The integration of artificial intelligence (AI) in online retail has transformed consumer interactions by enhancing personalization, efficiency, and engagement. This paper explores the adoption of AI tools such as chatbots, recommendation engines, voice assistants, and predictive analytics in digital retail platforms. Through a review of literature from 2015 to 2025, it identifies key enablers like perceived usefulness and trust, alongside barriers such as privacy concerns and technological readiness. Emotional engagement, cultural factors, and ethical issues also influence consumer responses to AI systems. While AI boosts convenience, it raises concerns over transparency, data misuse, and algorithmic bias. The study employs a qualitative approach, analyzing peer-reviewed journals and industry reports. Findings emphasize the importance of ethical and inclusive AI to build long-term consumer trust. The paper concludes by recommending further empirical and cross-cultural research to support sustainable and responsible AI integration in online retail environments.
