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5 Ways Artificial Intelligence is Empowering E-Commerce Industry
By: Admin Posted on: August 20, 2019 Category: ECommerce

The progressive advancements of Artificial Intelligence are brewing a howling storm in the eCommerce sector. Today’s generation relies heavily on the internet and social media channels for online shopping. With consumer behavior changing within a short span of time, it becomes critical to figure out what will work in the upcoming days since selling online depends significantly on the relationships a business develops. AI, sequentially, is helping businesses go beyond the ground of a brick-and-mortar store and establish trust as well as strong connections with digital shoppers.

The basic idea behind the Artificial Intelligence is to utilize the power of AI, machine learning, and automation through the world of internet. Nowadays, when AI solutions are automating the tedious working pattern and equalizing the brand performance to user experience effectively, the possibilities for e-commerce getting more and more of the market is becoming boundless. And that’s only fair.

So, How Does Exactly Artificial Intelligence Afford a Host of Possibilities for your business?

With such an extensive scope of e-commerce business, it won’t be wrong to say that the online retail sector may benefit from the AI in more than one way. In fact, e-commerce represents over 20 percent of global AI/ML investments across various industries. AI technology is not only presenting new opportunities for online retailers but also for consumers.

While online businesses now can alter the ways in which business-to-consumer transactions take place, internet users now have access to a broad range of services and tools that enable them to find better deals, receive coupons, gauge prices, and locate near stores easily. There’s no denying that AI is bringing about a paradigm shift in our conception of fictional technology and its role in the future of work. That’s why it’s only appropriate for organizations, growing their business online, to keep this pertinent factor on the front of their mind. Below we have explained in what ways AI is transforming the e-commerce industry and how it enables you to integrate AI-based solutions in your digital marketing strategy to improve the commerce experience.

Virtual Assistants and Chatbots for Real-Time, Instant Response

AI-powered Chatbots are emerging out as inventive and interactive agents to provide quick, dedicated support by establishing a personalized connection with the consumer. They operate similar to a ubiquitous associate that guides internet users through your business processes and the required steps to address common roadblocks and questions. Not only does it allow online retailers to provide uninterrupted and fanatical customer support but also accentuate their brand value in the market.

Around 89 percent of customers’ queries that require immediate attention usually are overlooked by brands, according to a study conducted by Sprout social.

The study also indicates that the average wait time for businesses who respond to consumers’ messages is around 12 hours. And by the time, you take action and reply to their query, the visitor takes their business somewhere else, and you lose the opportunity to convert a lead into a potential buyer. A chatbot indeed can be your silver bullet in terms of:

  • Providing 24/7 immediate, efficient assistant so consumers don’t draw away to your competitors
  • Creating a real-life conversation experience in line with the customer’s typing pattern
  • Helping internet users discover the best deals and make a purchase
  • Identifying their problems and providing the appropriate answers and fixes
  • Resolving advanced-level issues such as product information, payment dispute, etc.
  • Minimizing the need for human assistance by enabling consumers to serve themselves
  • Generating leads and increasing sales conversions as well as repeat orders

Improved Customer Reach

E-commerce businesses capitalizing on AI can develop effective personalized advertising to target a specific group of consumers, both domestically and internationally. Instead of setting up one universal ad, businesses now can design customized advertisements to reach target users and eliminate the guesswork in recognizing the latest shopping patterns and purchasing behaviors. With more data available to retailers through various AI tools and touchpoint, they can develop productive customer segmentation and profiling strategy and tailor their offerings in accordance with customers’ choice. Points of interaction, like past purchase behavior & loyalty programs, enable you to trigger relevant content and promotions so you can successfully draw high-quality traffic and constructively impact their purchase decisions.

Behavioral Retargeting Ads

AI and marketing automation tools are also used to build more functional retargeting strategies and improve your overall profits. In this, you can keep track of your bounced traffic (after they leave your website) and show them the relevant ads based on their previously searched products and preferences. You can create and distribute retargeting ads on renowned social media channels, such as Facebook and Instagram, where they are more likely to see it. You can use AI-powered services, such as Artudata, to read preceding custom actions taken by people and then target ads to the highest value audience group.

Rise of Voice Search

Voice assistants are another fascinating example of Artificial Intelligence technology. With the emergence of voice-activated devices, more and more people have started using voice assistants for online shopping and internet browsing.

Conversational or voice commerce is gaining popularity for its personalized approach and convenience. It makes the consumer shopping experience more interactive and easier by automatically matching their specific requirements and curating recommendations. As a result, online businesses are now empowering their users with the power of voice recognition for better commerce experience and analysis. In a nutshell, AI and machine learning provide manufacturers and distributors with modern e-commerce solutions to not only infuse a unique voice to their online brand but also get a competitive advantage over other companies.

Personalized Recommendations

Either by popup or text, Artifical Intelligence uses unprecedented improvements in machine learning tools like predictive analytics and algorithms to read search queries and process various complex and standard tasks. AI harnesses forests of data from multiple source points and adjusts to new inputs to predict patterns in consumer behaviors and offer personalized recommendations. The products or services suggestions are determined by people’s past purchases and their browsing activities on the site.

Renowned brands, like Amazon, have been providing AI-powered suggestion services to recommend products, offer tailored search results, and personalize marketing and sales funnels on the fly. In this manner, businesses can effectively engage and interact with their target markets and also customize consumer interaction, thereby delivering improved user experience. From the customer’s perspective, recommendations make it easier for them to discover the best offering of what they are looking for.