What factors increase the popularity of online stores? What AI-powered tools help manage e-commerce sites? Find answers to these and other questions in the second part of our article!
Dynamic prices and promotions
In online sales, product prices are adjusted for many variable factors. It is impossible to modify them on an ongoing basis unless automated processes are used. Appropriate tools supported by AI engines enable continuous price changes for specific items, adapted to the region in which they are shown, inventory levels (especially in the case of limited edition products), as well as the purchase history of a given user, their personalized discounts, and the price history of a given product on the e-commerce site. Technology supported by artificial intelligence uses data and algorithms and even feedback loops to do this. Some of the tools of leading e-commerce giants that use such advanced procedures allow product prices to be changed even several times a day. They also help you analyze variables such as other sellers’ prices, the availability of a particular item on the market, demand, and historical sales figures.
All of these mechanisms used by AI to dynamically change prices and promotions are not possible with human labor alone. Thanks to artificial intelligence, online stores are able to react and change product prices in real time, in line with shoppers’ expectations. It is worth mentioning that a significant number buyers, when making purchases, first compare the prices of products from several different sellers, often in order to buy them from the one that has the most attractive offers.
Personalized loyalty programs
The purchases Customers make in online stores are often recurring. AI-supported tools also take advantage of this tendency. This technology stores data about shoppers’ orders, buying tendencies, favorite products, and how often they return to a particular store. It then develops a strategy that allows stores to build a longer-term relationship with a particular Customer. This strategy includes a permanent discount that is added to every purchase, occasional discounts (for example, based on the user’s birthday), a referral program that guarantees even lower prices, and rewards for the most loyal shoppers.
Such practices help companies attract Customers who return to their store regularly, frequently, and are willing to spend more. Tailored offers and loyalty programs that meet users’ needs build trust among shoppers, which often leads to a good, long-term relationship.
Advanced product description generation
Every online store requires a lot of work from numerous specialists. If you want to sell your product and reach the widest possible group of potential Customers, you should not only optimize the search engine of your sales site, take care of the appropriate visual presentation of the offer, and offer promotions to buyers, but also take care of the best possible product description of each item sold. Such texts are created by professional copywriters. Their work is often time consuming and needs to be paid accordingly. That is why tools equipped with artificial intelligence have been created to facilitate this type of work. In this respect, AI significantly improves the process of creating effective and attention-grabbing product descriptions. Such tools can significantly simplify the work of copywriters and shorten the process of placing products on the website. Artificial intelligence offers many solutions designed to create unique item descriptions, full of keywords that attract the attention of buyers and also emphasize the benefits of a given product. Such solutions are particularly useful in situations where it is necessary to prepare several or even a dozen different descriptions of similar items, which will also be optimized for SEO.
Detailed and professional product descriptions often play a decisive role in a Customer’s decision to buy. They contain features of a particular item, details, and specifications that are important to buyers and often make or break a purchase. Properly written product descriptions that provide comprehensive information about the product/service being purchased significantly reduce the number of returns and complaints, thereby increasing Customer satisfaction. Using artificial intelligence to assist in the creation of product descriptions gives companies the opportunity to build good relationships with buyers and increase their credibility, thus strengthening the company’s position on the market.
Fraud detection
Many online stores are now equipped with AI-powered cyber fraud protection. Unfortunately, as online sales have accelerated, so have the statistics of illegal financial transactions made in virtual stores. However, many companies are seeing an increase in shopping security since the introduction of tools using artificial intelligence to protect e-commerce sites and shoppers. Their task is also to identify suspicious behavior and transactions, as well as inconsistencies in product descriptions. They can also efficiently verify user data, the authenticity of their debit and credit cards, and identify specific Customers. These improvements also make it possible to diagnose problems caused by inadequate security and identify areas of the store that require special technical attention.
Service supported by AI chatbots
Online store Customers are accustomed to 24-hour service. As a result, regular chats with agents who are available only a few hours a day and whose responses require preparation are no longer convenient for shoppers. Research shows that many of them prefer to be assisted by virtual sales assistants. AI can help here, too. It provides stores with a consistent, high-quality service that is tailored to the type of store. AI chatbots allow Customers to get information about a specific product at lightning speed. Such solutions can also help shoppers resolve any issues they may have with their purchases. With these tools, e-commerce sites can provide their users with a best-in-class experience that meets their shopping needs.
Demand forecasting and inventory management
The range of products offered by many online stores is constantly growing – in direct proportion to Customer demand. With warehouse shelves filling up and orders constantly coming in, it can be difficult to find room for regular and detailed inventory counts. As a result, more and more business owners are choosing to implement AI tools to facilitate inventory management and ensure constant control over the items that are running low. This is achieved, among other things, by using smart cameras and sensors that send information about the quantity of goods to the appropriate units in the company. These solutions also provide information on whether some items are in need of urgent restocking. In addition, they analyze the historical sales of these products, helping companies decide which ones to keep on hand, which ones to stop ordering, and which ones to withdraw from the shelves.
The availability of products that are attractive to customers in online stores significantly improves their popularity. Major stockouts, on the other hand, can discourage many shoppers. AI in this area minimizes the risk of unnecessary complications and also helps warehouses struggling with overflowing shelves.
Hicron – your trusted partner in e-commerce projects!
Are you looking for an experienced partner and advisor to help your company implement and operate online stores? At Hicron, we created an offer specifically tailored to the needs of e-commerce. Our experts will work with you to analyze your company’s needs and help you choose the optimal solutions customized to the individual requirements of your business. We are trusted by organizations from various industries around the world. Want to discover new opportunities for your e-commerce? Contact us!
Sources:
Product Search vs. Product Discovery: How AI Addresses Both, https://www.coveo.com/blog/product-search-vs-product-discovery/.
