THE INFLUENCE OF ARTIFICIAL INTELLIGENCE ON MARKET SEGMENTATION AND TARGETING ACCURACY A CASE STUDY OF SUFI MART, KANO

Market segmentation and targeting are foundational components of effective marketing strategy, allowing businesses to break down a broad, heterogeneous market into smaller, more homogeneous groups of consumers who share similar needs, preferences, or characteristics. By doing so, companies can allocate resources more efficiently and craft marketing messages that resonate deeply with specific segments, ultimately increasing the likelihood of customer acquisition and retention. Therefore, this study examined the influence of artificial intelligence on market segmentation and targeting accuracy with reference to Sufi Mart, Kano as a study area. The study employed both primary and secondary sources of data collection, whereas the primary data was collected using questionnaire and the responses obtained from 194 customers of Sufi Mart, Kano, while correlation and regression was used as method of data analysis. The findings of the study revealed that, artificial intelligence has significantly enhanced market segmentation and targeting accuracy by leveraging advanced algorithms to analyze vast amounts of consumer data. Unlike traditional methods, AI can identify subtle patterns, predict customer behavior, and segment audiences with remarkable precision. The study recommended among others that, Sufi Mart should integrate AI-driven tools to analyze customer purchase history, demographics, and online behavior. Machine learning algorithms can segment customers more accurately based on buying patterns, preferences, and spending habits, allowing for personalized promotions and loyalty programs tailored to different shopper groups in Kano.