Artificial Intelligence (AI) has progressed to the point where it has an impact on economies and trade. Considering its impressive advancement, many eCommerce platforms have used different forms of AI to understand their target market’s buying behavior, and offer relevant products at the right time through reliable analytics. Given the increase in competition across global eCommerce markets, they have also used this tool to identify competitor strategies and stand up against many market challenges. In fact, according to studies, the number of businesses adopting AI grew by 270% in just four years, making it the most disruptive technology according to IT leaders worldwide, surpassing data analytics.
To really see how AI can be beneficial to eCommerce companies, take a look at the benefits it can provide:
Personalization
Personalization is the practice of customizing online shopping experiences by displaying products and prices to customers based on their purchase history and browsing behavior. This is an excellent tool for increasing buyer satisfaction, which leads to higher conversion rates and repeat purchases.
Although personalization was already used in eCommerce even before AI through email listings and demographic segmentation, the technology became a significant contributor as it allowed companies to penetrate new levels of personalization in a timely manner, enabling optimization and real time analytics. Given the volume of products and content available to eCommerce businesses, AI technology enabled them to easily and quickly analyze consumer data on the spot, a task that would take a significant amount of time to complete manually.
Automation
AI plays a significant role in increasing the productivity of eCommerce companies. Through it, all processes, such as pricing, inventory, and warehouse management, may be automated, along with many other repetitive tasks, allowing them to focus on more pressing business functions and simplify workflows in the front- and back-end. Unlike manually doing work, AI robots can be used to store or retrieve inventories and stocks 24/7 and immediately dispatch orders following payment. Especially for B2B eCommerce, this allows companies and customers alike to engage in a faster, yet more accurate transaction
Searchandising
Searchandi sing is the process of combining “searching” and “merchandising,” allowing eCommerce companies to use customers’ search practices and behaviors in their merchandising techniques. This is made possible by AI, which enables them to incorporate advanced marketing components such as recommended product listings, autocompletion of search fields, and navigation, and utilize them to provide personalized search and shopping experiences for increased engagement.
Chatbots
eCommerce companies operate 24/7, allowing customers all over the world to purchase and transact from wherever they are, regardless of time differences. To ensure that product and order concerns are handled 24/7 without any trouble, AI allows eCommerce businesses to use chatbots that are developed through machine learning, with the capacity to understand user inquiries and provide the necessary support accordingly.
The AI Experience
With all of the benefits that AI technology provides for eCommerce businesses, it is clear that it drives innovative solutions to improve customer experiences, which is an important component in any business. To stay one step ahead of competitors, fashion distributors should use eCommerce platforms that integrate AI, such as Kingpin. Send a message to see what solutions it has for you.