5 Ways that AI Is Revolutionizing E-Commerce

jessica smith 0

In recent years, Artificial Intelligence (AI) has made significant inroads in several industries, including e-commerce. AI is transforming the world of e-commerce. It automates mundane tasks, improves customer service, and increases sales. And it’s not just hype: AI-enabled products are already in the market and generating revenue. AI-powered chatbots and virtual assistants are becoming increasingly common, while businesses are using AI to personalize the shopping experience for consumers and improve their overall customer service. 

In this article, we’ll examine some of the ways that artificial intelligence solutions are revolutionizing e-commerce. 

Unless you have been burrowed deep underground for the last couple of years, you’ve most likely heard of artificial intelligence (AI). But how can we use artificial intelligence in eCommerce?

AI is beginning to embed itself into all aspects of our lives. From the growing number of self-checkout cash registers to advanced security checks at the airport; artificial intelligence is just about everywhere.

Other major tech firms such as Facebook, IBM and Yahoo have already publicly expressed their focus on developing artificial intelligence as a new source of business.

AI in E-Commerce

How we shop and purchase items online is changing rapidly, and AI plays a significant role in those changes.

Many eCommerce businesses are already using forms of AI to better understand their customers, generate new leads and provide an enhanced customer experience.

Here are a few ways that AI is revolutionizing e-commerce:

  1. Personalized Shopping Experiences

One of the main ways artificial intelligence solutions are used in e-commerce is to personalize the consumer shopping experience. Businesses can better understand each customer and what they might be interested in purchasing by analyzing data points like past purchase history, demographics, and even social media activity. This process allows companies to provide more targeted and relevant recommendations to shoppers, resulting in more sales.

You can then use these new models, in conjunction with existing pre-built models (e.g. general, color, food, wedding, travel etc.) to browse or search media assets using keyword tags or visual similarity.

  1. Improved Customer Service

Another way AI is benefiting e-commerce businesses is by improving customer service. Chatbots powered by AI can handle simple customer service tasks like answering frequently asked questions, providing shipping information, or even tracking orders. This tech enhancement frees human customer service reps to address more complex issues, resulting in shorter wait times and happier customers.

AI is making sweeping changes to the way businesses deal with their customers, gaining faster access to information and harnessing employees’ talent for better use.

Many AI systems enable natural language learning and voice input such as Siri or Alexa. This allows a CRM system to answer customer queries, solve their problems and even identify new opportunities for the sales team. Some AI-driven CRM systems can even multitask to handle all these functions and more.

  1. Increased Sales Efficiency

Finally, AI is also helping businesses increase their sales efficiency. Businesses can better predict consumer behavior and trends by analyzing past sales data. This allows them to stock the right products at the right time and make more informed marketing decisions.

The AI technology gives businesses a competitive edge and is available to developers or businesses of any size or budget. A great example is Pinterest’s recent update of its Chrome extension, which enables users to select an item in any photograph online, and then ask Pinterest to surface similar items using image recognition software.

Personalisation is nothing new for eCommerce and if you frequently use Amazon then you’ll know exactly what we’re referring to. However, with the ever-increasing advances in artificial intelligence and machine learning technologies, new deep levels of personalisation have started to penetrate the fast-growing e-commerce world.

  1. Fraud Detection

AI can help e-commerce businesses detect fraud by analyzing data patterns and flagging suspicious activity. It also helps keep businesses and customers safe from scams, cyberattacks, and fraudulent activities.

Furthermore, many businesses are overloaded with unmanageable customer data that they do little or nothing with. This is an incredible goldmine of intelligence that could be used to enhance the sales cycle.

Customer’s lives are now heavily influenced by a variety of different media from TV adverts to social media. In fact, in the past 12 months, even Snapchat has established itself as a viable sales and marketing tool, opening up new opportunities.

Benefits of AI in E-Commerce

  1. Personalization at Scale
  2. Increased Conversions and ROI
  3. Improved Customer Satisfaction and Engagement
  4. Decreased Costs
  5. Increased Efficiency


Overall, AI is revolutionizing e-commerce in a variety of ways. By automating key tasks, providing personalized recommendations, and improving the overall customer experience, AI is making it easier for businesses to succeed in the online marketplace. Now is the time to start if you’re not already using AI to power your e-commerce business.

This means that if a customer spends a notable amount of time next to a specific product e.g. an iPod, then this information will be stored for use upon their next visit

With the rapid adoption of AI by different sectors, experts at Clairvoyant would like to know your view on how they can serve your business with the best artificial intelligence solutions to achieve organizational needs and goals. Click here to learn more.

Well, some businesses are now using facial recognition to capture customer dwell times in the physical store.

As AI develops, we anticipate special offers on customer’s computer screens based on their in-store dwell time. In other words, omni-channel retailers are starting to make progress in their ability to remarket to customers.

AI solutions for marketing, sales and CRM systems. Through Mintigo’s software, Getty images has successfully generated significant new leads by capturing the data that shows which businesses have websites featuring images from Getty’s competitors.

Thankfully, just about all of us have moved on from the days of old sales techniques such as picking up the trusty Yellow Pages and pestering potential clients through cold-calling.

Whereas AI based personalisation for eCommerce takes the multi-channel approach. Sit on top of the multiple customer touch points to help the business analyse how customers are interacting online.