How many times a day do you scroll on your phone and run into a very personalized ad? How did the experience make you feel?
If you answered “creeped out,” then you are one of millions apart of the current phenomenon, and it is one that is hitting consumers especially hard. According to recent data, slightly more than half (54%) of American adults say that personalized ads are frightening and disturbing to their personal space.
Personalized ads work by collecting user data across websites and apps, using AI and algorithms to build customized profiles, and then targeting tailored information relevant to individual interests. They serve as helpful recommendations in hopes that it will increase user engagement and product purchases over time.
At first glance, these types of ads seem incredibly enticing and convenient. No longer do users have to search for their ideal items because they are now automatically served to them. And no longer do users have to browse hours to find what they need because the ads are embedded naturally. It is modern marketing at its finest.
But the problem is, AI-enabled personalization can oftentimes cross boundaries, usually targeting ads people knowingly did not hand over. AI systems have the ability to pull from more obscure, more predictive datasets, sifting through patterns way beyond the individual’s own capacity. Shopping behaviors grow more detailed, while location becomes a key player in algorithms. Suddenly, the ad that first feels “hopeful” transforms into one that feels scaringly accurate.
This is where consumers are feeling an intense amount of invasion.
Aby Varma, founder of Spark Novus, says this cultural shift has reached a breaking point, “People don’t mind relevance. They mind surveillance. The moment content feels like it’s powered by data they didn’t knowingly give, trust starts to erode. AI is unlocking a new level of personalization, but brands need to approach it with intention.”
While for years, businesses have always said consumers want personalized experiences, today the approach has gone far past personal. Ads that include exactly where we are, how much we have to spend, or even what size we prefer is intrusion like no other. What used to be a strategic method is quietly turning into active distrust across the industry.
Personalized marketing is not working either. According to a recent Forbes article, only 14% of adults say that these types of ads are actually helpful. In addition, just 22% report they feel comfortable with personalization, while 3 in 10 people reject cookies when prompted.
Varma continues to warn that companies may soon face backlash as AI-driven personalization accelerates without proper oversight.
He explains, “The next phase of AI-enabled personalization isn’t about squeezing more signals out of people. It is about clarity, restraint, and explaining why you are using the data in the first place. The brands that win are the ones that will design AI systems that feel respectful, not invasive.”
If this is the new reality, the solution lies in building a new framework that respects everyone’s space. It is one that is built in authenticity, not tracking.
For example, some practical steps to embracing this reality include providing consent and giving consumers more control. If brands want to maximize personalization without going overboard, they must start by letting the users drive the blueprint, while also making permissions more transparent.
Consumers also have the right to understand why they are being fed a particular ad in the first place. The best marketing systems are not just recommending something, they are giving contextual explanations as to how the ad is relatable and why it might be meaningful.
Society is living in a moment where AI and marketing coincide in efficient, yet invasive ways. At one end of the spectrum, the personalization feels promising, but on the other end, it feels like an unsettling challenge.
And although AI is not going anywhere, brands must do all they can now to evolve in this era differently. Tailored ads might seem like progress, but perhaps the more ethical thing to do is to prioritize human beings over creepiness.
