How AI takes content personalization to the next level

written by Viktoryia Danko
Published: March 21, 2025
9 min to read
How AI takes content personalization to the next level

Ever opened your favorite app, scrolled for a bit, and felt like nothing was worth your time? The posts seem random, the recommendations miss the mark, and within seconds, you’re closing the app.
Now, picture another scenario. You open another app, and the first thing you see is something that immediately catches your interest. You scroll down, and every post feels like it was picked just for you. Before you know it, you’ve spent an hour reading, watching, and engaging.

Both experiences come from personalization, but one gets it right, and the other doesn’t. And in both cases, artificial intelligence is likely to be behind the scenes, deciding what shows up on your screen.

Today, AI shapes content recommendations across industries – from streaming platforms and eCommerce to news apps and corporate learning.

But how exactly does it work? How did we get from simple recommendation lists to AI-driven hyper-personalization? And what does it take to build a system that truly understands what users want? Let’s break it down.

Evolution of content personalization

Personalization isn’t new. Long before AI, businesses used segmentation to tailor content for different audiences. Retailers grouped customers by demographics, email marketers customized subject lines, and TV networks curated programming based on broad audience preferences. It was basic, but it worked – at least to some extent.

Then came the digital era, and companies like Amazon, Google, and Netflix changed the game.

For example, Amazon’s “Customers who bought this also bought” feature introduced in the 2000s was an early attempt at AI-driven personalization. This feature relied on collaborative filtering and machine learning models to suggest content based on user behavior, drawing patterns from large datasets.

Amazon’s ‘Customers who bought this also bought’ feature

But as digital interactions grew, so did expectations. Users didn’t just want relevant recommendations; they wanted content tailored to their specific interests in real-time.

Today, AI personalization isn’t just about past preferences. Advanced models use natural language processing, computer vision, and generative AI to adapt recommendations dynamically, predicting what users will engage with next.

This shift is so significant that many argue modern personalization is in a league of its own. Is it even fair to call it the same as the personalization introduced in the 2000s? Not really.

That’s why the term “hyper-personalization” emerged – to describe a level of customization that feels almost intuitive, as if the system truly understands the person behind the screen.

Gen AI and LLMs for hyper-personalized content

Like we’ve already mentioned, hyper-personalization goes beyond traditional recommendation systems. It doesn’t just suggest content – it adapts, responds, and even anticipates what users want. And today, this level of personalization is being shaped more than ever by generative AI and large language models (LLMs).

LLMs don’t just analyze user data; they understand context, tone, and intent. Unlike earlier AI models that relied mainly on past behavior, LLMs process natural language in a way that feels genuinely human.

This allows them to interpret search queries, messages, or even subtle feedback with high accuracy – resulting in recommendations that feel more relevant and personal.

But understanding is just one part of the equation. Generative AI also generates as it comes from its name. Instead of simply retrieving pre-existing content, it can generate dynamic responses, summaries, and even entire pieces of content in real time.

One of the best examples of gen AI in action is chatbots. Chatbots powered by generative AI leverage transformer-based models like GPT, allowing them to process user input in real time, generate context-aware responses, and adapt dynamically to different conversational styles.

For instance, a chatbot can adjust its tone based on a user’s mood, while a learning platform can reshape explanations based on a student’s progress.

Explore our AI-driven question-answering system for learners

Our solution offers 24/7 student support, boosts engagement rates, and allows teachers to dedicate more time to high-level instruction.

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AI-driven question-answering system for learners

And the more users interact, the smarter these systems become. By continuously analyzing engagement patterns, LLMs refine their recommendations, making each interaction more precise than the last. This ongoing learning process is what makes hyper-personalization feel less like an algorithm and more like a system that truly “gets” the user.

Gen AI for hyper-personalization

Gen AI for hyper-personalization

Why hyper-personalization matters

Where there are customers, there’s a need for personalization. Every industry that interacts with people – entertainment, eCommerce, finance, healthcare, education – relies on tailored experiences to keep users engaged.

The ultimate goal of AI-driven personalization is to create a more personalized customer experience.
Companies implementing AI-driven personalization see concrete business benefits. McKinsey research shows that it can:

  • Reduce customer acquisition costs by up to 50%
  • Increase revenue by 5–15%
  • Improve marketing ROI by 10–30%, with some companies reporting revenue growth of up to 25%

Beyond customer engagement, AI-driven personalization also optimizes operations. Large language models (LLMs) automate content generation and data analysis, allowing teams to focus on strategy rather than manual customization.

