21 September 2020

The power of AI in Retail and eCommerce

Who are my customers? Where should I open more stores? How can I enhance my online store and reduce the rate of abandoned carts?

The retail sector is undergoing higher changes driven by new channels and new forms of relationship with the consumer, which today demands convenience, speed of response, authenticity and novelty.

We are facing an increasingly demanding, digital and informed consumer, which requires retailers to more efficiently manage and provide immediate and excellent customer service.

Over the past few years, the sector has started to look more closely at Artificial Intelligence (AI) solutions, as these allow, for instance, to automate processes, to know the buying trends of its customers, to boost cross-sell and upselling with more accurate advice, and to optimise all internal processes ensuring higher efficiency and profitability.

Using Data Analytics and AI solutions, allow you to know everything that goes on in your store, improve operational processes, develop new products and services and target your offer, thus enhancing more dynamic points of sale, more personalised shopping experiences, improve and efficient online stores and more attractive products.

According to a report by Gartner, the implementation of AI-based solutions has increased by 270% in the past four years. These numbers are overwhelming and show an exponential growth that leads organizations to look closely at the benefits and opportunities that technology gives them, both in the relationship with the client and at the top management level.

Technology makes it possible to transform millions of data, produced daily, into helpful insights, which brings higher competitive advantages and an increase in the performance of the entire organization.

The use of technologies such as chatbots, voice bots, image and video recognition, allows an excellent customer service 24/7, sending personalised promotions, recommending specific products depending on the purchase history, or merely introduce to customers the products they are looking for in a particular category.

The use of technological solutions in the retail sector helps decision-makers to provide quick, accurate and appropriate responses to an unstable and increasingly digital market. With efficient data analytics, combined with artificial intelligence solutions, your organization gains agility, competitiveness and adaptability, which guarantees the best strategic decisions, improves the logistics operation, reduces costs and increases business performance.

AI presents itself as the answer to improved personalisation and excellent shopping experience, as consumers today demand. Also, at the strategic, operational and management level, it offers more business intelligence.

With a large amount of data that organizations work with, the implementation of AI-based solutions is the ideal way to respond to situations (increasingly recurrent and usual in an organization’s activity) in which the analytical capacity of human beings tends to be a challenge given the speed and complexity of the business, functioning as a valuable task resolution tool. Therefore, it is possible to free employees for more creative and strategic tasks, helping them to create more value for the organization.

The potential of AI is limitless for any organization, and at a time when across all organizations and sectors, the impacts of a continually changing market are measured and predicted, it becomes increasingly evident that the implementation of Artificial Intelligence solutions over the next few years is no longer an unknown, but a certainty. It will only be a matter of time before being present and part of the daily activities of organizations, and it must be seen as a process of adaptation and reflection by all economic agents.

 

 José Oliveira BI4ALL
  José Oliveira         
        CEO