AI and the Future of E-Commerce: Personalized Experiences

In a competitive market like e-commerce, Artificial Intelligence (AI) is already transforming the market and helping to create personalized shopping experiences for consumers.

With the help of AIs, it is possible to collect and analyze a large amount of data about consumer behavior, such as their purchasing preferences, browsing history and interactions with the website or application. This information allows Artificial Intelligence to create detailed profiles of each customer and offer products and services best suited to their needs and desires.

We list below 5 examples of artificial intelligence in e-commerce. Check out!

1 – Autonomous recommendation showcases

The use of AI in e-commerce allows the creation of individualized and automated showcases of items according to the consumer’s profile. This analysis takes place in real time, through the user’s purchase history, demographic data and browsing behavior.

In this way, artificial intelligence can identify the best position for each item in the window, which products are most likely to be purchased by each user, as well as adjust product prices based on real-time data, such as demand, and competitive pricing.

2 – Service via chatbot

Another way to provide personalized experiences in e-commerce is chatbot service, which are computer programs that simulate a human conversation and can help consumers answer questions, solve problems and make purchases.

In specific situations, where it is not possible to solve the demand just using the chatbot, AI allows the service process to be accelerated by identifying all important information and directing the customer to the responsible sector.And with AI generative with chatGPT on the rise, bots are evolving super fast and allowing to provide more specific and humanized service. The adoption of this type of tool creates a more pleasant and satisfying experience for the user, while optimizing employees’ time.

AI can also be used to facilitate the search for products in online stores, through advanced algorithms that make the search more accurate and relevant to the user.

A good smart search for e-commerce should have:

Speed

Speed has become an essential concept these days, especially when it comes to online shopping. In this sense, an efficient and agile search is fundamental. Currently, it is possible to present search results in a matter of milliseconds, while the user is still typing in the search box on the page itself. With this, he doesn’t have to select an autocomplete option, press the “enter” button and wait for a new page to load to see the results. This process is extremely valuable, and generates a usability experience for the user.

phonetic similarity

The ability to identify the similarity of sounds between words is crucial for an effective intelligent search, known as phonetic similarity. This ability allows artificial intelligence to recognize the similarity between words with different spellings, such as “pants” and “calsa”, and display relevant results for the user’s search.

Phonetic similarity is a key feature, allowing the AI to display search results correctly even if typos or spelling errors occur. This functionality is vital to improving the user experience and ensuring surveys complete successfully.

Automated color search

Searching by color is a common practice in e-commerce, especially in the fashion market. It facilitates the research of the most determined consumer, who already knows what he is looking for and even the color of the item.

This functionality already exists in search engines without artificial intelligence. The difference is that in smart search this feature can be done automatically, through AI image recognition. This reduces possible errors and demands for work on the part of employees.

Behavioral search

With the evolution of big data and artificial intelligence, it is increasingly common to use data to carry out behavioral analysis of navigation. Based on this information, it is possible to offer a personalized and therefore more satisfactory experience to Internet users.

The intelligent search of an e-commerce can also do this through behavioral search. To do this, artificial intelligence follows every step of the customer from the moment he accesses the store until the moment he decides to leave the website. Everything is taken into account, including clicks on categories, products or virtual storefronts and searches performed.

In this way, the search is able to display the most relevant results according to the profile of each consumer. And this information is recorded even if he leaves the site and returns later or on another day.

Voice search

Voice search is an essential feature in an intelligent search system for e-commerce. It is performed through speech recognition, with this technology, it is possible to automatically transcribe the user’s speech in real time to the search field, allowing the search to be carried out quickly and easily. Normally, the user can activate voice search by clicking on the microphone icon and dictating what they are looking for.

Image search

Image search is a very useful and accurate feature to find desired products in an intelligent search engine for e-commerce. Instead of typing in a textual description, the customer can simply upload an image of the product or take a photo on the fly.

Based on image recognition technology, artificial intelligence is able to identify and compare the visual characteristics of the image with the product catalog images, presenting corresponding or similar results. Furthermore, if the customer wishes to search for more than one item, he can simply select the objects of interest in the image and the search will be performed more precisely.

4 – Cart recovery by email marketing

Another application of artificial intelligence in e-commerce is the recovery of abandoned carts through email marketing. As with the technologies mentioned above, the main advantages of this type of application are automation and customization.

As soon as the intelligence identifies the abandoned cart, it collects all customer data, consumption profile and steps taken during navigation.

AI can optimize the display frequency of remarketing campaigns according to user behavior, ensuring that messages are not displayed excessively or inappropriately. Customize remarketing messages according to user preferences and behavior, increasing the chances of conversion.

5 – Pricing of products

When it comes to the pricing of e-commerce products, artificial intelligence can help analyze the prices of similar products from competitors and provide insights to help determine the optimal price. In addition, it can analyze historical sales data and predict future demand for a product, helping to determine the ideal price. An AI can also monitor market conditions in real time and dynamically adjust prices to maximize revenues and help efficiently control inventory.

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