As AI catches on across luxury, brands play up their emotional value

This story was first published by Digiday sibling Glossy.

As artificial intelligence becomes embedded within luxury operations, from marketing and personalization to inventory and clienteling, brands are increasingly doubling down on what technology cannot replicate: emotional connection.

Over the past decade, luxury has relentlessly optimized for ROI, investing heavily in data, CRM systems and performance marketing. And at Shoptalk Luxe, vendors and brands alike described deeper AI integration than ever before, with automation now underpinning everything from media buying to e-commerce search. But as growth slows and consumers become more selective, executives are questioning whether efficiency and scale alone can sustain long-term value.

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‘Our marketing is not a bullshit machine’: Why Perplexity is investing in targeted, organic growth

As the race for AI platforms to dominate consumer adoption reaches a fever pitch, tech behemoths like OpenAI, Meta and Google are showing up on marketing’s biggest stages. AI startup Perplexity, however, isn’t convinced by the mass-market playbook to reach users.

“Our marketing is not a bullshit machine,” said Jesse Dwyer, head of communication at Perplexity, who doesn’t see the traditional SaaS business model readily applying to the AI landscape.

The customer acquisition conundrum

Instead, Perplexity is banking on its name carrying weight to keep current users engaged and attract new ones, especially the high-level professionals its targeting. The platform received 780 million queries in May, CEO Aravind Srinivas shared at Bloomberg’s Tech Summit last summer.

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