5 Ways AI Can Benefit Your Ecommerce Business

IPWITHEASE | Blog,IT & Business

The e-Commerce industry is seeing a rapid boom as customers look to purchase goods and opt for services online conveniently. The overall e-commerce market size grew to a whopping amount of $ 16.6 Trillion in 2022. Experts believe the eCommerce industry will witness a CAGR (Compound annual growth rate) of 27.38% from 2022 to 2028.

While the eCommerce industry is growing and becoming more lucrative, businesses now face higher competition. Traditional methods to grow your eCommerce business might not be enough. Nonetheless, leveraging AI (Artificial Intelligence) technology can benefit your business greatly.

5 Ways AI Can Benefit Your Ecommerce Business

Ways AI Can Benefit Your Ecommerce Business

Here are the 5 ways AI can benefit the ecommerce business:


1. Provide A Personalized Customer Experience

Personalization refers to the process of enhancing the customer experience by structuring it around their core preferences. It highlights critical elements, such as products, campaigns, or brands that suit your customer’s tastes and preferences, and displays them to a customer while they’re navigating your website or mobile app. 

There are various AI tools that can help you with personalization. For instance, using tools like Wix ADI or Fast Simon is an optimal way to help you with your eCommerce personalization. These platforms utilize AI and ML technology so you can optimize your entire eCommerce website development. As a result, users can enjoy a more customized experience when shopping online, seeing products, services, or offers they’re more interested in.

2. Higher Customer Retention

Getting old customers back will cost you less money than finding new ones. These old customers also act as brand ambassadors for your brand who can tell friends, families, or other people about your brand or products. But how do you retain more customers for your online business? Well, the answer is through leveraging AI technology.

AI can also help you identify consumer trends by analyzing their shopping patterns. Consequently, AI allows you to enhance the customer experience in two ways. Firstly, as mentioned earlier, AI technology helps you provide a personalized experience to meet customer expectations in a better way. 

Secondly, it assists you in helping customers through channels that they prefer. In short, AI helps you cut your costs while increasing your customer retention. 

3. Optimized Customer Support

When entering a conventional brick-and-mortar store, you’ll find a salesperson most of the time willing to help you out. They guide the customers through the aisle and answer customer queries about the items. This support is something that might not be available in an online setting. And if it is, it would be rather costly.

Customer support requires a human touch — someone who knows the business and its products/services; hence, adopting this strategy can be difficult for an eCommerce business. Nonetheless, that might not be the case anymore since you can use AI to transfer this concept online. 

AI chatbots are now becoming an essential element of eCommerce websites. This robust tool can easily answer in-the-moment questions of customers regarding different things. Not just that, but they can also understand the customers’ needs and recommend them products accordingly.

4. Retargeting Your Customers

Retargeting is all about reminding your target audience about the products or the brand. The primary goal of retargeting is to reach users who used or even visited your eCommerce website. These customers either purchased goods from your portal or abandoned the cart halfway through their journey. 

AI assists you in finding the users’ behavioral patterns. You can utilize the information AI gathers to understand customer expectations and attract users accordingly so they return to your eCommerce store. An effective strategy to retarget your target audience is push notifications. They provide customers with brief insights in an engaging manner. Sometimes, just reminding them that there’s a new offer, or that they left their online shopping mid-way.

Not just that, but using AI for your remarketing efforts is extremely budget-friendly. It is because retargeting helps you decrease the cost of every impression. 

5. Search Merchandising (Smart Search)

Many users will head to the search box when they click on a website. Consequently, these types of users have a higher conversion rate than those that are just browsing. The problem is that the customers might not get search results that are in line with what they want. Even if the customer uses the right keywords, there is a chance that the search results might not be relevant. 

This is where “Search Merchandising” a.k.a Searchandising comes into play. Some people also refer to it as smart search which refers to merging merchandising strategies with online search practices. Search merchandising is all about using traditional search techniques with advanced elements like: 

  • Relevant queries
  • Recommended product listings
  • Recent searches
  • Navigation
  • Faceted search
  • Autocomplete

Some eCommerce businesses are already seeing the potential in such creative search solutions. Therefore, various brands now provide a better search experience through personalization and a user-friendly interface.


Robust AI technology is a necessity rather than a luxury in today’s eCommerce landscape. The hyper-competitiveness and high customer expectations make it difficult to sustain your eCommerce business in the long run. 

Nevertheless, as a business, you should start leveraging AI technology to get ahead of your competition. Using artificial intelligence tools, you can streamline customer experiences when users are shopping on your website. 

Continue Reading:

What is ChatGPT And How Can You Use It?

What Is Privacy Enhancing Technology? And How It Protects Your Data


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