Technology

3 Ways AI Will Change How You Shop Online

January 24, 2020
3 minute read

When some hear the term “AI”, they might think about creepy, human-like robots taking over the world; or maybe another voice in a box that can play your favorite song or tell you the weather. Over the years, AI has made its way into dozens of sectors including automotive and healthcare. In fact, analysts predict AI will generate nearly $120 billion by 2025. With a buzz and figures like this, it’s no surprise that online retailers and technologists are embracing AI with open arms to build better online shopping experiences. 


As consumers are presented with more options than ever before, retailers must be laser focused on creating shopping experiences that require fewer touchpoints and no distractions. The on-demand economy is here and it’s growing at a rapid rate. We don’t know what we want, but what we want it now. Maybe AI can change that?


Here are 3 ways AI will change how we shop online:

Chat Bots

If you’ve ever found yourself using an online store’s live chat, there’s a good chance you’ve interacted with an AI-powered chatbot. Retailers are now able to instantly provide 24/7 customer service in multiple languages thanks to these trusty bots. 


Brands are even leveraging AI bots to help customers with their purchasing decisions. Clothing brand, H&M, developed a bot that learns your style preferences by using visual quizzes to build style profiles. With these profiles and data from past purchases of similar customers, their bot can build outfits and recommend products to help complete the look. 


In some ways, a bot cannot compare to the human interaction found in physical retail stores. However, the ability to instantly get the support you need is hard to beat!


Voice Search

Who would have ever thought that a virtual assistant on our phones or smart speaker could become our personal shopping assistant. With nearly a quarter of people in the U.S having a smart speaker in their home, Amazon and other tech giants are betting on voice-activated ecommerce functionality. 


Let’s look at Amazon as an example. Placing an order on Amazon can be achieved with a simple command. “Hey Alexa, order some more paper towels”. Within a day or two, you’ll have the order right at your doorstep. This even goes ahead of just re-ordering products you’ve purchased in the past. With a simple command, you can have Alexa recommend you new products or list off Amazon’s daily deals. 


Think voice search is just a gimmick? According to Quoracreative stats, 50% of all searches across the internet will be voice-based by 2020. Typing to search in Google was so last year!

Personalization

Over the last decade, ecommerce has grown exponentially. This is largely due to the convenience of being able to order just about anything right from our smartphones and at any time of the day. Since we tend to spend a lot of time on our phones and online, companies have access to data that they can use to customize the content we see. 


Companies like Amazon are putting us in the center of the online shopping experience by using the data they have to recommend products and brands that we’re likely to be interested in and ideally purchase. With our data constantly at their fingertips, Amazon is able to use machine learning to better understand us and cater to our preferences.

By: Mike Gojcaj

As the Co-Founder and Strategy Director at Mirgo Digital, Mike helps our clients develop results-driven strategies that drive revenue and online growth.

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