You’ve probably heard about artificial intelligence (AI) unless you’ve lived under a rock for the past several years. But how might artificial intelligence be applied to eCommerce? Well, AI is starting to permeate every part of our existence. There are ever more self-checkout cash registers and advanced airport security systems, so artificial intelligence is pervasive.
With industry Goliaths like Google and Microsoft already pouring heavily into new AI programs, AI is widely believed to go into turbo drive in the next few years.
One of the anticipated investments as the prospects of such technology become a reality is Google’s recent £400 million takeover of start-up DeepMind, the artificial intelligence business that focuses in algorithms and machine intelligence for good impact.
The focus on developing AI in eCommerce as a new revenue source has previously been known by other big IT businesses, such as IBM, Facebook, and Alibaba.
Hundreds of articles predict that artificial intelligence will take over the industry if you search for AI online.
In addition, the latest poll by Business Insider found that by 2024, up to 85% of engaging customers would be addressed automatically. Many e-commerce businesses already utilize AI to boost customer loyalty, generate more leads, and comprehend customers.
The Future Of E-COMMERCE:
Not just for the show, artificial intelligence is a cutting-edge innovation. The application of AI can affect a variety of organizational business operations.
By being aware of its components, you can better understand how artificial intelligence might impact your business.
Techniques like machine learning, computational linguistics, and data mining are all in the broad definition of AI technology.
- To develop estimates, data gathering collects both recent and historical facts.
- Machine deep learning uses prior information or instances to assist in problem-solving. To analyze data properly, deep learning relies on layering algorithms.
- How people interact with computers and how they understand spoken language are the main research topics in natural language processing.
Since its recent development, AI technology has become a powerful tool for boosting sales and optimizing corporate operations. As far as AI in eCommerce is concerned, even tiny enterprises are now focusing and investing in AI after watching the success of Amazon, Walmart, and Alibaba. We are now seeing several new projects worldwide, including Neom is all evidence of it. So, we can surely say that AI has a bright future in every industry, including eCommerce and others.
Let’s look at some organic examples from the above statements regarding AI in eCommerce benefits.
- Retarget potential customers.
Poor maintenance and follow-ups result in 33% of leads being thrown away, according to Conversica. Because of this, companies cannot leverage digital platforms to reach a bigger group of potential clients. Intelligent AI solutions for e-commerce help businesses make wise business decisions. Intelligent AI solutions analyze client search data and time spent on individual products. AI and ML apps extract important information to help businesses make wise decisions.
E-commerce companies are using artificial intelligence (AI) to help them target customers based on their search patterns. If customers spend a lot of consideration and time on a product, their data will be saved, and AI programs will offer them customized offers and discounts.
- Mobility, traffic, and online navigation services
Modern cities serve as the best-case study for how individual mobility patterns made possible by GPS and traffic monitoring systems may provide critical information to recommend a route and advise a vehicle to avoid traffic jams. AI plays a big role in analyzing and pushing improvements to urban surroundings and how people move around.
The use of navigation devices could seriously harm the transportation system. Every navigation system provides recommendations that make sense to drivers. In personal navigation assistance systems, it is critical to research the genesis of collective phenomena at the urban level.
- Metadata Generation
High-quality metadata to innumerable files and records may seem time-consuming and tiresome, despite its clear advantages. You might lack the labor to sift through millions of text, images, and videos to find pertinent keywords in your eCommerce model. Even though you have the resources, that might not seem like the best use of your staff. Artificial intelligence (AI) is finally living up to the promise thanks to machine learning and AI developments that reduce human effort while producing exceptional outcomes.
AI can lessen work, and, in some situations, AI can raise the metadata’s quality. Most often, initiatives you might not have the time or resources to complete fast if you had to can be made possible by intelligent technologies manually. Even better, these systems pick up new skills as they go along, enabling them to produce ever-improving and more beneficial results over time. Machines can also aid in reducing and eradicating the errors that individuals are prone to since they never get weary or bored.
Here’s an easy illustration: How quickly could the quickest data analyst search through 500 documents for any occurrences of social security numbers, mark those papers as sensitive, and then finish the search? Perhaps a few days. It can be completed in minutes, if not seconds, using intelligent information management AI. We’re referring to the power of that nature here.
- Content Moderation
Artificial intelligence (AI) has a huge range of potential uses in content moderation across all business models, notably in the eCommerce industry, because of its ability to recognize patterns and predict outcomes. It offers precision and accuracy that human moderators cannot equal. Let’s begin by discussing the major influence that AI in the eCommerce sector has had on the online content filtering procedure. First, it can harm moderators’ mental health. The repercussions seem severe.
