7 Major Benefits of Artificial Intelligence in eCommerce Business
AI refers to that technology that helps various entrepreneurs to expand an extra product carrying decision-making and the ability to learn and also helps in improving the business efficiency and profitability.
There are mainly three areas, those are data processing, natural language processing, and machine learning. The AI usage process begins with data collection and is followed by understanding human and computer behavior and developing the algorithms to solve various business problems by providing the best deals.
Particularly for different eCommerce businesses, AI is quite important as it helps various companies to find customers, and communicate with them by using chatbots, facilitating sales, classifying customers-facing online surveys, etc.
Let’s have some knowledge about some of the benefits, and how to use AI in eCommerce in your business.
Exploring the Benefits and Implementation of AI in eCommerce: A Guide for Business Owners
1. Virtual Assistants and Voice Commerce
eCommerce virtual assistants use different machine learning and language processing technologies to understand user queries and provide essential support accordingly. Some of the AI assistance from which we are all familiar like Apple’s AI Siri, Amazon’s AI Alexa, and Google Assistant.
Every eCommerce business can prefer virtual assistants as they can be easily available 24/7 and can tackle customer’s related inquiries without any problem. AI can perform various actions, from product research to inventory management.
Voice commerce is a technology that let users make purchases or do some searches using their voices. The users mostly choose voice commerce as it is convenient and fast.
2. eCommerce Personalization
It refers to the process of choosing the online shopping experience depending on the needs, pain points, tastes, and preferences of the customers. In further words, it is the practice of personalizing the online shopping experience by showing reliable content to the customer based on their previous purchase history, click-through, browsing behavior, etc.
It refers to a great tool to connect the customers, encourages them to repeat purchases, and increases conversion rates.
With the advances in AI and machine learning technologies, the fast-growing world of eCommerce has been piercing new deep levels of personalization for quite some time.
With the help of AI, you can take advantage of customers’ liking to increase their buying with personalized product recommendations. At the time of the checkout process, give them discounts according to their buying categories or brands.
3. Smart Search
Most consumers move directly to the search box just after entering an eCommerce website. As a result, these consumers are most likely to convert than the ones simply browsing. The problem here is that they have to find what they are looking for.
AI can considerably help in eCommerce by doing Smart Searches. Searchandising is the name of the practice that combines “search” and “merchandising”, which merges online search practices with merchandising techniques.
4. eCommerce Automation
Today’s online shops need to be accessible 24/7 and on multiple channels. Automating customer support can save time, energy, and operating capital for eCommerce businesses. AI plays an important role in helping various eCommerce business owners.
With the help of AI, it is possible to mechanize everything by showing new items on various channels coordinating sales, implementing discounts to loyal customers, recognizing high-risk transactions, and many more.
5. Retargeting Potential Customers
Remarketing is reminding the existence of your brand and its products to your target audience. The reason for a retargeting strategy is to reach the users who’ve already engaged with your platform. These users already have purchased from you in the past, or they might have abandoned the buyer’s journey at some point.
Using AI in your retargeting campaigns is quite useful and cost-effective since retargeting decreases the cost per impression. In addition to that, retargeting places your brand at the forefront of the consumers’ minds. So next time they want to buy something, you will be the first one that pops into their mind.
6. Location-Based Intelligence:
AI in eCommerce allows businesses to increase access to customer location data, and follow them to drive targeted marketing campaigns and offer location-specific products and services. This personalized approach increases customer engagement and improves marketing effectiveness.
7. Effective Transportation:
AI can optimize the delivery process by giving real-time tracking, route optimization, and delivery time predictions. This makes sure that the right product should be delivered to the right person at the right time, which helps in improving customer satisfaction and reducing delivery errors.
It’s quite important to note that, although AI offers various benefits to eCommerce businesses, there may be various challenges and considerations to keep in mind. These may include the initial investment which is required for AI implementation.
Overall, the addition of AI in eCommerce can guide to improved customer experience, increased conversion rates, optimized operations, and increased marketing strategies. If you also want to add AI to your platform, custom eCommerce website development services are at your service