And here are the key benefits you receive after improving customer experience with the help of AI-driven hyper-personalization:

Higher engagement

Users respond better to content that aligns with their interests. AI systems analyze behavior to adjust recommendations in real time. Personalization ensures that users find relevant content faster, reducing drop-off rates, whether in eCommerce, media, education, or other industries.

Improved customer retention

Consistently relevant content builds long-term customer relationships. For instance, AI-powered banking apps track spending patterns to provide financial advice, while healthcare platforms adjust patient recommendations based on medical history. These targeted interactions increase trust and retention.

Operational efficiency

AI simplifies decision-making by filtering large volumes of information. In healthcare, for example, AI tools help doctors access the most relevant research, while in corporate environments, AI curates training programs based on employee performance. This reduces information overload and improves productivity.

Cost optimization

Personalization minimizes wasted marketing spend by targeting the right audience with relevant offers. Travel platforms, for instance, use AI to suggest vacation packages based on past searches, improving conversion rates without increasing advertising costs.

Data-driven decision making

AI continuously analyzes customer behavior, refining recommendations and business strategies based on real-time insights. In education, AI-driven platforms track which learning methods are most effective, allowing educators to adjust courses dynamically.

The benefits of AI powered personalization

The benefits of AI powered personalization

AI-driven personalization in education

But there are areas where engagement is key, like learning and education. Because a student who isn’t engaged is a student who isn’t learning effectively.

Personalization can ensure the highest levels of engagement, and AI can ensure the highest levels of personalization. Here is how.

Adaptive learning platforms

AI-powered learning platforms don’t follow a one-size-fits-all approach. Instead, they analyze a student’s progress, identify strengths and weaknesses, and adjust lessons accordingly. AI ensures that education moves at the right pace for each individual, whether it’s slowing down to reinforce a difficult concept or accelerating for advanced learners.

This approach is especially beneficial for students with learning differences such as dyslexia, autism, or ADHD. By tailoring content delivery, AI helps create an inclusive learning environment where every student has the best chance to succeed.

Learn how Aristek developed an AI tool for learners with reading and writing disorders

Thanks to our solution, learners with dyslexia can focus better, which improves their comprehension and reading flow.

For the customer, this solution ensured adherence to the digital accessibility standards, reduced content creation time by 70%, and cut content processing and update costs by 65%.

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AI adoption of content for learners with dyslexia

Virtual assistants and educational chatbots

AI-powered virtual assistants act as 24/7 study companions, answering questions, providing explanations, and guiding students through lessons. Unlike static FAQs, these chatbots engage in real-time conversations, adapting to the learner’s progress and offering relevant support.

For teachers, these tools serve as valuable aides – handling repetitive queries, generating quizzes, and even offering feedback on assignments. By automating routine tasks, educators can focus more on interactive teaching and student mentorship.

Learn how our team built an AI-powered content generator for knowledge assessment

With this tool, tests can be generated automatically, which makes the work of teachers and content creators much easier.

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AI-powered content generator for knowledge assessment

Intelligent communication support systems

In digital learning, fast and accurate access to information is critical. AI-driven communication support systems enhance this by enabling instant, context-aware interactions.

For example, AI-powered Q&A systems help students find relevant answers without digging through endless materials. Whether it’s clarifying a complex math formula or summarizing a historical event, these systems provide precise, structured responses in real time.

Instructors also benefit from AI-driven analytics that track common student queries, helping them refine course materials and address learning gaps more effectively.

Learn how we developed an AI-driven tool for generating material summaries

Our AI-driven tool streamlined content summaries, reducing student overload and helping educators focus on teaching.

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AI highlights generator

How Aristek can help you

For over five years, we’ve been designing and delivering AI solutions that solve real-world challenges. Our experience spans industries, from education and eCommerce to healthcare and beyond, giving us the expertise to tackle complex personalization needs.

Whether you’re looking to integrate personalization features into your existing product, build an AI solution from the ground up, or optimize your current systems, our team is ready to assist.

We follow best practices to ensure your solution is not only effective but also secure and scalable. By working in small, focused teams, we keep costs manageable without compromising on quality.

Let us help you create AI-driven experiences that truly resonate with your users. Contact us.

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