When the market is constantly evolving, and the expectations of the customers are quickly changing, the online retailers are at an increased pressure of providing an unparalleled shopping experience to its customers. The best choice to engage customers and offer a standout experience is none other than personalized merchandising. The option has significant improvement with the development of Artificial Intelligence or AI. The technology helps the customers to choose products from a generic list to specific as per their choices. An AI empowered platform helps the customers to create real-time data segments, and that plays an important role in product selection from recommendations to automated optimization.
It should be noted that personalization has become the differentiating factor in the online retail industry. It is considered as a sign of customer-centricity and driving better customer satisfaction rate. Personalized merchandising has the power of converting more sales, and also adding a long-term business relationship with customers. Thus, AI becomes the obvious option for increased revenue for the retailers who have implemented the system in their online retail platforms. The AI-enabled personalized merchandizing enhances the shopping experience through a number of steps. It silently monitors the behavior of the customers and deciphers what they look for and what are their priorities in the online retail store.
Understanding the behavior of the customer and responding to their needs make AI-powered platforms to offer a unique experience. For instance, if a customer regularly checks reviews, the AI platform would arrange the products according to the review rating with the highest on top of the page. The AI system also analyses the purchase history of each customer and suggest complimentary items that can add value to the initially-purchased products. People would have noticed many times that after purchasing a mobile phone, they see recommendations of smartphone cases for the particular phone – the power of AI.
AI has got more integration in the recent years while coming to personalized merchandising experience. It helps retailers to give product recommendations to the makers or vendors based on customer choices. It also helps E-commerce outlets to set inventory according to the interests and choices of customers better. AI systems are also useful for online retailers to strategize individualized marketing plans targeting the customers. These are executed through pop-up messages, email promotion campaigns, notifications in the app, and more. Considering the transition of AI, customers and online retailers are expected to get more enhanced experience and sales in the coming years.