Alongside the global digital commerce adoption, a shift in how consumers are discovering new products and services, connecting with brands and retailers and completing transactions has ushered in the need for more intelligent customer experiences. For businesses, the ability to integrate AI throughout the digital customer journey will be a differentiator going forward, as consumers come to expect an amplified level of personalized assistance across every channel, and within multiple interfaces (voice, chat, SMS, social.)
Within the research and discovery stage, natural language processing, image recognition and visual search capabilities are creating more contextual search experiences, connecting consumers to more curated and accurate results. Meanwhile, the layering of AI and machine learning is allowing for greater personalization across product recommendations, pricing, and promotions, tailoring shopping experiences to each consumers’ profile, preferences and purchase behaviors. Across the digital commerce landscape, a greater need for trusted guidance has blended the role of associate and bot, as on-demand support requires 24/7 availability and intelligence-backed service agents allow customers to feel known and supported no matter the channel of interaction. And as future state commerce experiences become reality, retailers and brands are designing synthetic sales associates to act as metaverse brand guides, and programming bots to provide concierge services, from sourcing products, to completing purchases on consumers behalf.
Within this report, PSFK has identified six trends that showcase how leading brands and retailers are using AI to leverage shopper data. Specifically, we explore understanding in-the-moment preferences to suggest the right product at the best price, surface customer information and relevant details for sales agents in real time, and power individually-informed recommendations through voice, chat and text-based on-demand support. As the role of AI evolves from offering back-end solutions to providing consumer-facing value, the ability for retailers to deliver the optimized digital shopping experience consumers now expect will depend on their application of intelligence-supported shopping journeys.
AI-powered bots are reaching an inflection point where consumers are not only to interact with them to complete in-the-moment tasks but also program them to automate ongoing and future actions. In the context of shopping, this could mean working on behalf of a shopper to fill specific needs like the regular purchasing of common products or helping to find and buy products based on a set of criteria like sizing, pricing, etc.Synthetic Sales Associates
When navigating a full product catalog, customers can feel overwhelmed or unsure of how to choose (or customize) products to fit their needs. Retailers are offering AI-enabled decision support that asks customers questions about their preferences and requirements and/or leverages shopper data to help narrow down choices and suggest the best options. Guided selection systems support customers in finding the best product for their needs, boosting shopper confidence.Dynamic Promotions
By collecting and processing real-time data spanning supply and demand, shoppers’ browsing behavior, purchase history and customer service interactions, search platforms and marketplaces are applying deep learning models and AI technology to optimize everything from pricing, promotions and recommendations to predicting customer intent. By understanding the likelihood of similar customers making a purchase at a certain price, these platforms are able to automate the process of sending out personalized promotions to customers over messaging with offers to match their purchase intent, driving incentive and maximizing spend.
French multinational corporation and luxury goods conglomerate LVMH is partnering with Google’s Google Cloud platform to empower the company’s individual luxury brands to create new, personalized customer experiences with the help of innovative cloud-based artificial intelligence solutions.Brightloom Drives Sales For Brands With Predictive Platform
San Francisco-based company Brightloom’s SaaS Customer Growth Platform works behind the scenes to turn a brand’s online customer transaction history into a predictive tool to drive personalized recommendations and promotions.