Artificial Intelligence and Brand Engagement: The Moderating Role of Digital Knowledge in Emerging Markets

Articles in Press

Document Type : Original research

Authors

1 Faculty Member atSharif Policy Research Institute, Sharif University ofTechnology, Tehran, Iran

2 PhD in Marketing, Department of Business Management, Faculty of Social Sciences, University Of Mohaghegh Ardabili , Ardabil, Iran

3 M.Sc. Student in Cognitive Science, Institute for Cognitive Science Studies (ICSS), Tehran, Iran.

Abstract

This research investigates the influence of Artificial Intelligence (AI) on Brand Engagement (BE) in emerging markets, focusing specifically on Iran. The study analyzes the roles of System Performance Expectation (SPE), Human Behavior Recognition/Identification (HBRA), AI Understanding/Perception (IQA), and Adaptive Portfolio Strategy (AIS). Furthermore, it evaluates Digital Knowledge (DK) as a moderating variable. Data were collected from 386 active users of financial digital platforms (e.g., Aap, DigiPay) and brand-focused platforms (e.g., Digikala, Snapp) in major Iranian cities using a 5-point Likert questionnaire. The data was analyzed via Partial Least Squares Structural Equation Modeling (PLS-SEM) in SmartPLS 3, following a stratified cluster sampling method. The validated results indicate that SPE has a significant and positive effect on both HBRA and IQA. HBRA positively influences IQA, AIS, and BE. IQA significantly enhances BE, yet its effect on AIS is found to be negative and negligible. Importantly, Digital Knowledge (DK) positively moderates the relationship between HBRA and IQA, but has no significant moderating effect on the relationship between HBRA and BE. This study underscores the critical importance of system transparency and digital literacy, providing a vital framework for managers operating in emerging markets.

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Main Subjects

Science and Technology Policy Letters

Articles in Press, Accepted Manuscript
Available Online from 17 December 2025

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History

  • Receive Date: 19 September 2025
  • Revise Date: 24 November 2025
  • Accept Date: 26 November 2025

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