AI in E-commerce:  Why E-commerce Brands Should Consider Artificial Intelligence?

ai for ecommerce
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Great inventions always have two births. The first is when the invention occurs, and the second is when it hits popularity and reaches the masses. 

Artificial Intelligence (AI) is one such invention. Initially defined in 1950, it is catching its pace today. AI is unexpectedly enhancing industries, and one example of these highly affected industries is eCommerce. 

‘AI in e-commerce’  is becoming a strategy that has the ability to transform the industry’s scenario. 
How? In this blog, we will unwind everything, from the role and impact of AI in e-commerce to its future and benefits for the industry.

ai in ecommerce

Generative AI & Its Role In Improving E-Commerce

The e-commerce industry has flourished exceptionally, from demand generation to standing in a heavily competitive market. The industry is peaking, and the only fair way to beat the competition is to stand out. 

According to research by ResearchGate, by 2030, it is likely that 70% of businesses will use some form of artificial intelligence technology in their business processes and activities.

While traditional AI practices can be used to analyze data to perform tasks like Search Engine Optimization and algorithms, generative AI in e-commerce can generate new content, such as graphics, text, codes, etc. 

Generative AI can also empower platforms to deliver more personalized, interactive, and seamless experiences, significantly enhancing the e-commerce customer experience in various ways. For example: 

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1. Enhanced Visuals

With the help of relevant generative technologies, such as AI-generated images, AI e-commerce tools, and diffusion models, businesses can create high-quality visuals, videos, and 3D models. This can be an effective way of improving product displays, virtual showrooms, and advertising materials, making them more appealing and visually engaging to customers.

artificial intelligence in e commerce

2. Personalized Product Recommendations

By analyzing customer behavior, browsing history, and purchase patterns, Generative AI can provide personalized product recommendations, increasing the chances of customers finding products that match their preferences and interests.

3. Virtual Try-Ons and Fittings

For consumer goods businesses, generative AI can allow virtual try-on experiences. With this feature, customers can see how products like clothing, accessories, or even furniture would look or fit in their homes or on themselves, enhancing the decision-making process and reducing return rates.

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4. Natural Language Product Descriptions

Generating AI is now being used in advanced tools such as text summarizers. The integration of this technology in the summarizer has boosted its ability to generate a fully persuasive & concise version of the given product content. This means e-commerce platforms can now facilitate customers with to-the-point information about their offered products, improving the overall chances of sales.

How to implement AI in eCommerce

ai solutions for ecommerce

By now, you must have figured out how AI in e-commerce is not an optional strategy. Businesses want customers, and customers want brands that can actually provide a seamless shopping experience. AI can do that. 

But how can eCommerce brands actually implement it in their working strategies?

Let’s find out:

1. Define Objectives and Use Cases

Identify the specific areas in your eCommerce business where AI can add value. It could be personalized recommendations, chatbots, fraud detection, inventory management, or customer service. Prioritize the use cases based on their potential impact and feasibility.

2. Choose Relevant AI Tools

When catering to specific industries, it is important to choose tools that can provide value to your business and can help you overcome your shortcomings. Best is to invest in AI e-commerce tools that may offer solutions such as, AI-powered shoppable galleries, integrating social content into websites, etc. 

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3. Collect Actionable Insights

AI systems rely on data to learn and make informed decisions. Perform data extraction from various sources, such as customer interactions, purchase history, or website behavior, and utilize this data to create personalized advertisements and customer recommendations.

Implementing AI in e-commerce can be challenging yet can open up great opportunities for businesses to reach their customers with more impact. That’s not all, because AI also holds a full trove of new possibilities that can shape the future of eCommerce in astonishing ways!

Let’s hear it.

The Future of Automation & AI in eCommerce

ai ecommerce

Image Credits: Search Engine Journal

It is fair to say that this era is all about transformations in the digital landscape. The things we are experiencing today as mainstream were mere ‘predictions’ in the past, including concepts like voice assistants, smart home products, and of course, AI. 

But what’s worth noticing is that the majority of these technologies use artificial intelligence. Here are some interesting stats 

  • Even studies show, we are surrounded by AI-enabled devices at every step. Nearly 77% of devices today use AI technology in one form or another.
  • By 2025, the AI market is expected to reach approximately $60 billion, in 2016 the market was at $1.4 billion.
  • According to a study by Forbes, AI is expected to contribute $15.7 trillion to the global economy by 2030.
  • Using AI-powered tools and platforms can improve the productivity of businesses by 40% approximately.

In conclusion, the future of automation and generative AI for eCommerce holds big promises for businesses and consumers alike. As these technologies continue to evolve and intertwine, the e-commerce landscape will witness unprecedented levels of efficiency, personalization, and innovation, redefining the way we shop and interact in the digital world.

Benefits of Artificial Intelligence in E-commerce Brands

We have discussed various possibilities and use cases of AI in e-commerce. However, there are also various direct benefits of implementing AI in e-commerce.

These benefits are set to revolutionize the way businesses engage with customers and optimize their operations, propelling them towards unparalleled success and customer satisfaction.

benefits of ai for ecommerce

1. Improved Platform Engagement

By leveraging generative AI tools, e-commerce platforms can enhance customer engagement by creating personalized and visually appealing content. Brands can improve their store’s product pages, create personalized ads, and even create aesthetically pleasing Instagram feeds with this content.

Additionally, platforms can also benefit from AI-driven voice commerce features that can enable seamless interactions, catering to customer preferences and driving higher sales and revenue.  

2. Managing Marketing Campaigns

Marketing campaigns can be an extremely crucial strategy for businesses when looking to scale any e-commerce. With the help of AI for e-commerce businesses can execute marketing campaigns, including email marketing campaigns and influencer marketing campaigns, with high precision. 

Features like advanced data analysis help identify customer behavior patterns, and optimizing targeting and messaging. This even minimizes the chances of human error in campaign management and leads to higher conversion rates and a more effective use of marketing budgets.

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3. Automating Tasks To Improve Efficiency

AI features such as chat assistants, can be great to streamline e-commerce operations by handling repetitive tasks requiring more effort and 24/7 attention. These tasks can include inventory management and customer support. With the right tools, these can be automated with efficiency.

This efficiency boost, with the aid of remote employee time tracking, allows human resources to focus on strategic growth initiatives and deliver better customer service, ultimately enhancing the overall business performance.

Now, we know we have been talking too much about the ‘appropriate tools’ and the ‘right tools.’ We get that finding tools that can be helpful in a way that caters to all your brand’s requirements collectively can be challenging. 

So, here are a few AI e-commerce platforms that can be useful:

Best Artificial Intelligence Tools & Platforms For E-Commerce

Here are a few top AI tools and platforms that can help eCommerce brands:

ai for ecommerce tools

1. Neural Love

Neural.Love is free AI image generator and enhancer dedicated to optimizing your images to meet your creative aspirations. With Neural Love, you can effortlessly transform your images, refurbishing them with artistic elements, filters and editing options.

With this tool, you can create new images and also edit images already existing in your gallery. All you have to do is upload your desired images, and let Neural Love work its magic, redesigning them to perfection.

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2. Tagshop

Tagshop is a one-of-a-kind, AI-powered social commerce platform that can seamlessly collect and curate social content from social media platforms. It enables users to turn this content shoppable and integrate it into their eCommerce store’s homepages, product pages, and emails. 

The tool is backed with AI-driven features such as automatic product tagging and product recommendations. This feature is beneficial for users as it saves effort by automatically suggesting which shoppable product tag matches the elements in the content.

3. Vonage

Vonage is a conversational e-commerce AI platform driven by smart technology, offering a range of communication APIs (Application Programming Interfaces). These APIs enable businesses to integrate various communication channels, such as voice, messaging, and video, into their applications and websites.

With the tool’s AI-powered conversational features, users can enhance customer interactions and provide personalized customer experiences in eCommerce. 

4. is an AI-powered copywriting tool designed to assist users in generating quality written content for various purposes. The platform uses inputs given by users to provide human-like text.

The tool can be used to generate content for social media posts, blog articles, ad copy, product descriptions, email campaigns, and more. This AI  tool aims to streamline the content creation process, save time, and help users come up with engaging and persuasive copy without the need for extensive writing skills.

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The transformative integration of generative AI in the booming eCommerce industry has led to remarkable advancements. In 2023, these changes offer numerous compelling advantages, such as heightened customer engagement fueled by personalized experiences and visually captivating content. 

As the boundless potential of AI in e-commerce continues to shape the e-commerce landscape, brace up, because we are here to take you through the possibilities, advantages, and innovations that are about to shape the industry.

Frequently Asked Question

How does AI impact the customer shopping experience?

AI can significantly improve customer shopping experience by offering personalized product recommendations, efficient customer support through chatbots, quicker response times, and enhanced shopping experiences through virtual assistants and augmented reality.

What is the future of AI in e-commerce?

The future of AI in e-commerce looks promising. We can expect further advancements in personalized marketing, AI-driven virtual shopping experiences, enhanced fraud prevention, supply chain optimization, and improved customer service, making e-commerce even more efficient and customer-centric.

Which eCommerce industries can benefit from artificial intelligence?

Almost all eCommerce industries can benefit from AI. However, industries like fashion, retail, electronics, and personalized products can particularly benefit due to AI’s ability to offer tailored recommendations, streamline inventory management, and analyze customer behavior.

What is the impact of AI on customer service in e-commerce?

Artificial intelligence can significantly improve customer service by incorporating AI-driven smart chatbots and assistants that can support businesses in resolving customer queries, reducing response time, and allowing customers to surf websites smoothly.

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