Artificial intelligence and its impact on e-commerce
The so-called fourth industrial revolution is here to stay, and Artificial Intelligence plays a lead role on it. Although its application and use are increasingly common among e-commerce businesses, it is still far from instant success. However, its growth is unstoppable. As this technology analyses more and more data, its accuracy will improve dramatically with time.
Back in 2016, studies predicted that no area of life or business would be isolated from AI. More recently, Gartner predicted that between 2021 and 2022, customers will manage 85% of their relationships with an enterprise without interacting with a human.
AI is here to stay
Artificial intelligence should be a fundamental part of any online business. Interaction with the user demands more and more granularity and personalisation. For example, our platform is powered by AI, and it is thanks to this, our customers can offer a unique and individual shopping experience.
Three-quarters of fashion retailers have said they will invest in AI over the next 24 months. Additionally, e-commerce giant Alibaba invested $15 billion in R&D labs to become the leader in artificial intelligence.
Competition is becoming increasingly arduous. Not only at the technological level but also on the relationship with users and brands. Online users expect a personalised, fluid experience. It is a journey where the items they are looking for are available, and product recommendations are relevant to their style and needs.
There are many examples similar to Alibaba. Large brands and industry leaders are witnessing the imminent emergence of AI as a differentiating agent in the e-commerce ecosystem.
Facebook AI is building the world’s largest shopping social media platform, where billions of items can be bought and sold in one place. They have decided to expand the GrokNet application, their product recognition system, to Instagram and Facebook to achieve this.
GrokNet identifies which products are in an image and predicts their categories and attributes like colour and style. Currently, visual search is focused on Facebook: how to tag products and show visually similar products. Soon, visual search will also be available on Instagram to find similar products just by tapping on an image.
Ericcson and the rise of the smart assistant
A study carried out by Ericcson has shown that smartphone users increasingly rely on digital assistants on their phones for aspirational purchase support while generating interest in smart speakers that drive automation of routine household purchases.
The report indicates that 47% of smartphone buyers would like a service that automatically restocks everyday items. At the same time, 48% want help making purchasing decisions easy, a possible role for a personal purchasing advisor. Also, 69% of AR and VR users believe that the technology will bring all the benefits of stores to smartphones in just three years.
The different uses of AI
Implementing a platform like Recommend in your e-commerce business is essential to provide the differentiator your users are looking for. In addition to optimising the website and analysing the data of your web visitors, our platform is capable of predicting purchasing behaviours and responding to them.
Our Product Merchandising service allows you to make product recommendations based on AI data and predictions. This makes the recommendations based not only on user behaviour but also on the product’s existence and its profitability for the brand.
Our clients can implement visual search on their websites. In addition, we also have available the possibility of doing advanced searches. For example, users can upload images from their smartphones and search for similar products.
Recommend is also a digital marketing platform. The data collected by the AI can be used for all marketing communications: from follow-up messages after purchase to brand communications and promotions. In this case, AI can predict the best results for your campaigns. These predictions are based on the delivery time and the channel: sending the message via email or as a push notification is better.
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If you haven’t implemented a personalisation platform as a part of your Marketing strategy, What are you waiting for? Personalisation is a vital part of any eCommerce business. Recommend allows your business to grow in the right direction while curating a personalised shopping experience for your visitors. Request a demo by clicking the button below: