How Artificial Intelligence is changing the E-Commerce Industry?

Artificial Intelligence is Changing the E-Commerce Industry

The e-commerce industry is changing rapidly. There are many ways retailers can use artificial intelligence to improve the shopping experience for their customers. Chatbots are one of the most common types of AI used by retailers today, allowing shoppers to interact with them directly through messaging apps like Messenger and WhatsApp. Voice assistants are another example of how AI is changing e-commerce, allowing shoppers to use voice searches to find products on their favourite sites like Amazon or Facebook. Product recommendations are something that every online shopper has experienced, whether they were looking at an Amazon product page or a Facebook ad; these days, they can also be done via chatbot technology as well!

AI- the driving force

Artificial intelligence in e-commerce has become the driving force behind many companies, from Amazon to Facebook. Amazon is one of the biggest e-commerce companies in the world, and it has been using AI to improve its service since it was founded in 1994. In 2017, they launched their first pilot program called Alexa Skills Kit (ASK). ASK allows third-party developers to create apps that work with Alexa devices such as Echo speakers or smartphones.

Facebook is another example of how artificial intelligence can be used for business purposes by providing a better experience for its users through apps such as Messenger or Instagram stories that automatically suggest friends based on your interests and location, etc.; these features make people spend more time on social media platforms which helps advertisers target them better when advertising products on those platforms too!

Global artificial intelligence

The global artificial intelligence market is expected to reach $59.8 billion by 2025, growing at a CAGR of 36% between now and then.

According to Markets and Markets’ latest report on AI-enabled technologies, the industry has grown from $7 billion in 2017. It is expected to grow at an annualised rate of 26% through 2020 before declining slightly in 2021 and 2022 due to saturation levels being reached globally.

Ways retailers can use AI
  • Conversational Support. They are a great way to provide customer service, but they can also help you find products that match your needs and preferences.
  • Visual Curation. AI can recognise patterns in customer behaviour and preferences, which can be used to curate visually enticing displays. AI can also track inventory, so retailers can ensure that only the latest and most popular items are featured in the displays. This allows retailers to maximise the impact of their displays and ensure that they always provide customers with the best selection possible. AI can also provide retailers with insights into customer sentiment and preferences. This allows retailers to create displays that are not only visually appealing but also tailored to the needs of their customers. With AI-powered visual curation, retailers can create displays encouraging customers to make purchases, thereby increasing their sales.
  • Product recommendations based on past purchases made by others who bought similar items as well as information provided during checkout itself (e-commerce retailers often use analytics software such as Google Analytics which helps track user behaviour while shopping online).
Conversational Support

Retailers can use AI as conversational support to better engage with customers and improve their buying experience. AI-powered chatbots provide automated customer service that is available 24/7 and can respond to customer inquiries in real-time. AI-powered chatbots can also understand customer intent, making it easier for retailers to provide personalised and contextual answers to customers.

In addition to providing customer service, conversational AI can be used for product recommendations and sales. By leveraging customer data, AI can provide personalised product recommendations tailored to each customer’s interests and needs. AI-powered chatbots can also help increase sales by recommending products or suggesting add-ons based on customer selections.

Conversational AI can also automate order processing, shipping, and payments. By leveraging AI, retailers can automate the ordering process, from selecting products to checking out. AI-powered chatbots can also handle payments and shipping, making it easier for customers to complete their purchases. Using AI as conversational support can help retailers increase customer engagement, improve customer service, and increase sales.

Visual Curation

Artificial Intelligence (AI) is a powerful tool for retailers to enhance their visual merchandising. AI-powered visual curation enables retailers to create visually engaging, personalised customer experiences. By leveraging AI, retailers can more accurately target customers, deliver customised product recommendations and showcase products most effectively.

AI-driven visual curation can analyse customer preferences, identify trends, and recommend products that match these preferences. This helps retailers create a shopping experience tailored to the customer’s needs, allowing them to stand out from the competition. AI-driven visual curation can also be used to identify trends in buying behaviour and target customers who are likely to be interested in a particular product.

In addition, AI-driven visual curation can optimise product placement and ensure that products are displayed most effectively. By utilising AI-driven visual curation, retailers can ensure that the right products are placed in the right locations, and that product displays are optimised for maximum visibility and engagement. An AI-driven visual curation is an invaluable tool for retailers, helping them to create a better shopping experience for customers and stand out from the competition.

Product recommendations

Product recommendations are a way to help customers find more products they might be interested in. They can be based on previous purchases and browsing history, so you don’t have to spend time figuring out what your customers want. Product recommendations can also be shown in various ways: via ads, product pages and emails.

As technology evolves, e-commerce will use artificial intelligence services.

As technology evolves, part of e-commerce will be using artificial intelligence services & solutions, artificial intelligence development companies, and artificial intelligence consultants.

The most common use for AI is in customer service and product recommendations. AI can help a company provide better customer service by answering questions such as “what should I buy” or “how do I make this work?” It can also suggest products that might interest you based on what you’ve purchased before or what other people have bought.


E-commerce has changed a lot since its inception in the late 1800s, but it’s still a popular way for businesses to sell their products. The next big thing for e-commerce companies is using artificial intelligence (AI) services and solutions. This technology can make shopping easier by providing recommendations and helping customers find what they want more quickly. With so much going on in this industry, it’s no wonder why so many companies are starting to invest time into these new technologies.

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