How can AI Transform E-commerce? E-Commerce Transformations That You’ll Surely Appreciate
When it goes about artificial intelligence, a lot of people think about science fiction books and Steven Spielberg’s movies. Nevertheless, AI is just around the corner right now, and it is not always related to human-like robotics.
Speaking about e-commerce, a lot of modern companies already use algorithms and technologies that take their businesses to the next level. You can easily find a software development website, AI tools for online retailers, opportunities to optimize customer experience and make better decisions.
10 E-Commerce Transformations
Go anywhere these days; artificial intelligence is spreading in every industry. When it comes to eCommerce, you can reduce cart abandonment, develop voice search, focus on your target audience, improve the customer journey, retain customers, and so on.
This technology can target advertisements to attract your potential customers on various websites and social networks and get closer to consumers with an outstanding level of personalization and personalized messaging.
Let’s look at some opportunities that AI for eCommerce comes with.
AI is a pretty powerful tool that is able to extract valuable insights and predictions out of huge datasets. When AI eCommerce is applied to pools of customer data that modern businesses accumulate, this technology can reinforce brand loyalty and boost sales.
For example, AI can generate helpful product recommendations. It processes information about each customer’s previous activities, including:
- Website visits;
- Wishlists, etc.
With this data in the toolbelt, AI suggests the necessary products exactly when they are needed. To get the most out of this technology, an eCommerce business should implement it across all platforms it uses. Whether it is a website, mobile application, or newsletter, you should reach your customers with the most suitable offers.
Besides, personalized suggestions do more than just generate revenue, and they also improve customer experience.
#2. Customer Support
Obviously, consumers in 2021 are looking for a smooth and personalized shopping experience. Their expectations are rising, and retailers should develop comprehensive solutions in order to meet them. With artificial intelligence in eCommerce, companies can handle various challenges simultaneously, for example, with chatbots.
Chatbots are automated programs that are powered by machine learning. Customers ask questions, then a program interprets them and generates answers in a normal human conversation manner.
This tool is especially helpful for providing 24\7 customer support. Chatbots don’t need pauses, time for sleep, or personal life. They provide immediate answers as soon as they receive a detailed problem description from a customer.
Besides, chatbots are necessary when it comes to repetitive issues that will otherwise take employees’ time and affect their performance. Right now, eCommerce intelligence lets you stay in touch with your customers round the clock.
#3. Search: Visual and Voice
In the same way that online marketplaces have supplanted physical stores and mobile apps have gained immense popularity, more and more customers are choosing voice search to shop. For example, in the United States, more than half of home speaker owners place orders using artificial intelligence.
Voice assistants today not only confirm the order but ensure the speed of the process and a human, personalized response. In the coming years, this technology will develop even more actively.
AI shopping helps with a wide range of tasks, and making better decisions is one of them. If your company wants to get a bigger picture, forecast sales, manage results and resources, it’s time to implement AI in your marketing strategy.
In particular, this technology improves targeting so you can get information about:
- Where your leads are coming from;
- How they manifest themselves in social networks;
- What gender and age groups should be your focus.
Plus, AI allows you to discover consumers who are interested in your products but shop from your competitors. Knowing this information, you will be able to design a marketing campaign targeting them.
If you are considering introducing any innovations, you probably want to assess their chances of success. For example, analyzing historical and market data with e-commerce machine learning will help you understand how a new product launch will affect a company’s success.
#5. Robots in Stores
Obviously, robots are getting smarter every year. And this opens up new opportunities for the development of artificial intelligence. Now machines can work not only in warehouses or online markets, but they can also interact with consumers directly, making the work of employees easier.
You may have heard of robots like the LoweBot, and PadBot P3 programmed to perform basic tasks. For example, they greet consumers at the entrance to the store, answer standard questions, help find the goods they need, and call the manager if the issue requires human intervention. Automating these routine processes helps store employees focus on more creative work.
More sophisticated robots are expected to appear in stores, in particular, to ensure the safety of employees and customers.
#6. Warehouse Management
Optimizing logistics, delivery times, and storage space has long been one of the biggest challenges in retail. Well, artificial intelligence can handle this.
By studying long-term patterns of customer behavior, the AI system accurately predicts the types and quantities of required items in different warehouses. By using AI in business, you don’t have to worry about product spoilage, delivery time, overflow costs, and more.
#7. Virtual Assistance
As the role of AI in business evolves, retailers are able to make online sales as personal and personalized as visiting physical stores and interacting with real-life consultants.
A virtual assistant is required for the following functions:
- A quick search for necessary goods, information about their availability;
- Full product descriptions, additional information;
- Ordering without technical difficulties;
- Selection of similar products;
- Informing consumers about discounts, profitable receipts, announcements.
The number of virtual assistants has grown several times due to the fact that during the pandemic, many stores were forced to work online. However, this growth is expected to only progress and technology to advance.
#8. Fraud Prevention
Counterfeit products and fake reviews are other challenges for retailers that artificial intelligence can help tackle.
There is no point in explaining how strong the impact fake reviews can have on your company. They do not talk about your quality, but they affect the decision of the customers, and therefore the reputation of the brand.
Of course, you can delegate this task to your employees, but the problem is that they can only view a few records at a time. On the other hand, business intelligence for eCommerce has access to all current reviews at the moment and relies on sentiment analysis to determine real and fake reviews.
This mechanism can also be used by companies to detect fake products. Artificial intelligence tools will allow you to analyze third-party sellers, post their messages, products sales, and testimonials.
#9. Product Tagging
Automatic product labeling is another benefit of AI for retail. It is a real challenge to deal with catalogs that contain hundreds of thousands of products. Many of them are of the same type but differ in material, size, color, etc. Organizing a digital catalog will make it easier to find products and save a lot of time and effort.
The AI system will be a great solution for product classification and labeling, which will keep human intervention to a minimum.
#10. Dynamic Pricing
Undoubtedly, AI eCommerce platform comes with various perks. In addition to them, it can generate pricing suggestions based on financial intelligence from your competition. With this tool in your belt, you can be ready for the market fluctuations and respond to them as quickly as possible.
You’ll also have constant access to the information about other companies’ changes that will help you change your assortment and generate creative solutions.
About the Author!
Aston Rhodes is an experienced content creator and marketing expert from the IT company JatApp. Aston has been helping authors improve their blogs for over 5 years and turn this hobby into a business. She does research and discussion on tech-related topics. She enjoys sharing her experiences with a like-minded audience and writes about software development, digital marketing, business, career, and more.