When Benjamin Franklin discovered electricity, no one at that time would have predicted the revolutionary transformation it would bring in everyone’s life. The momentous event has etched its mark in the long history of humanity. The next big thing is already transforming many industries. AI has fascinated us for centuries and has made its place as a recurring theme for science fiction movies for past many decades. Now, AI is revolutionizing the E-commerce industry and it has not only enhanced the customer experience but also sky-rocketed the profits for companies like eBay and Target.
How AI Can Lead to More Profitable Customer Experiences
1) AI to Provide Better User Experience in eCommerce
In e-Commerce market, the big players such as Amazon, Flipkart, eBay and Snapdeal are adopting AI to better cater to their customers’ needs. The retailer, Target has partnered with Pinterest to utilize the latter’s visual search tool in its app and websites. This will allow Target’s customers to click the product of their choice and find similar products in the store. So, the customer even without knowing the name of the product could search for it with images snapped in their smartphone while visiting a foreign country. LensKart in India has also exploited the power of AI by letting the customers try different shades in their store without physically being in store helping them choose the best ones that accentuate their personality while shopping from the comfort of their homes.
2) AI to Provide Better Services at Lower Cost
Administrative costs in the healthcare and many industries are rising exponentially and industry experts predict that Artificial Intelligence, can help curb these. It has already made great leap of progress by processing X-rays and detecting cancer cells effectively. Chatbots, for example, can help businesses save on customer service costs by:
- Speeding up response times
- Freeing up agents to perform more challenging work
- Answering up to 70% of the routine questions
Not only this might lead to cost reductions of up to 30%, it can also help achieve a rather customer-centric approach to doing the business.
3) AI to Optimize Customer Searches and Recommendations
Some of the AI-powered strategies such as visual search and recommendations are reaping unprecedented rewards for brands and retailers to help them find the products they have in mind and thereby, helping them increase the conversions. Go Find, for example, invites its users to upload a picture, based on which, it returns similar results including price ranges and (online) stores. Amazon’s Echo Look uses a camera combined with artificial intelligence, to become your personal assistant that recommends which look suits you the best.
4) AI to Generate Sales through wearable technology
AI-enabled technology has enhanced the abilities of wearable devices and as per the statistics, around 115 million wearables were shipped in 2017 alone. The main market players like Xiaomi, Fitbit, Garmin and Huawei and Apple have equipped their products with customized assistants that help wearers to excel at specific tasks.
In ways we might not imagine, AI is definitely shaping our lives. It is also playing its part in our decision making. In particular, its ability to self-teach and improve the performance of a task at hand over a course of time is the technology marvel we all have been waiting for all these years. To conclude, I would say, it is here to stay and stay for good!