Seven Ways Artificial Intelligence Is Disrupting The Retail Industry Posted on : Aug 21 - 2020

As online shopping replaces more and more brick-and-mortar retail stores, AI in retail is taking center stage for enterprises. In a digital era where consumers are constantly seeking personalized products and services, artificial intelligence solutions in retail are helping retailers align their offerings with the expectations of their customers. The disruptive impact of artificial intelligence in retail is seen across the value chain and is emerging as a powerful tool for retail brands to gain a strategic advantage over their competition. Marketing research firm Tractica has predicted that global AI revenues will grow from $643.7 million in 2016 to an excess of $36.8 billion in 2025.

If your organization is considering going the AI way, you will do well to know how other retailers have used it to offer disruptive solutions. The list presented here should hopefully be a good start.

1. Enhancing In-Store Experience

Artificial intelligence can automate in-store operations and reduce operational expenses in retail stores. It can replace sales personnel to assist customers in the store, reduce queues through cashier-less payment, replenish stock by real-time stock monitoring, and digitize store display and trial rooms. I highly recommend AI for retailers who want to optimize their time and improve customer service.

Amazon has launched Amazon Go and Just Walk Out shopping technology, which responds every time a customer picks up a product from the store shelf. Kroger Edge technology has also been able to cut down costs by introducing smart shelf tags instead of paper price tags.

2. Chatbots To Assist With Customer Service

Omnichannel retail has made sure that customer interaction doesn’t start and end in a retail store. Artificial intelligence solutions in retail can effortlessly improve customer engagement by building interactive chat programs. Chatbots can be an effective way to communicate with customers. They can answer frequently asked questions, recommend products, address grievances and collect valuable data from your customers before diverting the call to a telesales executive, if needed. The chatbots can be programmed to self-learn from past data to keep refining and personalizing their subsequent interactions with the customers. The accuracy with which AI-powered chatbots handle data and customers cannot be matched by human intelligence.

H&M’s chatbot on the messenger app Kik, which allows users to make a choice from recommendations, filters and style preferences, set the fashion brand ahead of its competition way back in 2016. View More