Consumer Decisions & Artificial Intelligence

Consumer Decisions & Artificial Intelligence

Consumer Decisions & Artificial Intelligence E-commerce companies utilize artificial intelligence to guide their product launches, improve their interfaces, and to understand their consumers better. E-commerce has been incorporating conversational Ai: computers that people can interact with through verbal conversation. Conversational Ai enhances companies’ ability to create sales, serve as a customer care team, and market other goods while reducing costs.

One of the leading players in conversational Ai is Snaps – a company that connects consumers and businesses. Snaps has worked with brands such as Under Armour, Michael Kors, Jordan, among many reputable others. Their platform enables companies to integrate Ai-backed chatbots into their websites and social media channels. The autonomous chatbots uses emoji keyboards and delivers personalized messages to each consumer.

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For example, Snaps worked with E. & K. Gallo Winery to help consumers identify the best product based on their individual preferences. Snaps collects consumer data to guide consumers decisions about which wine to buy.

“[Snaps] gives us the opportunity to engage one on one with our consumers and to offer a utility for them in their purchase decision. We’re able to use the insights we collect to further optimize our shopper marketing initiatives.”

Conversational Ai has allowed brands to connect emotionally with their consumers, which increases consumer retention and sales. Gartner predicts that by 2020, more than 85 percent of consumer interactions with businesses will be managed by Ai without physical human involvement. Snaps eliminates a variety of customer service costs, which expands profit margins. Juniper Research found that chatbots like Snaps will be responsible for saving over $11 billion annually by 2023 (up from $6 billion in 2018).

Other companies akin Apple, Google, Amazon, and Facebook have also made in Ai voice assistants; Amazon’s Alexa and Apple’s Siri allow consumers to order products and provide users with answers to simple questions. Chatbots utilize the same technology but in the form of messaging. By 2023, chatbots will save over 2.5 billion customer service hours, and it is expected that 70% of chatbots accessed will be retail-based.

Top fashion, travel, and food and drink companies are already utilizing this innovative, practical, and cost-reducing technology. Chatbots will become ubiquitous in the retail sector in the coming years due to the sense of connectivity it generates between consumers and retailers.

Warburg Pincus x Vice Chairman Dr. William H. Janeway

Consumer Decisions & Artificial Intelligence Written by Alexander Versfeld, Edited by James Mueller