The Advancements of Conversational AI in Ecommerce Industry

Author - Devender | 11 july 2020 |
Nuacem AI

It is an era of digital technology; every day, we encounter the most exciting technological shifts across the globe and nation that we have ever seen.

Because of which today, millions of people prefer to shop through eCommerce platforms.

The rate of development & adoption of new technologies in recent decades is high in every industry, and it is going to continue in the coming future.

A few decades ago, we needed to visit a physical store to buy something, and we need to check whether the item stock is available or not.

If it is not available again, one needs to visit another physical store or come back to the same store after a few days, which is very annoying for the customers.

But, with the introduction of eCommerce, the nature of retail has changed significantly.

Now, we can view and purchase unlimited products from online stores just with a few clicks without stepping outside of the office or home, and they can also do order tracking to know the status of the order.

The Ecommerce platforms have grown to be the need of the hour for every user, and it is expanding very exponentially.

Because of which today, millions of people prefer to shop through Ecommerce platforms.

“According to the reports of Statista, the number of global digital buyers will reach 2.14 billion by 2021.”

Catching up with customers' growing needs is one of the most critical trends in the eCommerce market.

But, selling goods/products online is still one of the significant challenges that many eCommerce platforms face.

“Only 2.86% of eCommerce site visits convert into a purchase.” [Source: Oberlo]

When eCommerce companies find complicatedness in satisfying the growing requirements of the customers, they switch to automation.

As a result, many eCommerce platforms are stirring to Conversational AI technology that has brought voice assistants and Chatbots in eCommerce.

And Conversational AI is the game-changer for both users and customers, which can amplify customer-centric and customer-driven practices.

After online shopping sites, messaging apps, Conversational AI (It includes NLU, Natural language processing, and ML) is the next big thing.

Many enterprises have seen the chances facilitated by Conversational AI technology and helping their customers to purchase with more ease.

“The worldwide spending on cognitive and AI systems will be $58 billion in 2021, according to IDC” [Source: Businesswire]

Now, let us see how AI-powered Ecommerce automated assistants will help eCommerce platforms grow and shape the future of eCommerce marketing.

Continue reading!

By the end of this blog, we will let you know how advanced the eCommerce industry is with the use of Conversational AI.

Advancements in the Ecommerce industry with Conversational AI

Enhanced customer support

We are all aware that customer support plays a crucial role in the growth of a business.

Because without customers, no business exists in the long run, and the maximum number of brands precedes to provide 100 percent satisfaction to the customer.

The biggest challenge in the eCommerce platform is the lack of 24/7 enhanced customer service, and it is the sole reason failure of many eCommerce businesses.

“According to the study conducted by the Sprout Social, 89% of customer queries that require immediate attention are usually overlooked by most of the eCommerce platforms.”

The response time of business to buyers queries is around 12 hours. It is the reason most of the platforms are losing their potential buyer.

And this issue can be resolved with the help of Conversational AI.

The Chatbots for Ecommerce can answer all repetitive questions asked by users, and it also builds a real connection with customers.

The 24/7 presence of live chat will give a massive competitive advantage over others in providing customer experience, and it increases the uprightness of your Ecommerce among the customers.

Visual search engine

In recent times, Conversational AI has allowed eCommerce platforms to endow with visual search capabilities.

The visual search engine makes the life of the purchaser easier than before with the help of image recognition technology.

By using this Ecommerce AI chatbot capability, a person can search by an image captured and reach the desired product location with minimal interaction.

Benefits of visual search for retailers

  • Integrates offline and online shopping experience
  • Path concise from search to conversion
  • Easy tracking & evaluating of accomplishments
  • Capitalization of social proof

Fake reviews detection

85% of users do online research before they buy a product from online shopping.

Fake reviews became a headache for most of the enterprises.

All these reviewing accounts can be bogus or bot accounts. Your competitors or hackers can be behind these things.

In online shopping, customer reviews are playing an important role, and it is affecting consumer trust.

This concern can be resolved by using Conversational AI for eCommerce platforms.

It is capable of detecting fake review accounts and removes them from records & stats of reviews.

Personalized recommendations

Ecommerce companies are aiming to provide best-personalized recommendation experience across multiple devices.

It is possible with Conversational AI and machine learning. The AI-based personalization uses a multi-channel approach.

It uses deep learning to analyze how customers interact with online shopping from various channels such as (websites, mobile apps, social media platforms like Facebook messenger, and many more).

With the use of AI-driven Ecommerce, the businesses can effectively interact and engage with the markets & customers with push notifications that help to improve user experience.

From customers, personalized recommendations help them to discover the best offer without going to many stages.

Voice assistants

Voice is slowly replacing text-based search in retail and eCommerce platforms.

The Ecommerce platforms are going with the voice assistants that minimize the effort of the customer.

With the use of voice-based virtual assistants, there is no need for a keypad to search for an item. Just speak with the smart AI shopping bots/online shopping assistants, and voice search mechanisms will do the rest of things.

Cyber Security

It is another significant concern in the online shopping business. As these platforms (Ecommerce and social media) deal with personal data, data security breaches can cause deep trouble for companies.

The artificial intelligence algorithms can alter large chunks of data into small parts, which are easier to protect from breaches and risks.

Virtual personal shoppers

The virtual personal shopper can assist the customers in making the right decision about their shopping.

The virtual shopping assistants are powered with AI to help customers quickly find the best and most relevant products & deals they are looking out for.

The usages of virtual personal shoppers are a great example of Conversational AI affecting the Ecommerce industry by disrupting traditional customer engagement techniques.

Conclusion

These are various ways the eCommerce industry is taking advantage of Conversational AI advancements.

Currently, Conversational AI is creating waves like ever before.

In the next 5-10 years, organizations will be differentiated as enterprises using Conversational AI in their business and enterprises not opting for it.

Now, you choose whether to go for a Conversational AI automation approach or a traditional approach?

If you are planning to automate your eCommerce business/platform, then reach out to us.

Together, we can work and think about how we can apply Conversational AI to your online shopping business.

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