Artificial intelligence can help today’s online retailers deliver an optimized customer experience on and off their ecommerce websites by using collected business and customer data to make better business decisions and more accurately predict the future.
AI Is Bringing Change to the Ecommerce Industry
Artificial intelligence isn’t just a novel technology implemented for its “cool factor.” Implementing AI has the potential to impact any number of business functions across your organization.
To understand how it could impact your business, it helps to have an understanding of the components of artificial intelligence.
The definition of AI is broad, and encompasses data mining, natural language processing, and machine learning.
- Data mining refers to the gathering of both current and historical data to inform predictions.
- Natural language processing focuses on human-computer interaction and how computers interpret natural human language.
- Machine learning concerns using a collection of algorithms to apply past experience or provide examples to solve a problem. Deep learning “involves layering algorithms in an effort to gain greater understanding of the data.”
Over the past couple of years, AI technology has matured and become a powerful tool to boost sales and optimize operations. Even many ecommerce businesses are using technology with some kind of AI capability.
Benefits of Using Artificial Intelligence in Ecommerce Companies
Amazon has long recognized the benefits of artificial intelligence and related technologies. The behemoth ecommerce company uses machine learning to improve product selection and user experience and to optimize logistics.
Squalas here to take you to AI with plenty of uses in ecommerce organization.
Artificial intelligence Use Cases in Ecommerce
There are plenty of use cases in ecommerce for AI, and you’re probably familiar with a lot of them — you just might not know that the technology they’re built on is actually related to AI. Here are six of the most common:
- Personalized product recommendations.
- Pricing optimization.
- Enhanced customer service.
- Customer segmentation.
- Smart logistics.
- Sales and demand forecasting.