2026, Vol. 7, Special Issue 1

Extensive use of Artificial Intelligence has been on the rise in recent years, including in marketing fields where companies use AI to understand customers better and target ads according to their preferences. This paper explores how companies use their customer data for personalised and targeted ads and whether they are following the use of data ethically and responsibly. This paper aims to understand the relationship between data ethics, privacy concerns, and AI in sustainable marketing practices. Through a literature review, many research papers were examined to analyse what experts in the field have to say about this topic. We looked into how AI tools used by companies collect and use customer data for better marketing strategies and what ethical issues arise. In this paper, we found out how AI can help create more personalized and targeted ads that attract consumers and how serious issues about customer privacy concern consumers about how their personal, sensitive data is being used without their full knowledge and consent. Our paper proposes that companies must be more transparent about the use and collection of customer data and should follow ethical guidelines to protect consumer privacy. Our research concludes that, for true sustainable marketing, companies must strike a balance between the use of AI technology and data ethics and consumer privacy, following the regulations to make sure that the use of AI does not compromise the individual’s rights.