Artificial Intelligence (AI) is one of the most hyped technologies of the 21st century that many people still liken to something from a future trend. But the reality is that AI has already widely captured the market, and almost every one of us uses AI on a daily basis. From instructing Alexa to play our favorite song to utilizing the face recognition function to unlock our mobiles, AI is all around.
Despite the widespread adoption of AI in our daily lives, it is a little surprising to know that many people still have a vague understanding of this tech trend, and its potential goes unnoticed by the public at large. However, one area where artificial intelligence is gaining the huge attention it deserves is the eCommerce industry.
Why eCommerce Sector Needs Artificial Intelligence
The eCommerce sector has evolved unprecedentedly in the past few years. It’s a no-brainer that eCommerce was the only industry that benefited from the COVID-19 outbreak, hastening the implementation of artificial intelligence in eCommerce businesses. Now, companies have comprehended that leveraging cutting-edge technology is the best way to come up with any market shocks or fluctuations. Therefore, the retail and eCommerce industries started embracing a new trend in their software product development i.e., actively introducing Artificial Intelligence.
In its true essence, AI integration can improve any company’s capability to boost its revenue on multiple fronts. With this in mind, let’s take a closer look at how artificial intelligence can help eCommerce businesses remain competitive at any time under any conditions and improve business revenue.
An eCommerce business is never truly closed because a potential buyer from any corner of the world could visit your website at any time of the day or night. So, it is crucial to deploy some level of customer support service for those visitors who explore your online store during the day and at night. This is where chatbots come into play, as they can provide a round-the-clock service that is not possible with a customer service team.
Chatbots are a form of artificial intelligence that many people are familiar with and have been proven to be effective in increasing the chances of a customer making a purchase on your website and also increasing the average order value.
Chatbots are a great way to provide answers to frequently asked questions of customers. They are programmed to answer basic questions, which helps to reduce the workload of customer service teams and get customer queries answered faster. This is a great benefit for any business in the eCommerce industry, as it helps to improve customer experience and satisfaction. Therefore, the benefits of adding a chatbot to your website are clear and should be taken into consideration when looking for custom software development services.
2. Personalized Marketing
Personalized marketing is an effective way to reach customers in a meaningful and subtle way. AI technology allows eCommerce sites to create unique experiences tailored to each individual shopper.
Companies like Amazon and Netflix have seen great success with this approach; Amazon saw a huge increase in sales when they began recommending products to customers, and Netflix created an AI-powered model for predicting its customers’ interests, which was the most correct of all time. It is clear that personalized marketing using AI is a powerful tool for businesses looking to maximize their customer engagement.
3. Visual Search
Visual search is an innovative technology that is being used by many eCommerce sites to help shoppers find what they are looking for. This technology utilizes AI to analyze a photo that is submitted by the shopper and then provides similar items from the company’s catalog.
Neiman Marcus has seen a huge surge in its business revenue by utilizing this technology, as it allows app users to take photos of objects in the real world and then show similar items from their catalog. Visual search is an excellent way for companies to provide their customers with an easier and more efficient way to shop.
4. Voice Search
Voice search is an AI-powered technology that lets shoppers search for items using their voice. Popular voice-controlled assistants such as Amazon Echo and Google Home enable users to do online shopping, as well as use predictive retail to anticipate what they may need to purchase.
A collaboration between Google and Walmart allows Google Assistant to use a customer’s purchase history to remind them to reorder basic necessities such as toothpaste and then place the order through Walmart.
5. Follow-Up Query Automation
Cart abandonment is one of the major issues that affect eCommerce sales. Consumers often abandon their carts during the checkout process or even before that. Fortunately, AI can help in this regard by automating follow-up queries for every abandoned cart. It will inform you about why your leads abandoned the cart when they were so close to converting
You can use this data to identify and resolve any potential roadblocks that lead customers to give up their carts, such as technical issues, lack of payment choices, delivery circumstances, hidden fees, etc. Once these issues have been addressed, it can result in increased sales.
Artificial Intelligence (AI) has become an essential tool for the eCommerce industry to remain competitive in today’s market. It is fair to state that AI is no longer a technology of the future but rather a technology of the present. AI-driven solutions are helping individuals meet their needs for AI services.
By adopting AI-powered software product development that is suitable for your business, you can expect to see a positive impact on your business revenue. Therefore, it is essential to leverage this tech trend and make your business future ready for any unforeseen circumstances.