Artificial intelligence (AI) has already been around for a while. Our regular interactions with AI technology range from our virtual personal assistants to autocorrect and the facial recognition programs we use to access our phones.
Everyone, regardless of Artificial intelligence in eCommerce business or profession.
And, the eCommerce industry is not an exception. In reality, chatbots, a well-known type of AI, have been used by businesses for years.
35% of businesses are already utilizing AI, while another 42% are considering future applications for this technology.
So, with all of the talk about the popular use cases of artificial intelligence in eCommerce and its future, one has to wonder what that transformation will look like in practice.
So, if you are wondering the same, then this article has got you covered. In this blog, we will be explaining the benefits of AI in the eCommerce industry, its popular use cases, the benefits, and other things around it.
Let’s get started.
8 Impressive Benefits of Using Artificial Intelligence in eCommerce
Enhanced Personalizations
AI is also quite good at giving clients a tailored experience through precise product suggestions and advertising.
AI algorithms will filter through massive databases in search of actionable insights into client behavior that will allow them to foresee customer demands and provide customized services accordingly.
To make product recommendations that are relevant to your search, they can draw on the data from your recent purchases. For example, if you recently looked for formal trousers on Amazon, the AI algorithms will suggest relevant products on your page.
Businesses can seamlessly adapt AI in eCommerce through various ways, including AI eCommerce websites, email, and even mobile apps. Personalization is the key to a happy client journey, which is why many eCommerce organizations are utilizing AI for their business needs.
Chatbots and personal assistants
Chatbots are among the most widely used artificial intelligence tools in the eCommerce industry. By 2022, 58% of B2B organizations and 42% of B2C companies were actively using chatbots. 88% of online shoppers have interacted with a chatbot at least once, and 69% of them were pleased with the experience.
AI chatbots employ Natural Language Processing to provide a client-focused search experience as customer support reps. AI chatbots integrated into service channels or shopping carts improve customer engagement and the online purchasing experience.Some of the top AI chatbots, like ChatGPT, Zendesk AI, and Dialogflow, offer a comprehensive customer support solution for well-known businesses like Stripe, Twitter, and Microsoft.
Searching through Images
The customer may occasionally want to look for a product online but struggle to locate it. The typical situation for most shoppers is this. The "search by image" or "reverse image search" capabilities can be useful in this situation.
Artificial intelligence (AI) and sophisticated algorithms can recognize the items that customers are looking for online while conducting visual searches and return comparable results.
Additionally, it can assist eCommerce companies in identifying and tagging product photos. Leading online retailers like Amazon, Myntra, and Nykaa already offer this type of search feature on their ai eCommerce websites so that shoppers can find things using images.
Allowing customers to search for products using photographs can improve their product discovery experience because consumers can find the same item with less effort.
Smart Search
AI is evolving to be more adaptable and flexible to human thought processes. Customers frequently enter inaccurate item names when searching for specific products.
AI solves this problem by providing users with keyword hints, allowing them to select the required products more quickly. Businesses can enhance the visual appeal of their items for customers and related goods in this way.
In addition to the adaptive search bar, AI enhances product and service search by observing how customers find the things they require. The use of AI in eCommerce is to analyze information like what people buy together, what search terms they use to find things and other relevant information.
As a result, AI can provide clients with the items they need, cutting down on the time spent searching.
Automated Product Descriptions
A big part of the customer's decision-making process is influenced by product descriptions. That is why it is critical to write a distinctive, captivating description that shouts, "This is the product you should have!"
This is easier said than done, particularly if your eCommerce site consists of hundreds or even thousands of comparable products. Could you describe each of them? Actually, you can, but it requires months of work from several copywriters.
An AI-based solution can help in this situation. You will be able to create a unique descriptor within a few hours if you use auto-generated product description software. It's interesting that this software also offers dynamic descriptions that are customized for every user. This grants access to a further level of customization.
Automating various tasks
AI in eCommerce is also helpful in automating several tasks, hence reducing the amount of human labor and time needed.
Processes like delivering personalized emails, responding to customer inquiries, and even managing client data are becoming more automated thanks to technology. AI algorithms not only accomplish complicated jobs faster than people, but they can also work around the clock, resulting in greater efficiency in overall business operations.
However, the goal of highly intelligent solutions is to improve the productivity of human work, not to replace it.
For instance, Fukoku Mutual Life Insurance in Japan analyzes medical policy data on surgeries and treatments to determine payment amounts using an IBM technology called Watson Explorer AI, which has helped them enhance efficiency by 30%.
Detects fake reviews
Unfortunately, fake reviews started to affect eCommerce stores and online retailers. In accordance with Dimensional Research, positive online reviews influence 90% of respondents purchasing decisions.
Additionally, 86% claimed that unfavorable online reviews had an impact on their purchasing choices. However, as we all are aware, some fake testimonials have been posted by rival businesses, bots, etc. So, how can AI handle this issue? Nowadays, the role of Artificial Intelligence in eCommerce is increasing drastically, as companies are using it to combat fake reviews by emphasizing reliable and beneficial assessment.
For instance, Amazon employs AI to mitigate deceptive product reviews and star rating inflation on their website. AI is primarily concerned with boosting verified client purchase reviews. AI also takes into account reviews that have been designated as helpful by other users.
Leverage Augmented Reality(AR) to enhance customer online shopping experience.
Augmented Reality (AR) has elevated the online buying experience to a whole new level.
Who would have thought ten years ago that we would be able to use a smartphone app to try on a makeup palette or an evening gown? It appeared to be a science fiction creation.
Here are some ways AI might help you offer a better shopping experience on the web:
- Virtual try-on solutions: Allow clients to try your products such as clothes, shoes, make-up, etc before buying.
- Product previews: This is a terrific option for online stores that sell furniture or home decor. Customers will be able to test out how the product will seem in its intended setting.
- User guides: These provide you the chance to describe how your product functions in an actual environment.
So, make the best out of AR for your eCommerce store and enhance customer experience drastically. You can hire the leading AI development company, who can help you incorporate these amazing features in your AI eCommerce website.
To conclude
Here’s the warp on the 8 best benefits and the important role of Artificial Intelligence in the E-commerce industry. And, we hope - by now you have come to know how AI is shaping the eCommerce industry and the future looks quite bright as well.
From enhancing personalization and customer service to evaluating fake reviews and smart searches, AI has revolutionized the way eCommerce businesses operate and engage with their customers online.
The integration of AI in e-commerce has brought about a paradigm shift, offering businesses a competitive edge and allowing them to adapt to ever-changing consumer demands effectively. With AI-driven insights and predictive analytics, retailers can make informed decisions, ensuring that their products and services resonate with their target audience.
By harnessing the potential of AI in e-commerce, businesses can drive growth towards a prosperous and sustainable future, along with better customer satisfaction, operational efficiency, and coping with market trends.
If you are looking to leverage AI for your eCommerce store, then look no further than Sufalam Technologies. We are a leading eCommerce development company, with a skilled team who will understand your personalized needs and offer best-in-class AI solutions for your business growth.