Artificial Intelligence at play in retail

One of the most used word in today’s time is Artificial Intelligence.

Tools like ChatGPT is everyone’s favorite.

Artificial Intelligence is playing an important role in retail sectors with brands using the AI bots to enhance their customer experiences, faster customer complaint redressals, to enhance engagement through data analysis on past buying behaviour and predicting the future purchases.

AI is revolutionizing the way brands approach customer-centricity, allowing businesses to better understand, engage, and serve their customers.

a)?????? Customer engagement through experiential retail

?By leveraging data and advanced algorithms, AI enables brands to personalize interactions, streamline operations, and predict customer needs with unprecedented precision.

Case example 1. Starbucks: Personalization through AI

Starbucks uses AI-powered tools like its "DeepBrew" recommendation engine to deliver personalized experiences to customers.

By analyzing data from previous orders, customer preferences, and even the time of day, DeepBrew suggests tailored drinks and promotions.

This personalized service enhances customer satisfaction, drives loyalty, and boosts sales by offering targeted recommendations.

b)?????? AI in chatbots/Virtual assistants.

?Sephora: Virtual Assistance and AI-Driven Customization.

Sephora, a global cosmetics retailer, has leveraged AI to enhance its customer service and offer personalized product recommendations.

?The Sephora Virtual Artist app uses AI to let customers "try on" makeup virtually, while its chatbot, Sephora Virtual Assistant, provides product advice based on individual needs.

This approach not only helps customers make informed purchasing decisions but also strengthens the bond between the brand and its customers by providing a highly interactive, personalized shopping experience.

c)?????? Artificial Intelligence in ?Predictive Analytics

Netflix is the best example of predictive analytics.

Netflix relies heavily on AI-driven algorithms to personalize content recommendations for its users. By analyzing viewing history, ratings, and user behavior, Netflix can predict what movies or shows a user is likely to enjoy, ensuring an engaging and personalized experience. This keeps customers satisfied, reduces churn, and increases subscription retention.

To learn more about AI and Beauty brands, click here

Another example is Amazon.com, I buy most of my books from amazon and am i love their recommendation tool as it suggests the book tittles as per my preferences and each of the suggested books are priced read for me.

Sharing one of favorite marketing activation using Augmented reality by Burger King to drive footfall into their stores.

How can brands initiate their AI adoption?

One of the easiest way to adopt and embrace AI in your business is to link it to your chatbot or chat function of your website.

Let the AI assist your customers to make their product selection by providing content information and product benefits.

Personally, i wont suggest using AI tools for complaint redressal since Artificial intelligence cannot replace the warmth of tone of a human customer service representative.

Remember, People prefer doing business with People.

Artificial Intelligence is here to assist the business and not replace the human beings from the business.