Artificial Intelligence in E-commerce: Industry Use Cases

1
Artificial Intelligence in E- commerce Industry
Use Cases
October 12, 2021 Dash Technologies Inc Artificial
Intelligence, E-commerce
According to Accenture, AI has the potential to
increase the profitability rates by an average of
38 percentage points, leading to an additional
gross value-added (GVA) increase of US14 trillion
by 2035.
When you heaí AI, its simple to tune out. lhe
same is tíue with machine leaíning, NLP and
customization. loday, so many E-commeíce
companies can use aítificial intelligence foí
futuíe-oíiented expeíiences that we have staíted
entiíely ignoíing the teíms.
2

• Howeveí, the best idea may not be to oveílook
  aítificial intelligence in E-commeíce.
• Although many technology companies use AI in a
  black box to attíact unknowing potential useís,
  youí peífoímance in the next yeaís might be
  gíeatly affected by the decision to integíate
  íeal aítificial intelligence algoíithms into youí
  e-commeíce website.
• Heíe aíe some AI use-cases that help you
  undeístand why AI is the key ingíedient in the
  secíet sauce of E-commeíce development. But
  heíes what you should know befoíe that
• AI Is Bringing Change to the E- commerce
  Industry
• Aítificial intelligence is not only a novel cool
  factoí technology. lhe use of AI can
• affect all of youí enteípíises functions.
• It helps you to undeístand the components of
  aítificial intelligence that how it might affect
  youí business.
• AI is bíoadly defined, including data mining, the
  píocessing of natuíal language píocessing and
  machine leaíning.
• Data mining means the collection of both
  histoíical and cuííent data foí píedictive
  infoímation.
• ?
• Natuíal language píocessing focuses on
  íelationships between human- computeí and how
  computeís peíceive human language.
• ?
• Machine leaíning is conceíned with an algoíithm
  collection to use expeítise oí give examples to
  solve a píoblem. lo get a deepeí undeístanding
  of the data, deep leaíning includes layout
  algoíithms.

3
Benefits of AI in E-commerce
AI technology has gíown to a stíong instíument
foí boosting sales and optimizing opeíations in
the last seveíal yeaís. Even many small
e-commeíce companies use some foím of AI
technology.

• AI can analyze laíge amounts of data and leaín
  fíom the data input to píovide a betteí íesult,
  which is the majoí benefit of AI foí E-commeíce
  businesses. By using AI solutions, businesses
  undeístand theií customeís betteí, píovide moíe
  íelevant píoducts, choose foí theií business
  offeís the best time and píices, obtain accuíate
  and íeliable analytic data.
• AI píomises to make significant advances in
  e-commeíce opeíations
• Seívice customization
• Píoduct enhancement and seívice impíovement
• Enhanced e-commeíce platfoím
• Advancement of customeí seívice thíough customeí
  oíientation
• Enhanced sales and maíketing íesults
• Betteí management of the supply chain

4
AI Use Cases in E-commerce
lheíe aíe many use-cases in E-commeíce foí AI,
and you undoubtedly know many of them you may
not íealize that the technology on which they aíe
based is, in fact, AI- íelated. Heíe aíe six of
the most common

• Píovide Peísonalized Píoduct Recommendations to
  Customeís
• Using aítificial intelligence, customized píoduct
  suggestions aíe offeíed based on
• píioí useís behavioí and appeaíance.
• Websites suggest items that you may enjoy using
  machine leaíning to assess youí puíchasing
  histoíy based on píioí puíchases. Howeveí, in the
  long teím, the paíticipation of data scientists
  in daily applications in E-commeíce companies
  will íequiíe less and less machine leaíning.
• Betteí Píicing Optimization
• Dynamic píicing that suppoíts AI is a technique
  to change youí píoduct píice based on supply and
  demand. lodays tools can dynamically calculate
  the minimum discount necessaíy to sell when and
  how to discount with access to the íight data.
• Enhanced and Effective Customeí Seívice

5

• You may píovide higheí-touch customeí suppoít
  with viítual assistants and chatbot technology.
  While these bots aíe not entiíely autonomous,
  they can simplify basic tíansactions so that
  live suppoít agencies can concentíate on
  complicated questions.
• Viítual agents also have the advantage of being
  available 24/7 so that low-level issues and
  issues may be íesolved at any time without
  waiting.
• Accuíate Customeí Segmentation
• Access to additional data and píocessing poweí
  fíom business and customeí souíces enables
  e-commeíce opeíatoís to undeístand theií clients
  betteí and identify new tíends.
• AI systems can swiftly investigate veíy
  complicated and diveíse options foí consumeí
  engagement and constantly enhance theií
  peífoímance as fuítheí infoímation becomes
  available, accoíding to insight fíom Accentuíe.
  lhis allows maíketeís to adjust settings,
  optimize and accuíacy of the AI.
• Smaít Logistics
• Smaít logistics and intelligent logistics aíe all
  about leveíaging sensoís, RFID tags, and
  íeal-time infoímation to manage inventoíies and
  betteí píedict demand. Machine leaíning systems
  get wiseí oveí time to make betteí foíecasts foí
  theií logistics and supply chain opeíations.
• Sales and Demand Ïoíecasting Based Accuíate
  Analytics
• You will want to píepaíe youí inventoíy of both
  histoíical and íeal-time data, paíticulaíly in a
  woíld duíing and afteí COVID-19. lhis can help
  you with aítificial intelligence. Recent
  McKinsey íeseaích aígues that investment in
  íeal-time customeí analytics is impoítant in
  monitoíing and íeacting to consumeí demand
  fluctuations that may be used to optimize píice
  oí taígeted maíketing.
• Conclusion
• lhis blog mentions that AI plays an impoítant
  íole in developing innovative solutions and
  customeí expeíiences in e-commeíce. Some of the
  leading use cases of AI in E- commeíce include
  peísonalized shopping, píoduct suggestions, and
  inventoíy management.

6
As an online íetaileí, consideí how you might use
an aítificial intelligence woíking model foí
youí enteípíise? Dash lechnologies offeís some of
the best E-commeíce solutions. In addition, we
offeí custom solutions to customeís all acíoss
the globe. As an aítificial intelligence
solution píovideí in the USA, we aíe heíe foí you
if you íequiíe an AI e-commeíce platfoím.