Presently, the public expects a flawless customer experience across all domains, entailing social media pop-up shops, mobile apps, and physical stores. This experience must be a convenient and rapid service immediately.

This extreme competition particularly needs e-commerce websites to raise the bar in enticing and transforming possible customers. Sure, they incorporated AI for the longest time to attain a competitive advantage, primarily for price optimization, inventory management, and website customization, with the support of an AI development company.

Introduction

Nowadays, advanced AI-powered tools convert browsing into purchasing at a speed we have not witnessed before. And, the best part of Gen-AI is smart sales, not more sales. This indicates that Gen AI tools can increase your eCommerce transactions and ROI. Here are three ways you can make it happen.

Hyper-Personalization of Your Product Recommendation

Think about a customer named Jane who is looking for a new pair of shoes in an e-commerce sports store. In the legacy e-commerce ecosystem, she has been shown a variety of shoes from various brands, colors, and sizes.

In this situation, Jane is asked about her usage requirements, style preferences, and foot type, and if she wants a particular shoe brand.

Incorporating this data, Gen AI puts together a variety of shoes customized to her needs and provides her with a customized experience.

This approach will keep Jane engaged and make her feel that the store understands her requirements. She can point out the perfect shoe pair without much effort. This increases the chances of her buying and increasing the store’s sales revenue via extremely effective gen AI-based customized product recommendations.

ML and AI algorithms in an e-commerce store assess the browsing behavior of the customers, demographic data, purchase history, and other information points like abandoned products and wish-list items in the cart.

Gen AI technology incorporates this information to suggest products tailored for an individual customer based on:

• Customers’ previous interactions and searches on the app and website
• Latest customers’ product interactions
• Last seen products and items.

Rely on Customized Content and Chatbots

It is important to develop an e-commerce environment that forecasts and comprehends every customer’s requirements. And what is considered better than incorporating AI-powered chatbots to enhance product discovery?

Salesforce suggests that 82% of e-commerce companies with AI have experienced moderate enhancement in the way their customers find, discover, and engage with items.

AI-powered chatbots rely on superior recommendation systems to provide customized product suggestions and styling concepts by inquiring about budget, brand, style, color, and product size.

Relying on Personalized Ads and Dynamic Pricing

It has been found out that customers trace and compare prices of products in-store and online prior they finally making a purchase. They don’t mind hunting to attain their favorite product at extremely attractive rates.

Gen AI allows e-commerce companies to look for techniques to stay agile in setting prices for their products. How, you ask? Via dynamic pricing.

This is often called surge pricing and demand pricing, or time-based pricing. It is a marketing plan that permits companies to adjust price flexibility for their services or products based on current market conditions.

It utilized AI-powered predictive analytics to assess information like competitor pricing, inventory levels, and customer behavior, and make informed decisions.

In conclusion

Gen AI cultivates innovation in e-commerce. This, in turn, increases sales return on investment. Therefore, an early adopter and implement all the plans discussed in this article.

Take that data from huge amounts of information to develop a tailored shopping experience that keeps your customer returning for more. Change a small search on Google into a complete communication with your customers. Guide them to the product they want to enjoy and relieve them from a difficult browsing via products generically placed.

Frequently Asked Questions (FAQs)