The arrival of artificial intelligence (AI) has served as a significant factor in revolutionizing several known industries in the present day, including the eCommerce industry.
FREMONT, CA: The eCommerce industry is rising at a remarkable pace, which is now on a rise of 15 percent every year of the retail sector that comes from the eCommerce industry in the United States. Artificial intelligence tends to be the driving factor to the current expansion in the eCommerce industry and plays a crucial role.
As per a survey carried out in more than thousands of eCommerce retailers, nearly 80 percent of the merchants have taken up one or more AI tools in their businesses to flourish. The credit goes to the recent rapid development and implementation of machine learning, computer vision, and reinforcement learning. Companies now get to use new eCommerce solutions. It is possible because of the improved marketing standards of the industry.
AI integration in the present day helps many retailers to identify the patterns and datasets in order to create a customized experience for buyers. It is considered as a unique approach to marketing, which is more effective than any of the other deployments ever. Additionally, online stores have now offered high-tech experiences that involve chatbots and voice assistants.
Starting from NLP technologies included in the product search to machine learning algorithms involved in dynamic pricing, AI has brought multiple benefits in the eCommerce industry. Product searching is known as the most crucial feature on any eCommerce platform, which allows the customers to find products relevant to their interests via keywords. Product search makes use of a combination of Natural Language Processing (NLP) and computer vision to improve the search further via images and keywords.
Apart from providing the most relevant results during a product search, the eCommerce industry also relies on machine learning and NLP techniques to keep the customers engaged. The AI models have the potential to evaluate the browsing history and shopping trends of a specific customer, and then suggest product recommendations that are appropriate to their requirements.
Several eCommerce platforms also make use of dynamic pricing tools keeping in mind the product sales. Dynamic pricing, powered by big data, and machine learning algorithms, helps in adjusting the product prices in real-time depending on specific factors. It includes the inventory and the supply and demand projections as well. Furthermore, the model also tends to help in predicting future prices also.