utilizing chatbots and ai for ecommerce businesses

Are you looking for a way to improve your ecommerce customer experience (EX)? An AI-powered eCommerce chatbot can share information about low-stock items and proactively notify users about the top/most purchased items. By enabling this feature, the notifications would be dynamic and updated on a weekly basis, rather than relying on a static “best sellers” filter on the website.

utilizing chatbots and ai for ecommerce businesses

Plus, 64% of internet users find 24\7 availability as the best yet dope feature. Omnichannel chatbots for retail industry websites not only help businesses grow but can help retailers save money. Chatbot usage for easy customer interactions may also help a business owner retain employees. Workers who don’t have to do tedious and repetitive tasks are often more focused and motivated. As a result, among the benefits of a chatbot in an eCommerce business is saving costs. Some customer inquiries may fall through the cracks when an online retailer relies on the call center team to handle them.

Messaging best practices for better customer service

Thanks to advances in AI and machine learning, retailers can now customize content to better reach shoppers and potential customers. You can use tools such as Google Analytics to track these metrics and identify areas where you need to improve. For example, if you notice that your website traffic is increasing, but your sales aren’t, you may need to focus on improving your product descriptions or personalized video content. It’s critical to comprehend what generative AI is before learning how it can enhance your e-commerce operations and sales.

  • As AI tools learn more about individual shoppers, online interactions with customers may become more like those with a stylist or personal shopper.
  • They encompass recommender engines, pricing algorithms, predictive customer segmentation, a personalized search of product images, and AI chatbots.
  • There are currently around 300,000 chatbots on Facebook Messenger, which probably sounds like a lot.
  • As we said, Aerie, a women’s intimates’ retailer, uses a product recommendation chatbot to offer customers a more personalized shopping experience.
  • This leads to what some companies are calling “hyper-personalization”, which has been found to be way more engaging than regular copy and, as a result, way more likely to get customers to act.
  • Delivering targeted marketing and advertising messages personalized for their customers can increase retention.

They use the AI tool, Klevu, to process search queries in 21 different languages and show the relevant results. Klevu’s Site Search works by understanding the word-level category when breaking down these inquiries. Also, the use of AI in Ecommerce fulfillment procedures helps expedite scheduling, shipping, re-ordering, and catering to customer needs. It significantly contributed to their brand growth and made them popular worldwide. Meanwhile, AI-powered tools will analyze large volumes of data much faster and identify the smallest shifts in buyer behavior.

Choose the right chatbot platform

The bad news is that in a competitive market, you can’t do away with conversations anymore. They’re your only ticket to impressing a consumer and getting them to engage with your brand in one way or another. Advanced knowledge base solution to help you reduce support ticket & scale customer support. A chatbot performance page that shows user flow types, and who engaged or didn’t engage with the chatbot. Their bot provides customers with information about their orders in English as well as Spanish.

utilizing chatbots and ai for ecommerce businesses

It can make product suggestions, provide offers, and guide customers through their journey with complete access to their historical data. Conversational AI in eCommerce is more like talking to a human service agent. The result is a unique shopping experience that feels awesome for a customer and makes him feel special.

Step 3: Check out this guide on Shopify chatbots

This ensures that the right message is delivered to the right customer at the right time, leading to increased sales and customer satisfaction. The key benefits of using AI chatbots in ecommerce include 24/7 availability, faster response times, and improved customer service. To make sure they’re effective, it’s important to ensure that the chatbots are trained to understand customer inquiries and provide accurate and helpful responses. Regular testing and optimization can also help improve the effectiveness of AI chatbots in ecommerce.

How AI can boost eCommerce sales?

AI is being used in eCommerce to enhance the shopping experience through chatbots, personalized recommendations, predictive analytics, image recognition, and augmented reality. These technologies improve customer service, increase sales, and make shopping faster, more personalized, and more enjoyable.

But as the share of e-commerce in the global retail sale comprises 17.5%, it’s reasonable to discover the best examples of chatbots in e-commerce. Customers are increasingly turning to an array of channels—phone, email, social media, and messaging apps like WhatsApp and Facebook Messenger—to connect with brands. They expect conversations to move seamlessly across platforms so they can continue discussions right where they left off, no matter what channel or device they’re using. Companies are also seeing very clear benefits from investing in AI chatbot technology. According to Juniper Research, companies will save $11 billion or more by 2023 just from deploying chatbots. You’re left with actionable insight into how consumers feel about your brand, your products and their customer journey.

