How To Apply Artificial Intelligence In Retail?

Artificial intelligence (AI) in retail is a reality that is certainly here to stay. Faced with the current scenario, in which purchases that integrate the physical and online environments only increase, it is necessary to create strategies to optimize the purchase journey and make the customer experience memorable. Both goals can be achieved with the help of this feature.

After All, What Is The Importance Of Artificial Intelligence?

When it comes to AI, some companies in the retail industry still don’t fully understand why it is so important. To begin with, it is a technology that meets the new consumer profile, who expect nothing less than excellence in all points of contact with their favorite brands.

Another important aspect of using artificial intelligence in retail activities is service personalization. This occurs through the systematic crossing of data in the various channels offered to customers, which indicate each consumer’s purchase history, preferences, and needs.

In this way, it is possible, for example, to launch customized marketing campaigns, offer product recommendation tools, make it possible to make purchases without contacting the seller, assist in online searches, and several other actions.

Not to mention that the day gets more simplified and productive. Current applications deeply understand the automation of administrative processes, repetitive activities, and low-level decision-making. Thus, teams are freed from basic tasks and dedicate themselves to higher-level issues and problems, generating better results.

How To Apply Artificial Intelligence In Retail?

As you have seen so far, there are several ways to apply artificial intelligence in retail. To make this strategy even more transparent, we list some examples. See what they are below.

Service Chatbots

Omnichannel retail, which uses features such as AI, ensures that customer interaction doesn’t start and end in the store. Artificial intelligence solutions can effortlessly improve consumer engagement. Here come chatbots, or virtual assistants, which are an effective way to communicate with the public. They answer frequently asked questions, recommend products, resolve complaints and gather valuable data before diverting the call to an agent if necessary.

Chatbots can be programmed to learn from past data and continue to refine and personalize their interactions with subsequent customer service. Human actions cannot match the precision with which AI-powered assistants handle data and customers.

An interesting example is that of IBM. In recent years, the company has been dedicating a good part of its efforts to developing an artificial technology of its own, which it has named Watson. In retail, it has been used to optimize customer purchases, helping with online searches and the experience in physical stores.

This technology was taken advantage of by retailers like Macy’s, who used it to make it easy for customers to locate every department in the store. And as more searches are performed, the data is processed and interpreted so that the results are better and better.

Stock Area

All ends of the supply chain can benefit from artificial intelligence in retail. However, the inventory sector is one of the biggest winners, from autonomous replenishment systems to software that calculates when to place a new order.

In practice, this occurs through collecting a large volume of real-time data on store consumption, indicating the demand for items that must be purchased or distributed, and specifying each product.

Price Adjustments

For example, apps help companies analyze the effectiveness of various pricing models before arriving at the ideal ones for their products.

Retailers can adjust values ​​according to seasonal trends, competitive products, and consumer demand. If we consider the long-term revenue it can generate, it is undoubtedly a worthwhile investment.

Store Operation

Omnichannel retail has made store operations complex. Employees must perform several functions; work is no longer restricted to receiving goods, stocking them, and managing inventories. They must provide product information, keep track of promotional offers and handle merchandising.

Artificial intelligence in retail streamlines a store manager’s job by automating back-office activities and using robotics for quality checks. The time saved can be used effectively for other productive work, facilitating various processes.

Mapping Of Consumer Behavior

Artificial intelligence allows mapping consumers’ purchasing behavior to raise the profile of leads and customers. This will give you valuable information about the persona or semi-fictional representation of the ideal customer.

This information directs all actions aimed at a better experience in a much more accurate and personalized way, meeting needs, pains, and desires, which directly contributes to a good relationship and an increase in sales.

In addition, it is possible to know at which stage of the purchase journey each customer is for the company to carry out marketing and sales actions consistent with each step, establishing a more efficient and profitable contact.

Also Read: How AI Online Shops Can Help Through The Crisis

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