10+Applications & Example Use cases Of AI in eCommerce

In today’s smart era, when everything has become virtual, the implementation of AI technology in the e-commerce industry is a significant step towards business development. By adopting Artificial intelligence, e-commerce companies are creating a boom in the global market.
AI technology is really a challenge to the creative and intensive power of human. Its mission is to accomplish something that is sometimes difficult for human employees. With proper coding, AI learns faster and works better compared to human beings.
Now, many people have a query of how firms can use Artificial Intelligence to bring customers together to share experiences around the products? Cool!
Through this article, let us see some of the powerful examples and applications of AI In eCommerce.

AI Applications & Example Uses Cases in eCommerce

#1 AI Creates Customer Centric Search
American startup company ‘Start-Up Clarify’ is AI to improve their e-commerce search results. The initial work of Clarifai’s is focused on the visual aspects of search, and its software is the ‘artificial intelligence with a vision’, as per their website.
The company allows applications developers to create mobile applications with the latest smart features just like those that empower enterprises to enhance a customer centric experience with advanced video and image recognition.
AI technology makes enterprise competitive and accessible to app developers or companies of any budget or size. Leveraging ML, this AI-powered software will automatically tag, organizes and visual searches content by labelling features of the video or image.
A recent update of Pinterest’s Chrome extension is one of the best e-commerce applications examples, allowing users to select a product in any online image, and then request Pinterest to show similar images using image recognition AI software.
#2 Retarget Potential Customers
As per the reports of Conversica, around 33% of leads are not because of sales team. Too often, the sales team fails to maintain the track of the most popular services and products in the market and therefore cannot attract potential buyers interested in the product.
AI technology keeps such customer data and tracks the amount of time they are spending on a particular thing. Taking over this data, Artificial Intelligence responds to the next shopping day of such customers and highlights any offers or deals available with the items searched earlier.
This will definitely help eCommerce business grow.
For example, facial recognition has been using the retail industry in order to capture shoplifters by just scanning their face on CCTVs.
Likewise, some businesses are using the same AI facial technologies to find how many hours the customers are living in their store.
This indicates that if the consumer spends much time on a product, i.e. Jacket, then this data will be stored for the next visit of the customer and offer recommendations based on their interests with excellent discounts and deals on that product.
#3 Creates Efficient Sales Process
We are delighted that all of us have moved on from old sales practices such as selecting trusted yellow pages and pasturing potential customers by cold calling.
Consumers’ lives are now hugely influenced by diverse media, from advertising on traditional media to social media. In fact, for over a year, SnapChat has also been implemented as a viable marketing and sales tool that allows for new opportunities.
If you want to create a strong sales message and create real-time problem-solving solutions that will reach customers on the right platforms, it is best to move forward with adapting AI into your CRM.
North Face, a major eCommerce retailer, is the best example of how a company can grow its sales by using Artificial Intelligence to understand their potential customers well. Using IBM’s AI solution named ‘Watson’; they allow online purchasers to find the Jacket which is suitable for them.
#4 Implements Advanced Virtual Assistants
Everyone knew about the usual suspects like Alexa, Google Now and Siri, which have introduced us to the brilliant idea of speaking with a mobile phone, tablet, and laptop.
Anyhow, the development of many of these virtual assistants has become boring technology for smart users, as it has limited beneficial updates in recent days.
The advancement of virtual assistants is rooted in NLP and the ability of the machine to interpret words or text that human says in their smart devices.
Let us consider Amazon’s virtual assistant, Alexa, as an example of AI in ecommerce.
Alexa has become one of the leading voice tools in the eCommerce business, and it has been integrating other manufacturers’ products along with Amazon’s own products. Amazon.com is an example of this type of electronic commerce company. It is also the largest ecommerce companies by revenue.
For example, using this Alexa voice on Amazon’s Echo device, customers can find local venues via StubHub over the coming weekend, set up a vehicle through Uber on the occasion and even place an order for a pre-context dinner from Domino’s.
#5 Creates Personalization across Multiple Devices
I hope everyone agrees with me that personalization is nothing new to e-commerce, and if you use the Amazon retail store frequently, you will know what our purpose is and what kind of e-commerce Amazon practices. However, with ever-rising advances in machine learning, data science, deep learning, natural learning processing, and artificial intelligence technologies, new levels of deep personalization has begun to penetrate the eCommerce world. ( Refer : AI Service Advancements)
The latest AI engines like BoomTrain sit on multiple consumer touch points to help analyze how shoppers interact with online stores.
Whether it’s a website app, mobile app, or email campaign, the AI engine algorithms frequently monitors all channels and devices to create a universal consumer view. This unified shoppers view allows online retailers to provide great customer service.
So, the next time a user browses for the mobile pouch on the website, he/she will get notifications on his/her mobile phone declaring the flat discounts on mobile pouches.
#6 Provides Personal Touch with AI Chatbot
