Festive Future: How Tech is Reshaping the Holidays

The holidays are a time for connection, joy, and cherished traditions. In the age of technology, the way we celebrate is evolving rapidly. From personalized AI gift recommendations to immersive virtual gatherings that bridge geographical distances, tech is transforming every aspect of the holiday season.? Lets take a look at how technology is impacting they way we celebrate,

Personalized Purchase Recommendations

AI and machine learning are revolutionizing holiday shopping. Unlike forecasting customer demands during regular months, organizations consider trends which are thematic to the festive season based on a user’s past purchase history, browsing behaviour and bounce rate. For instance, if a customer frequently buys outdoor gear and lives in a snowy region, AI algorithms suggest winter sports equipment ahead of time. These personalized campaigns create a sense of anticipation and encourage early planning, thereby increasing customer engagement and driving sales.

This proactive approach, exemplified by Amazon's "Personalize" recommendation engine has increased customer engagement and driven sales. In 2023, Amazon reported a 35% sales increase due to its recommendation model. This model has been publicly deployed and can be used by other businesses and organizations too.

Holiday Gifts: Verified on the Blockchain

Luxury brands like Gucci, Hermes and Louis Vuitton are leveraging blockchain technology to verify the authenticity of its products sold. By creating a secure digital ledger that tracks a product's journey from origin to customer, blockchain ensures transparency and builds trust. Events like holidays lead to a massive surge of demand which creates a large supply flow in turn. Leveraging Blockchain technology enables the end-user to ensure that the product that they are gifting and/or receiving is genuine amidst the large influx of products in the market.?

This is how Louis Vuitton implements blockchain to reinforce its commitment to authenticity & quality:-?

• Product Registration: Each Louis Vuitton product is assigned a unique digital identity code upon creation, which is in sync with the blockchain data.
• Supply Chain Tracking: The product's journey, right from manufacturing to retail, is recorded on the blockchain. This includes details like the location of production, the craftspeople involved, and certifications obtained. The blockchain tracks a product's movement through the supply chain, right from the factory to distribution centers and finally to the point of sale which includes date of purchase, retailer and purchasing customer information.?
• Customer Verification: Customers use the LV mobile app to scan their Louis Vuitton product and verify its authenticity using the blockchain data.

Fraud Detection and Prevention using Analytics

During the holiday season people tend to buy countless products, exponentially increasing online transactions on all platforms; this gives fraudsters a window to implement scams and fraudulent schemes to dupe unassuming customers.To combat this, organizations employ advanced analytics to identify patterns in fraudulent activities, such as unusual purchase behaviors, purchase velocity or suspicious logins. These systems flag potentially fraudulent transactions for manual review, preventing unauthorized access and safeguarding customer data. For example, in 2023 Amazon invested more than $1.2 billion and employed more than 15,000 people – including ML scientists, software developers, and expert manual investigators – who were dedicated to protecting customers, brands, selling partners, and stores from fraud and counterfeit abuse.

Exponentially increasing online transactions; this gives Fraudsters a window to implement scams and fraudulent schemes.

Predictive Logistics and Supply Chain

Organizations face increasing pressure during the holiday season, with surging demand and heightened customer expectations. Proactive communication regarding order status and potential delays is essential to maintain trust and minimize frustration amongst valuable customers during the dizzying holiday season. AI and ML solutions are actively being used to optimize supply chains ensuring timely gift and product delivery. Global artificial intelligence (AI) in the logistics market is expected to reach USD 565.82 billion by 2033 – helping companies forecast incoming demand, manage inventory, and optimize routes during the busy festive season.?

Maersk increased its revenue to $21.7 billion in Q2 using predictive models to improve container repositioning and ships’ utilization, helping the shipping giant save millions of dollars in fuel and labour costs.

Improve container repositioning and ship utilization, helping the shipping giant save millions of dollars in fuel and labour costs

Smart Hotels and Restaurants leveraging Robotics

The holiday season is a popular time for people to visit family and friends, take vacations, or celebrate special occasions. Hotels and resorts thrive during this period, offering special packages and promotions, making it an attractive option for travelers. Hotels and resorts have begun integrating robotics to enhance the guest experience and maximize efficiency. Robotic butlers deliver room service, while robotic waiters assist with food and beverage service. The selected robot is trained to navigate hotel environments safely and efficiently. This often involves creating digital maps of the hotel's layout and programming the robot to recognize and avoid obstacles. The robot's software is configured to match a hotel's specific needs, including Wi-Fi integration, room layouts, and elevator controls. The staff is trained on how to interact with the robot and address technical issues. For instance, the Aloft Hotels brand utilizes "Botlr" robots to deliver amenities, and the Henn na Hotel in Japan has even embraced a "robot-only" approach, employing robots for all tasks.

These innovations not only enhance convenience but also deepen the spirit of giving and fostering unique connections, making our holidays magical and memorable more than ever before!

Note:

• Article authored by Meghna Sarkar , Senior Business Analyst at Infocusp Innovations
• Image reference links are embedded in the images.