Emotional Artificial Intelligence (Emotional AI) is a transformative branding tool that enables companies to analyse and respond to consumer emotions in real time. Emotional AI improves consumer engagement and fosters brand loyalty by combining affective computing, consumer trust theory, and the technology acceptance model (TAM). This paper explores Emotional AI’s role in personalising interactions, enhancing sentiment analysis, and boosting customer retention. However, implementing Emotional AI poses ethical concerns like data privacy, emotional manipulation, and algorithmic bias. These issues underscore the need for ethical AI governance to maintain consumer trust and ensure responsible use. The study proposes a theoretical model to assess Emotional AI’s impact on brand sustainability and suggests future research directions. By harmonising technological advancements with ethical practices, brands can utilise Emotional AI for enduring success, consumer trust, and sustainable operations.