Artificial Intelligence (AI hereafter) is changing the way retail banking operates by transforming customer interactions, improving service customization, and impacting brand loyalty. This study explores the effect of AI-driven marketing initiatives on consumer brand preference and repurchase intention in Pakistan's retail banking sector while examining the intricacies between AI marketing efforts, brand experience, brand preference, and repurchase intention. Chatbots, digital banking platforms, and personalized suggestions are examples of AI technology that banks are incorporating to increase customer engagement and strengthen brand relationships. The study uses a quantitative approach, gathering information from 300 banking clients in Lahore, Pakistan, via a structured survey. The study deploys mediation analysis using structural equation modeling (SEM). Results show that AI-powered marketing initiatives greatly improve brand experience, which in turn has a positive impact on repurchase intention and brand preference. Brand experience is a key factor in mitigating the effect of AI marketing initiatives on customer loyalty, according to mediation analysis. These findings highlight AI's ability to increase brand engagement, which adds to the expanding body of studies on the topic in banking.