- Increasing Precision
The accuracy of online content filtering has advanced to a new level with artificial intelligence (AI) and machine learning (ML). AI automatically filters the content using object detection, keyword filtering, and other classifiers before it is sent to the queue for the moderators. Machine learning automation should always be fed data to perform with greater precision. As a result, the human review process is expedited and improved.
- Filtering of Content & Automation
Manual content moderation has grown difficult for human moderators due to the abundance of user-generated content on social media sites. It is essential to protect all internet platforms against harmful and destructive content. Automating the entire process while filtering the content types is possible with AI in eCommerce using online content moderation. While highlighting them, it automatically analyses the texts, videos, and other graphics. Additionally, it categorizes and filters objectionable content while blocking its posting. AI assists brands in maintaining user safety on their platforms and speeds up the work of human moderators.
- Live content control
Analyzing the real-time content submitted to social media platforms every second is one of the most significant applications of artificial intelligence in online content moderation. You must moderate real-time user-generated content data to secure your platform’s user experience. The AI-enabled solution aids automatic content moderation systems by instantaneously identifying the type of content and flagging it before publication. One benefit of automated moderation is that it protects the platform from harmful and malicious information that may otherwise disturb users’ thoughts.
- Natural Language Processing
Analyzing the behavior of your prospective and present consumers is one of your aims if you own an online store. Using natural language processing, you may find out what terms or expressions your customers use to look for or discuss certain goods or services on your eCommerce website. This information can enhance your marketing plans and increase sales, brand recognition, product quality, and company expansion.
- It lowers the cost:
Employees have extra time to work on other activities when repetitive jobs are reduced and processes are simplified. Employee retention rates are higher for productive workers, which reduces the expense of acquiring new personnel. An NLP solution reduces the requirement for additional personnel to handle manual labor and associated errors.
- Deep Analysis:
Large amounts of textual data can be processed considerably more easily in your eCommerce business by using Natural Language Processing (NLP) technology. Applications of NLP eliminate the requirement for manual screening of several resumes. Instead, companies can quickly qualify individuals for the next stage by evaluating their resumes for errors and ranking them accordingly.
- Smart Product Recommendations
Typically, keyword-based product recommendations are made. However, NLP can incorporate more variables, such as context and historical search information. Directing customers toward the right items also help shops keep them interested. According to Amazon, sales from recommendations on their website increased by 35%.
Summary / The Last Say:
Artificial intelligence enables companies to give clients a more tailored experience, even though the word “artificial” might have a negative or dehumanizing connotation.
AI in eCommerce enterprises allows us to analyze millions of interactions daily and tailor offers to a single client, a service every marketer dreams of providing.
With access to the information we’ve never seen, sales teams are suddenly empowered. The sales cycle may be personalized using AI-driven solutions that help salespeople connect with the right prospects and deliver the correct message at the right time.
Numerous publications have discussed the effects of AI, particularly on sectors that depend on manual labor.
The eCommerce sector is set to experience a significant and positive impact from AI technology in the years to come. As a result, how buyers find items online will change and, in some ways, improve.
There is evidence to indicate that new AI-driven technologies will be essential to the future of eCommerce in the era of Instagram and Snapchat, as well as the rapidly diminishing attention spans of the digital age.
How Can Folio3 Help With AI Solutions for eCommerce?
There is no one-size-fits-all software. You need custom technology tailored to keep up with market evolution and uphold your position as a disruptive and innovative financial services leader. To help you manage risk and stay one step ahead, Folio3 powers risk decisioning processes in fraud, identity, and credit. With critical data, AI, and decisioning capabilities, we’ve built our AI-Powered Decisioning Platform to give you the freedom to iterate, scale, and expand your schedule. Your future course should be empowered by technology rather than dictated by it. Use a flexible Platform-as-a-Service solution to customize your journey!
Our method for offering cutting-edge AI solutions to the eCommerce industry
We look over your requirements and create a roadmap based on them. Then, we gather the necessary data and process it to find patterns and connections pertinent to your needs. Next, we launch trial projects for enterprises to find gaps between already available capabilities and those that have just been designed. Finally, we integrate the model we’ve created with your app and rigorously test it to ensure it produces reliable results.
Moreover, we have a vast experience in almost every eCommerce industry, such as Magento, Shopify, WooCommerce, B2B, and Big Commerce.