There’s no doubt artificial intelligence (AI) is going to have a significant impact on the online marketing industry in the near future. AI is already starting to disrupt the online marketing sector in more ways than one, and there’s no better company in using the rise of AI to their advantage than Amazon.
Amazon is the leading eCommerce company that sets the standards for many aspects of customer experience. When it comes to innovation, they are the frontrunner and have taken things to the next level by shifting the company’s focus to AI technology and machine learning efforts.
How Amazon and Other eCommerce Marketers Use Artificial Intelligence
In this article, we will uncover the current and future applications of AI in eCommerce.
Voice Search and AI Assistants
We’ve all heard about Apple’s Siri and Amazon’s Alexa. They are both outstanding but still have a long way to go to improve their understanding of our requests. AI assistants have gotten better over the last few years when it comes to delivering and understanding our demands, but there is still plenty of room for improvement.
These voice-recognition systems like AI assistants are crucial to draw results that match the searcher’s intent. However, unlike type searches that map to relevant keywords — like the Amazon A9 algorithm — voice searches are more complicated. They are more extended and less direct. Also, in order for AI assistants to recognize and interpret numerous natural language patterns, its algorithms must be enhanced.
The neural network, a specific type of AI is the system responsible for emulating how the human brain learns and makes decisions. To take off and make a significant change in online shopping. Experts would agree that experience doesn’t need to feel like you are interacting with a computer but will give you a feeling of human interaction.
Hyper-Targeting Using Machine Learning
Targeting the right consumers is becoming a more straightforward task for digital marketers. This method can help them gather insight from the data available to them.
Understanding AI will be a holy grail for marketers for the coming years. They can go well beyond advanced demographics to target shoppers. Machine learning algorithms will be crucial in finding patterns for both online and offline data to understand what consumers would likely be interested in buying. Social profiles and interactions, search and purchase history, and geolocation are goldmines of consumer data.
When you target your consumers with the help of machine learning, your marketing methods can be precise and contextual. It makes it possible to determine your target consumer’s shopping history and predict future purchases. The data gathered will be essential for purchase recommendations that sellers can serve on their selling channels.
Personalized Customer Experience
Artificial intelligence will help accelerate the search for less subjective customer insight. In B2C retail, marketers won’t need to throw money on big market research surveys anymore in order to understand customer preferences. Customer data is everywhere, and machine learning is crucial in helping retailers identify their target consumers’ needs and wants.
Product recommendations engines run on learning algorithms that utilize a consumer’s shopping history to personalize suggestions. Amazon is known for its superior data science teams that gather data about demographics, customer loyalty, purchase trends, and browsing patterns that allow retailers to anticipate demand, determine potential customers, and deliver personalized offers and recommendations at the right time.
Chatbot-Enabled Customer Service
According to Finance Digest, 95 percent of customer interaction will be handled by a bots by 2025. This might be news to some, but an AI expert wouldn’t flinch at this forecast. Developments in artificial intelligence will enable chatbots to analyze consumers’ demands in a wider variety of scenarios.
Some digital marketers already utilize chatbots for an easier website and social media management. However, it still needs human oversight and is best employed in well-defined situations where general responses are mostly expected. But just like other things run by artificial intelligence, — bots need continuous development. Amazon is implementing chatbot technology to automate their online channels better through Amazon Lex. Amazon Lex is an AI service designed to build conversational interfaces into any application that utilizes voice and text.
This is an excellent tool for Amazon retailers since bots don’t need sleep or days off. It will help sellers provide more reliable and cheaper customer support. It is also available 24/7 for customers who need support. The right Amazon advertising agency can help retailers set up a smart chatbot assistant to offer high-end customer care to online shoppers.
However, there are still people who cringe at the thought of having bots handle customer service. The good news is that AI has come a long way, and its applications in eCommerce are far-reaching. AI can help eCommerce marketers provide their consumers with a more convenient, more responsive, and reliable predictive chatbot customer service.
Artificial intelligence is more accessible for business, making it an essential part of digital marketing and economic growth. There’s no doubt that artificial intelligence significantly influences the choice of online shoppers. It will play a significant role in providing relevant recommendations and timely customer service for online marketers. Looking at the ways that Amazon can make use of artificial intelligence will better enable their retailers to meet the expectations of their customers.
Jayce is the managing director of Seller Interactive, an Amazon marketing agency dedicated towards helping brands grow on Amazon. His content marketing expertise has led him to work with brands such as Toyota and GoDaddy, producing content that reached over 20M views in a month. He is on a journey to help D2C brands scale their business on Amazon.