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Why adopting AI chatbots in eCommerce will be your secret weapon for customer retention

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03 May 2023

Why adopting AI chatbots in eCommerce will be your secret weapon for customer retention

AI for personalization and optimization of the user experience

Adobe Sensei is an AI platform developed by Adobe to automate and improve creative processes. This AI has particular application in eCommerce. There, merchants can use Sensei to automatically crop or scale product images, but also to place relevant product recommendations. Adobe Sensei can also help identify and automatically categorize image content, making it easier to search and filter products. In addition, the platform can analyze and optimize the performance of marketing campaigns by identifying behavioral patterns and customer preferences.

Another example of AI technology in eCommerce is the use of AI texting. AI texting refers to the use of Natural Language Processing (NLP) and Machine Learning (ML) to create product descriptions and other text in online stores. Thus, AI texting can help save time and money by eliminating the need for merchants to manually write texts. Moreover, the texts can be personalized to better meet customer needs. With AI texting, merchants can also improve search engine optimization (SEO) by using relevant keywords in the texts and consequently improve the ranking of their products in search results.

conversational AI chatbot

New trends in eCommerce

Overall, the use of AI technology in eCommerce shows that many benefits. Merchants can save time, improve the customer experience, and drive revenue growth. However, it remains to be seen how AI technology will evolve in the future and what new uses will emerge. One example of this is AI chatbots, which have already gained significant traction in eCommerce in recent years. More and more companies are turning to this technology to better serve their customers and increase the efficiency of their business. But what are AI chatbots and what can they do?

What exactly is a chatbot?

AI chatbots are computer-controlled programs based on artificial intelligence. They can have human-like conversations with customers using Natural Language Processing (NLP) and Machine Learning (ML). This allows them to have personalized conversations with customers, answer questions, perform ordering processes, and more. This form of chatbots is therefore also called conversational AI.

AI chatbots as the primary customer service channel

Accordingly, it is not surprising that, according to a forecast by Gartner, chatbots will become a primary customer service channel in the next five years. This development will be driven by the increasing use of messaging apps and the ongoing development of AI technologies.
More and more customers prefer to communicate with businesses via messaging apps such as Facebook Messenger or WhatsApp, as it is more convenient and faster than traditional communication channels such as email or phone.
Chatbots can seamlessly integrate these messaging apps into customer service and provide a fast, effective and personalized customer experience. Businesses can use them to improve their customer experience and stand out from the competition.

The benefits of AI chatbots in eCommerce

The benefits of AI chatbots in eCommerce are many. For one, they can provide round-the-clock customer support, as they can provide automated and quick answers to frequently asked questions. As a result, companies can increase customer satisfaction and strengthen customer loyalty.
AI chatbots can also help automate routine eCommerce tasks. For example, they can take orders, check the status of orders, process returns, and more. This allows businesses to save time and resources and focus on more important tasks.
In addition, AI chatbots are able to analyze customer behavior and make personalized product recommendations. In this way, companies can increase their sales and offer their customers an optimal shopping experience.

Which chatbot makes the most sense?

The answer depends on what you want the chatbot to do. Currently, conversational AI chatbots are becoming increasingly popular. These use even more advanced AI technologies to have human-like conversations with customers. By using NLP and ML, they can understand human language even better and respond accordingly. This allows them to have personalized and individualized conversations with customers and further improve the customer experience.

AI chatbot

Conclusion

In conclusion, AI chatbots and conversational AI play a major role in eCommerce to help companies better serve their customers and optimize their business processes. The use of this technology is expected to grow in the coming years as it makes the customer service process easier, faster, and more customer-friendly. Companies that use this technology thus have an advantage in the competition for customers’ favor.

About the author:

Michael Rohrmüller is a seasoned e-business expert with over 20 years of experience in the industry. As the CEO and Founder of PixelMechanics | The e-Business Enablers, he has helped numerous companies excel in the digital landscape, specializing in e-commerce and B2B solutions. Based in Nuremberg, Germany, Michael’s expertise extends worldwide, offering strategic advice and acting as a trusted Sparring-Partner to his clients. His innovative approach and dedication to enabling success make him a sought-after authority in the realm of e-business. 

Sources:

Image from phonlamaiphoto on AdobeStock

Image from DIgilife  on AdobeStock

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