Artificial Intelligence (AI) has been around for years. Since the term was coined, it’s been a part of the lexicon of many entrepreneurs, tech-savvy nerds, and every other individual. Today, Artificial Intelligence has taken the world by storm by quickly disrupting almost every industry vertical including eCommerce. There are chances that you’ve already experienced the radical transformations Artificial Intelligence has brought to the world of eCommerce.If reports were to be believed, AI in Retail and e-Commerce is projected to grow with a CAGR of 42.8%.
To stand out in the fiercely competitive market, online store merchants have to look beyond an appealing eCommerce store development. Advancements in Artificial Intelligence can help you up your game and enter the modern age of customer satisfaction and user experience. In this insightful post, we’ve listed down the top 7 ways of how Artificial Intelligence is re-shaping the eCommerce industry. Let’s look at them.
1. Reduce Cart Abandonment Rate
The average shopping cart abandonment of eCommerce is 67.91%. By leveraging Artificial Intelligence, you can significantly reduce the cart abandonment rate of your eCommerce store. AI can not only help you find out customers who didn’t complete their purchase but also allows you to re-target them with personalized content and entice them to complete the purchase.
With the help of Artificial Intelligence, you can also find customers who are likely to leave without buying. This allows you to capture their attention and compel them to make a purchase by:
- Offering jaw-dropping discounts
- Personalized product recommendations
- Customized interaction
- Sending automated emails
2. Intelligent Search Results
No wonder, Artificial Intelligence can make your online store search engine smarter than ever before. AI-backed search engines track your customers’ search patterns and provide personalized and contextualized search results that help customers quickly find what they are looking for.
With AI, your online store can also remember the search preference of every customer and provide results tailored to them, which in turn, improves your sales and conversion rate.
3 Key benefits of integrating AI to your eCommerce store:
- Relevant and accurate search results
- Results tailored to every customer needs
- Personalized and contextualized search results
3. Combating With Fake Reviews
Ask any online store merchant what’s the most painful thing they have to deal with and you’ll get to know it is receiving fake reviews for their products or brand. Alas! Many merchants are inundated with a plethora of fake reviews by their competitors, which not only puts a dent on their sales volume but also raises a question on their store’s credibility.
Online customer reviews have the potential to make or break your business. According to an article by SearchEngineLand, 88% of consumers trust online reviews as much as a personal recommendation of a friend. Luckily, you can fight against fake customer reviews by using Artificial Intelligence. With the help of AI, you can filter out fake reviews tainting your business reputation and provide authentic reviews to earn the trust of customers and build the credibility of your online store.
4. End-to-End Customer Support With ChatBots
According to a report by Servion Global Solutions, Artificial Intelligence will play a vital role in customer service and power 95% of customer interactions by 2025 including online conversations and live telephone. This may be the reason why many eCommerce store merchants are embracing AI-powered chatbots to provide unparalleled customer support and help customers in making buying decisions in a jiffy.
Apart from providing round-the-clock customer support, AI-powered chatbots in eCommerce are also helpful in:
- Cut down operational cost
- Offer personalized experience
- Eliminate the need for interactive voice response (IVR) systems
- Improve customer engagement and drive sales
- Monitor customer data and provide better insights
- Automate repetitive tasks
- Meet customer expectations
- Humanize your brand
5. Better Inventory Management
eCommerce store merchants always need to keep a check on their product inventory. Having products in excess or falling short of products can lead to poor customer experiences. Fortunately, Artificial Intelligence can help you predict the demand for products by analyzing the past performance of products. With the help of Artificial Intelligence, you can easily determine when you should increase or decrease the stock level.
Artificial Intelligence Can Help You In The Following Ways:
- Track seasonal trends
- Quantitative forecasts for stock levels
- Monitor the past performance of frequently bought products
- Daily stock requirement
6. Product Repricing In Real-Time
When it comes to product pricing, it becomes vital that you define the price strategically in order to retain existing customers and drive potential buyers to your store. However, manually changing the pricing of all your products can not only drain your energy but also kill your product time. In such a scenario, you can seek assistance from a certified expert or use an automated product repricing software to change product pricing in real-time. This will help you drive more customers to your eCommerce store and maximize your sales and profits.
7. Better Decision Making
Artificial Intelligence has made business decision making simpler for eCommerce store merchants. With AI at your disposal, you can gain complete insights into your competitors’ marketing strategy and quickly make actionable decisions that drive your business bottom line.
As an eCommerce store merchant, you must pay heed to Artificial Intelligence, since it is here to stay for years and will continually improve user experience and customer satisfaction. If you want to stand out in the competitive eCommerce world, you must consider the top benefits of AI discussed in this insightful post. Still sitting on the fence and wondering how to make the most of Artificial Intelligence with your Magento eCommerce store? If so, we suggest you seek help from a professional Magento development company. Connect with industry experts by dropping an email to email@example.com.