Effective identity resolution goes beyond separating consumer and professional personas. True personalization involves linking these identities to market to the 'whole person,' allowing for more contextually relevant messaging, such as targeting a professional with IT products during their personal hobby time (e.g., watching golf).

True personalization at scale is not about customizing every touchpoint. Microsoft's strategy is to focus AI models on optimizing for high-intent customer actions, such as 'add to cart'. This ensures that personalization efforts are tied directly to measurable business impact instead of creating noise.

Companies can use AI to generate unique, 'ephemeral software' experiences for marketing campaigns. Instead of a generic Spotify Wrapped-style review, businesses can now affordably create a custom, interactive 'unwrapped' summary for each user based on their specific product usage data, costing just cents in tokens.

Don't try to create a comprehensive "memory" for your AI in one sitting. Instead, adopt a simple rule: whenever you find yourself explaining context to the AI, stop and immediately have it capture that information in a permanent context file. This makes personalization far more manageable.

Modern AI enables hyper-personalization where every email element—copy, images, discounts—is generated uniquely for each shopper based on real-time site behavior. This moves beyond simple segmentation to a one-to-one communication standard.

The key to balancing personalization and privacy is leveraging behavioral data consumers knowingly provide. Focus on enhancing their experience with this explicit information, rather than digging for implicit details they haven't consented to share. This builds trust and encourages them to share more, creating a virtuous cycle.

Instead of batching users into lists for A/B tests, AI can analyze each individual's complete behavioral history in real-time. It then deploys a uniquely bespoke message at the optimal moment for that single user, a level of personalization that makes static segmentation primitive by comparison.

Moving beyond simple commands (prompt engineering) to designing the full instructional input is crucial. This "context engineering" combines system prompts, user history (memory), and external data (RAG) to create deeply personalized and stateful AI experiences.

Avoid the 'settings screen' trap where endless customization options cater to a vocal minority but create complexity for everyone. Instead, focus on personalization: using behavioral data to intelligently surface the right features to the right users, improving their experience without adding cognitive load for the majority.