how to leverage personalization technologies to encourage pro-environmental behavior without eroding consumer trust through privacy violations or greenwashing perceptions. This article synthesizes recent empirical evidence to demonstrate that personalization can significantly enhance sustainable consumption when implemented through transparent, reasoning-enabled AI systems that prioritize ethical data stewardship. Drawing on the Technology Acceptance Model, Privacy Calculus Theory, and emerging research on chain-of-thought reasoning, we propose a framework for "trustworthy personalization" that balances behavioral influence with consumer sovereignty. Our analysis reveals that perceived personalization and transparency jointly enhance trust, while privacy concerns exert a direct negative effect on consumer engagement rather than merely moderating other relationships. The findings suggest that organizations can overcome skepticism by adopting "glass box" AI architectures that articulate the reasoning behind sustainable recommendations, thereby reducing cognitive load and building credibility. We conclude with actionable strategies for marketers seeking to harness personalization's potential while navigating the complex ethical terrain of data-driven sustainability communication.