The whirlwind of technological advances has altered consumer expectations, and the eCommerce industry is now focusing on building customer experiences, not the mass market. There are a lot of touch points that create purchases for customers.
The new AI Chatbot is a powerful tool that is programmed to communicate with users and resolve their issues with thoughtful AI solutions. Chat bots contribute to the convenience of online shopping because they have learning capabilities and therefore understands the requirements of the consumers.
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By analyzing the customer’s behavior and customers’ specific query, it directs them to the target products. The AI Chabot works 24 × 7 and more importantly, provides a personal touch feel. This is why consumers increasingly accept it.
If brands wanted to survive for many years, this is one of the great business strategies that should be implemented. One of the ways chat bots use AI is through the app to navigate the conversation in this next era of communication online trading.
#7 Empower store Employees
Although the eCommerce industry has experimented with AI chatbots, there has been some thought concerning how the store can be a helpful encounter.
Here is the article that illustrates the difference between “Conversation AI and deep learning”.
The home improvement shop, Lowe is the best example of such an artificial intelligence implementation. Lowe has launched the autonomous AI robot with the name ‘LoweBot’ in the 2014 year.
The tall shopping assistant warmly welcomes consumers at the door, guides them across the retail store, sources match with product details, and helps store workers with inventory management.
It supports Lowe enables their accomplished store employees to take part in progressively relevant communications with clients.
#8 Identifies Exceptional Target Opportunities
The modern and innovative AI software will arm e-commerce companies with the timely intelligence needed to solve various enterprise challenges like sales or lead generation.
Mintigo, the predictive marketing firm offers AI solutions for CRM systems, sales, and marketing. Using this software, Getty Images has generated a large number of new leads by just capturing data showing which firms have websites that feature images from Getty’s competitors.
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#9 Bridges Gap between Privacy and Personalization
Whenever it comes to discussing the topic of personalization, there is often a trade-off with concerns to user privacy. User privacy has been a hot topic in recent years, with its importance considered stronger than ever.
When discussing the topic of personalization, trade-offs often come with issues relating to consumers privacy. Privacy has been one of the buzzing words for many years, and its importance is stronger than ever.
Brands have been putting many efforts in taking security, honesty, and transparency to a whole new level. To accomplish this, retail brands that have played a vital role in any successful e-commerce venture cannot afford to give up consumer personalization.
So, how can eCommerce retailers solve this problem? Most of the brands believe that AI technology is the right solution for solving this kind of problems.
Customers can share their personal details without any doubt on the promise that they will get back something worthwhile.
For example, if you give Google Now access to your account, it will sync your calendar, emails and search habits.
Every morning, it greets you with a brief briefing about what is currently on your plate and informs you if you will be late for work due to train cancellations.
For instance, if you provide Google Now access to your eCommerce store account, it is automatically syncing your emails, calendar, and search products.
Every day, it wishes you with a briefing on what products are on your plate and notifies you if you are late due to missing of the train.
The world’s leading eCommerce store, largest ecommerce companies by revenueon also has the same technology for their everyday life. The latest and virtual shopping assistant keeps your daily routine in the first place and also facilitates with the day-to-day household chores.
Recently, Amazon has also introduced necessary AI intelligence to Alexa to purchase on behalf of the customers.
#10 Fake Reviews
Fake reviews have been the most complicated problem for eCommerce products as well as online retails stores.
As per the reports from Search Engine Land research, 88% of customers read product reviews and trust those as much as they believe in personal product recommendation.
But over time, consumers face fake reviews published by other brands and especially, competitors.
In order to combat this, many brands use AI technology to eliminate these fake or negative reviews and assist purchasers with authentic comments on the brand or product. This helps greatly to provide best online shopping experiences.
Future of AI in eCommerce:
Artificial Intelligence is going to have a huge impact on the e-commerce industry. AI ensures that online shoppers get a simpler, faster, more personalized, more comfortable, more seamless hopping experience than ever before.
Considering the high level of competition between online retailer stores, it is very important for store owners to maintain high customer expectations in order to stay competitive and improve their ecommerce business.
Wrapping Up
Artificial Intelligence offers a wealth of benefits to the eCommerce Industry that other technology does not provide. This will change the eCommerce world and will undoubtedly improve the way customers find products online.
The eCommerce boom may happen, but if you need your eCommerce site to flourish, you need more than just a mobile application or website; you required modern technology like Artificial Intelligence.
AI enables eCommerce retailers to analyze thousands of customer interactions every day and target offers to a single consumer – a dream every marketer has to offer.
USM Business System specializes in providing custom solutions for clients across the world. If you required an AI eCommerce platform, an AI solution, we are there for you.
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