Artificial intelligence- The Renaissance for E-com
developer | May 18, 2021
“As Quoted by Sir Stephen Hawking- AI is likely to be either the best or worst thing to happen to humanity”
Market channels work on the phenomena of DISRUPTIVE BUSINESS MODEL-with disruptions being short term process-
Earlier the commerce activities were mostly localized with people struggling to get access to their choice of product for their business or trade activities. E-COM paved way to make the world- “Single biggest market”, as it widened the domain for search for a merchant and opened a wide and otherwise distant market for every consumer. Thus, each customer had options and businessman had blue water market.
But now after achieving localization of global market, time has come for another paradigm shift in the E-COM industry.
E-com industry has achieved the unachievable, hitting a wall with profitability coming to stagnation. Thus, the next big thing is Artificial Intelligence, commonly known as AI – intelligence displayed through machines, negating consciousness and emotionality.
E-com is buying and selling of products and services through internet.
Hereafter, laid down are few ways in which e-com can assimilate AI and provide services to their customers.
Increase in Brand recognition
Focusing on current pandemic situation, E-com is an all-time high market. AI in E-com can be used to gather, compile and process customer data, their buying behavior through analyzing their shopping carts, and utilize the same to perform targeted sales.AI can automatically figure out what a customer requires, what is he browsing, his search filters and thus attracts him by pitching and providing the right product. Thus, converting potential buyer into customer and hence increasing the brand equity.
E.g.- Pinterest provides a wide platform of relevant data to choose from, as per users choice, once he selects or opens a particular image, picture or item to look after.
E-com sites like Amazon, Flipkart etc. uses this customer data and provides wide platform of relevant products. More the variety, more are the chances to buy a particular product.
Demand Supply Equilibrium
AI furthermore helps in deriving from the data, which product is at a higher demand in a particular region, so to increase the sales and hence demand supply equilibrium is maintained, which in turn increases the profitability.
Realignment of Potential customers–
Once a customer spends certain time browsing a particular data, a particular shelf of products, the information is stored until the next visit and thus retailers utilize this data by putting their entire efforts to retarget their customers.
This includes providing hefty discounts as well as combo offers to the customers on the relevant products of their choice.
Creating concatenation for Personalized Shopping
With the implementation and advancement in AI, a sequence or string of relevant products is created. Deep level of personalization began to penetrate into the E-com world. AI application continuously monitors your handsets, your desktop and laptop searches, thus creating a universal customer view. This enhances a customer’s search by providing strings of similar / supportive products.
=> For instance- If a potential customer is browsing for a particular product,
E.g.- A cellphone, the websites flashes perennial, continual ads of flash sales on phone, along with it’s get along accessory products like back covers, head phones, pop-up socket etc., so as to provide their customers a variety of useful products on the same platform, saving their time and efforts, adding personal touch to customer experience leading to customer satisfaction and further customer delight.
In addition, to overhead illustrations, a personal touch has been provided with initiation of chatbot, commonly known as CONVERSATIONAL COMMERCE.
This establishes a conversation with human users over internet. More the use of CHATBOT application, more are the chances to increase potential customer by providing accurate solutions to customer query.
Proper and appropriate reply to customers doubts increases the chances of the product being purchased on a faster note.
Proper reply to a customer query brings you close to your potential customers leading to customer satisfaction and building trust for that particular product.
Online chats still remain the fastest and most convenient means of communication for visitors.
Tackling Fake Reviews
Handling of fake customer feedback remains the foremost and premier initiative of Artificial Intelligence.
Customer review plays an important role in customer’s buying behavior. Buying behavior of a customer can be hampered through deceptive reviews. Before buying a particular product, customer firstly go through the reviews of other buyers which can either initiate or lessen the sale of the product.
Thus, use of “ASTROTURFING” to negate the fake reviews and comments through use of AI, has led to increase in customer trust, building brand equity and becoming partial to particular product.
Automation in warehouse processes has paved way to boost e-com purchase.
Artificial Intelligence helps in providing solutions by streamlining a product’s PICK & PACK process. AI incorporated Robots works 24/7 with increased efficiency and accuracy leading to reduced human errors, and enhancing employee safety to a greater extent.
Price Management policy
Not only increasing the brand recognition and brand equity, along with accuracy in delivery, Incorporation of Artificial Intelligence has led to Price Management by providing proper pricing solution to various business.
Artificial intelligence helps in tracking prices of your competitors, determining product price-base data from external and internal sources. Deep market research and data analysis leads to pricing of a product, whereas a sale of a product in a particular region, its demand etc. leads to setting up the competitive prices for the same.
Introduction to Personal Shoppers
Allotting a personal guide or a shopper who has an entire knowledge of the products across the shelf is assigned to assist a customer online, leading to boosted E-com sales. This is mostly used by apparel / accessory-based Apps like MYNTRA, AJIO, CLOVIA etc. where a customer needs assistance and guidance to find the right product of their choice. Personal shoppers eradicate the time-consuming process of ticking check boxes. Directly interacting with shoppers and engaging in conversation for shopping assistance is a new way of enjoying an online shopping experience.
It gives a chance to shopping websites to provide HAUTE COUTURE clothing experience by providing proper fit, appropriate design and required shade of clothing range as desired, to a vague customer, increasing and boosting sales and thus increasing customer satisfaction.
It is said that – LONELINESS IS AND ALWAYS HAS BEEN THE INEVITABLE EXPERIENCE TO MANKIND.
Thus, to abolish this crucial and bad phase in a person’s life- Artificial Intelligence has led to introduction of various voice assistant devices like ALEXA & SIRI.
=> ALEXA & SIRI -thank you for being my lonely time companion. You listen to me when I have no one to talk.
AI has contributed to this voice assistant area to a large extent. These devices have made day to day life an easy-going process.
These reduce physical involvement in regular household chores. Various household functions and office operations can be operated through phones and these devices using voice assistance. AI has given a new ERA of innovation towards human life.
Be it GOOGLE, APPLE or AMAZON, all have captured this area of innovation by incorporating wide variety of features in their respective products.
E.g.- ALEXA has this most unique feature of executing major house or office operations on a single voice command. Online order placement and online payments also an additional feature of AI helped us in going contactless and cashless in this modern era of plastic currency.
These devices are a source of entertainment, and also helps in monitoring devices like A/C, Refrigerator etc.
Wrapping up the entire artefact, we get to a conclusion that Artificial intelligence may have led dehumanization leaving many of us jobless, but in the long run it has opened & unlocked a gateway for business & e-com by achieving unfeasible targets and better experience which every marketer dream of providing to their customers.
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