Artificial intelligence is more than just a buzzword today. 2017 witnessed big developments in AI technology and now it is deeply embedded in almost every aspect of our everyday lives. AI in e-commerce has worked its way into different sectors and e-commerce, in particular, has been significantly transformed with the acceptance and growth of AI.
In today’s highly competitive world, staying relevant is of great importance and innovation is the key. With intensified competition amongst e-commerce retailers, making your business efficient and highly visible in an extremely crowded playing field is challenging.
And AI delivered through the cloud is what you need to have a competitive edge. AI has emerged as THE prime technologies in the e-commerce industry. A cut-throat market, the increasing number of brands, increased marketing touch points, and several other factors influence customer behavior, and pose challenges to the market players. Furthermore, serving every single customer with a customized personal experience is crucial to success. Well, imagine managing all of this manually. E-commerce players have started adopting AI and data analytics to create personalized experiences that provide customers with the convenience of online shopping and consistent and personal shopping experience. Several companies are backing AI based personalization for e-commerce as it will eliminate the room for error and increase the efficiency of services.
Deploying AI in E-commerce sites will deliver better services and engagement on the customer end and improved operations on the business end. Embrace the transformation and achieve results. Let us have a look at how AI will benefit your E-commerce business.
Table of Contents
1. Make Predictions Related to Sales or Services
Almost every e-commerce retailer wants to know his customer’s mind. When are the customers likely to purchase and what would they like to buy next? Machine learning tools enable modeling and analysis of various business niches with large amounts of customer details. Instead of meticulously working your way through huge data sets, AI proves to be effective in handling customer data, visitor predictions and customer behaviors. AI has made it easy to analyze purchasing patterns and gain a deeper understanding of consumers’ wants and marketing needs. In addition to the personalization based on the buying history, e-commerce retailers can communicate with customers in real time with relevant offers. This information can be used to foresee the products that customers might be interested in, and customise products according to personal preferences of customers.
2. Provide Better Customer Services at Lower Cost
The use of AI automated responding has many benefits like a faster response to customer queries and uninterrupted customer support. Automating processes and eliminating redundancies becomes easier with AI. Handy “chat now” boxes are useful to customers when shopping online. Most of the chatbots are programmed to help with any questions customers may have. Artificial Intelligence and NLP have made the chatting experience and customer service more intelligent and personalized. With AI’s machine learning and advancement, it has become easier for E-commerce shops to offer 24*7 support to its visitors. Automated chatbots communicating effectively with customers improves customer service and experience, and conversion rates. It speeds up response time and reduces the associated costs of in-house customer representatives and call center services.
All this leads to:
- Increased brand reputation
- Zero wait time
- Fast resolution
- Higher customer satisfaction
- Prompt escalation
- Superior service solutions
3. Earn Higher Customer Satisfaction and Sales
Personalized marketing campaigns with effective communication ensure enhanced customer service which further leads to happy customers. Effective use of an AI-driven sales process enables personalized responses based on the customer’s history, needs, and specific wants. AI makes it possible to make product recommendations, set prices, offer personalized ads and send targeted emails. AI enables conversational commerce, which certainly boosts customer satisfaction. This translates to customer retention and improved sales.
4. Optimized Shopping Experience
Machine learning and intelligent analytics can be used to provide up-to-date and personalized content. Optimized shopping experiences are improving with artificial intelligence. Customers can navigate the range of products for sale more easily. Understanding of personalized recommendations, in-depth data about customer preferences and customer behavior helps provide a better online shopping experience. Many platforms are using AI for automation, quick checkouts, enhancing the shopping experience.
5. Customer-centric search
AI has the power to provide recommendations on what could work visually with a specific product. This technology makes it easy to recognize a specific item or recommend similar variations. Consumers are likely to abandon their e-commerce experience due to the irrelevant product results displayed. NLP improves search by narrowing and contextualizing search results for online shoppers. Advanced image and video recognition are also empowering e-commerce to develop a customer-centric experience. AI in e-commerce leverages machine learning to automatically tag, organize and visually search content by labeling features of a video or image. Reduced time makes searching much easier and user-friendly, which improves conversion rate and boosts E-commerce retargeting opportunities. This technology will help in building an AI-driven customer system which will boost the efficiency of the service.
6. Reduced Manual Tasks and Automated Back-Office Processes
Management of product data and manual mapping of products is a time-consuming and error-prone task. Automation can be of great help. Artificial intelligence can be used effectively in e-commerce; automation takes over and performs these repetitive tasks. It simplifies backend workflows. Different tasks from scheduling sales, publishing new products on multiple channels, recognizing high-risk purchases and offering discounts to loyal customers, etc. can be automated. Automation has made it easier for e-commerce retailers to execute routine operations and scale fast.
To sum it up, AI in e-commerce is needed in today’s business environment. It not only saves cost but opens up several new opportunities. Get started now to use it effectively and reap its manifold benefits now.