Intelligent CXO Issue 41 | Page 51

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What Gen AI can do for e-commerce : the key to strategic integration

Hajo Eichler , CTO at commercetools , explores how Generative AI can enhance businesses ’ commerce capabilities and customer experience .

Much of the 2023 mainstream headlines and conversations on AI centred on the benefit to consumer audiences . A year later , the spotlight has shifted to how businesses are reaping the rewards of AIenabled technology , the costs of ignoring it and who is getting it right . enhance their commerce capabilities and customer experience . Currently , 84 % of e-commerce brands are actively implementing AI solutions or prioritising them .
So , what exactly does Generative AI specifically have to offer ? Inarguably , that would be intelligent interactions .
Product search and recommendations
But this tech requires careful consideration to truly harness its value .
An infrastructure fit for the future AI isn ’ t a cheap investment . That ’ s why an AI strategy should never be about getting all the tech but identifying areas where it can offer the most value in the customer journey .
However , taking a selective approach to AI adoption isn ’ t always possible with e-commerce architectures .
Of course , technologists have long recognised AI ’ s advantages in automation , task management , improved customer experience , efficiency and personalisation . Many consumers were already benefitting from AI adoption before it became newsworthy . If you found this article through a link on social media – that ’ s AI in action !
As a result , businesses that were late to adopt AI are now exploring how it can
First , the right application of GenAI technology can significantly improve product search . Traditional keyword search methods often struggle to yield sufficient results , but GenAI enhances relevance and product discovery by interpreting user searches and suggesting alternatives in the background to show more products .
Additionally , GenAI takes consumer preference insights a step further by offering personalised recommendations that align with each customer ’ s interests . Unlike standard recommendation engines with static rules , GenAI adapts to user data in real-time , ensuring an up-to-date and dynamic customer experience .
Review summaries
While reviews serve as the digital alternative to word of mouth , the sheer volume of feedback can be overwhelming for customers to sift through . GenAI can help summarise this feedback , making it easier to digest . Amazon recently seized this opportunity , launching an AI feature to generate a well-rounded summary , highlighting the positives , negatives and overall outlook of the product .
These are just a handful of ways GenAI can enhance the online customer experience .
Typically , e-commerce infrastructures are monolithic , ‘ out of the box ’ systems , that don ’ t enable custom plug-ins , making AI integration a much larger job . This can be a costly and time-consuming sacrifice to make . Fortunately , with an alternative , modular infrastructure , businesses can operate with composable systems that allow for smaller applications . With a cloud-native environment , built to facilitate robust APIs , businesses can integrate GenAI in a meaningful way , while also facilitating scalability . Not only does this simplify and streamline the process , but it also offers the flexibility to adapt to changing market needs .
Gearing up for what ’ s to come
GenAI is well on its way to becoming a critical technology for e-commerce , helping retailers provide a hyperpersonalised and seamless shopping experience . While still in its early stages of maturity , brands cannot afford to overlook the vast opportunities GenAI has to offer .
As AI experiments become real-life integrations , brands need to ensure their commerce technology is primed for the future and able to keep up with changing markets to remain competitive . x
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