Abstract

This study examines the readiness and adoption of Artificial Intelligence tools in digital marketing among Nigerian SMEs. Despite the growing global use of AI technologies such as machine learning, chatbots, and predictive analytics, adoption in Nigeria remains limited. Using a mixed-methods approach, the study combines survey data from 210 SMEs with in-depth interviews of 15 digital marketing professionals in Lagos, Abuja, and Port Harcourt. AI readiness is assessed across five dimensions: infrastructure, organizational capability, strategic alignment, workforce competence, and the regulatory environment. Findings indicate moderate awareness of AI but low implementation, constrained by poor internet connectivity, limited technical expertise, lack of localized solutions, and insufficient investment. Although enterprises recognize AI’s potential to enhance marketing efficiency and customer engagement, most lack structured adoption strategies and face system integration challenges. The study identifies key barriers and enabling factors and proposes a strategic roadmap for scalable AI adoption, emphasizing digital skills development, improved cloud infrastructure access, supportive policies, and local innovation support.

Keywords: Artificial intelligence, Digital marketing, Nigeria, SMEs, Technology adoption, AI readiness, Marketing innovation