Six Ways AI Can Boost Your E-Commerce Business

The question is what type of automation they will apply to better compete in the market. Hybrid recommender engines are the most popular and blend collaborative, content, and other types into one. This engine aims to form a more convincing recommendation list for users and achieve better engagement and conversion rates.


Having the right customer data can be valuable when going for price optimization and revenue management. Machine learning (ML) can simplifies both tasks and makes them more efficient. It’s an excellent way to capture your brand’s voice while sending customer-specific content that shows them you understand metadialog.com their preferences. Integrating an AI-powered recommender system helps eliminates the challenge of picking the right products to recommend to customers. If you have any doubt whether artificial intelligence will bring significant change to the eCommerce industry, it’s time to put them to rest.

Chatbot Benefit #14: Business Revenue Generation

The conversion rate is the percentage of people who complete the desired action. You calculate it by taking the number of people who completed the desired action after seeing an offer and dividing that number by the total number of people who saw the offer. G2 Crowd recognizes Aivo as Leader in the Chatbots software category. Contact Softengi to discuss developing custom AI-powered solutions for e-commerce and other industries.

  • AI algorithms can efficiently analyze vast amounts of data and provide valuable insights that may have eluded the untrained human eye.
  • Lead generation is the process of converting strangers into leads or potential customers.
  • That being said, history tends to favor early adopters of new and potent tech like this, so start using AI effectively now and you could well find yourself dominating your market in the end.
  • In 2016, Casper, a major mattress manufacturer, and retailer, launched, arguably, the most well-known AI chatbots in the eCommerce industry — Insomnobot-3000.
  • It’s an optimized ongoing process that either you or an employee would otherwise have to do constantly.
  • It doesn’t matter your industry or profession, everyone has a hot take about the impending impact of AI.

If a potential buyer needs more information before adding an item to their cart, Samaritan can start the conversation. It can also follow up with customers to increase their overall satisfaction and boost their chances of returning. Chatbots can respond to people on a user’s website based on their activity. In a store, a customer just browsing may be approached by salespeople who engage them and try to make a sale. Chatbots can do the same with customers on an eCommerce site, offering to answer questions and turn browsers into buyers. For example, if a customer has been lurking on a website for a while, a chatbot may pop up and ask if they need help.

Collect data

One of the most popular AI in Ecommerce examples, Sephora’s Beauty Specialist chatbot was deployed to arrange virtual makeovers for customers using the app. Inventory management and demand forecasting are some of the major problems large Ecommerce companies face. Research indicates that over 30% of all fashion items manufactured by a brand are thrown away within the first year—that’s 92 million tonnes of wasted cloth. AI technology, particularly machine learning, helps reduce stock discrepancies.

utilizing chatbots and ai for ecommerce businesses

Compare this to rule-based chatbots where the response to any question is programmed and comes across as mechanical, and non-engaging. The chatbot starts with a prompt that asks the user to select a product or service line. Based on your selection, it then puts you through a series of questions. As you answer them, the chatbot funnels you to the right piece of information. They use an AI-powered chatbot through Facebook messenger to provide always-on customer support. Once you’ve chosen your ecommerce platform, it’s time to install it to your web properties.

Impact on ecommerce jobs in the future

Effective pricing is one of the milestones of effective business strategies. With the help of machine learning, e-commerce companies can develop pricing algorithms that automatically adjust the prices of items/services depending on data changes in the market or in the company. For example, AI solutions can make smart entry prices, discount prices, promotion prices, and similar. Ralph, an AI chatbot deployed on Facebook Messenger helps users find the right Lego set, and right off the bat, it was an overwhelming success.

utilizing chatbots and ai for ecommerce businesses

What are the disadvantages of chatbots in eCommerce?

Chatbots have limited responses, so they're not often able to answer multi-part questions or questions that require decisions. This often means your customers are left without a solution, and have to go through more steps to contact your support team.