Artificial Intelligence is gradually becoming embedded in all aspects of our lives, perhaps most noticeably in how we shop. In AI in Retail we discussed how businesses are able to use AI to learn more about us as shoppers in physical stores, but there are also many powerful and practical ways AI is being used in E-Commerce. This spans product recommendations and targeted ads, to chat-bot services and customer review analysis.
Chat-bots and Virtual Assistants
By using digital assistants in place of employees in ‘hot desk’ roles, businesses can ensure 24/7 support is available, without needing to hire people to work unsociable hours in typically less busy times.
Chat-bots serve multiple functions, as they can provide customer service through links to FAQs to answer queries and solve problems, but can also be set to find personalised deals and offers, using deeper insights automatically. Additionally, chat-bots have self-learning capabilities, allowing constant improvement of Natural Language Processing (NLP), eventually developing to a point where chat-bots will be able to hold verbal conversations with customers.
Here are some technology companies leading the way with chat-bots and virtual assistants:
Intelligent Product Recommendations
A MyBuys study conducted for over 100 companies saw that when product recommendations were utilised, conversion rate increased by over 900% versus the websites normal levels of conversion.
AI in E-commerce is able to utilise knowledge of past purchases and searches, alongside other browsing habits in order to maximise conversion (I.e. email reminders for abandoned baskets). This has seen a number of benefits, such as increased customer retention and repeated sales.
Here are some technology companies leading the way with Intelligent Product Recommendations:
Balancing supply and demand can often feel tricky, with the risks of a dreaded ‘SOLD OUT’ message appearing as a product gains popularity, or being left with immovable stock due to overproduction. AI is now able to offer amazing insights into combining predictive data (taken from customers as seen earlier) with historical trends and combining the two to make sure your stock levels stay as you need them.
AI enabled inventory management takes into consideration anticipates changes in product demands, potential supply-related issues and sales trends from previous years.
Here are some technology companies leading the way with Inventory Management:
The Future of E-Commerce?
The opportunities presented by AI for e-Commerce are huge, from the ability to analyse millions of daily interactions, to targeting offers down to a single customer. By implementing AI into your e-Commerce business, you will not only be saving money and resources, but potentially increasing your profits through higher conversion rates and customer returns.
AI technology is set to revolutionise e-Commerce in the next few years, changing and improving the way consumers find online products. Getting AI implemented into your e-Commerce business is growing in importance, as the evidence suggests that AI-driven platforms will soon be vital to the success of e-Commerce. Here at Geniusly, we can get you started on the journey to utilising AI in your business, and maximising your potential.
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