AI and Machine Learning are mainstream these days, and leading organizations like Apple and Google are pioneering fast-paced voice-activated information navigation across personal and online channels.
Customer service is the only key differentiator.
Machine Learning supports real-time recommendation programming that is necessary for eCommerce sites. Cross-selling and up-selling become easy through personalized recommendations that are delivered by sophisticated machine learning algorithms.
The success of online retail business lie in real-time suggestions:
The capability to build high potential applications is making Machine learning a focus area for AI experts. This area under AI is much more than mere rule-based systems and can be applied while developing algorithms that are data-researching and self-learning — algorithms that can identify patterns, connections, and insights to provide compelling recommendations to customers. Although machine learning algorithms have been around for a while, the ability to automatically apply complex calculations to big data more and faster — is a recent development.
Why does E-Commerce need Machine Learning?
There are many advantages if machine learning is incorporated into eCommerce processes
- Improved product search — Product search can be based not only on keywords but on customer ratings, click rates, and inventory. Self-learning search engines can understand what a customer might really want [not just what the customer has typed in]
- Informed recommendations — A recommendation can sometimes seem a better choice for a customer than what they were actually looking for. Repeated shopping experiences based on appropriate recommendations dramatically improves customer satisfaction and recall.
- Dynamic pricing — This is a tremendous benefit for online companies as they can leverage existing data and predict where demand might be from — and provide pricing that is closely aligned with the trends in the [home] location.
- Better Business Decisions — Machine learning takes care of a lot of data-oriented research like — predicting product demand, identifying potential inventory problems, classifying products and identifying keywords, managing marketing campaigns, estimating shipping /packing costs, and improving customer segmentation.
Machine learning is the biggest advancement in technology that eCommerce should probably make use of. It can be applied in many areas across a business thereby making it efficient, effective, and profitable. Now is the time to implement this technology of tomorrow.
Also, read more at https://www.payoda.com/blogs/