How AI Is Taking Over the Retail Industry
Despite what others may say, brick and mortar retail stores are still going strong. In fact, market research authority Euromonitor International has predicted that up to 83% of products purchased in 2022 will be bought in-store, though this doesn’t mean that retailers can just keep doing what they’ve been doing for years. Younger and more engaged consumer generations are faced with a plethora of options when looking to make a purchase and one thing that they insist on is a personalised shopping experience.
Shoppers nowadays expect retailers to reach out and give them a reason to choose them over the competition. The increased convenience, and oftentimes lower prices, offered by online stores means that brick and mortar retailers are having to become more creative than ever to attract and retain customers. This can typically be achieved by optimising in-store experiences – giving consumers a reason to visit your store instead of shopping online – and one of the best ways to go about this is to update in-store technology.
Artificial Intelligence is one of the hottest technologies available and provides retailers with the opportunity to offer their consumers unique experiences by bridging the gap between virtual and physical shopping. However, AI isn’t something you can just “add” to your store. It needs to be blended with new or existing technologies and, for best results, should be used to provide value to consumers. The following are three ways AI is currently being by retailers across the globe.
Three Ways AI is Helping Retailers
AI in retail, particularly machine learning, has been a godsend for brands who collect and rely on customer data to generate and optimise conversions. Unlike conventional methods like consumer surveys and costly, time-consuming market research projects, AI harnesses the power of machine learning to constantly learn more about customers, predict future trends, and helps retailers streamline inventory management – thus enabling them to give consumers what they want when they want it.
Much like how machine learning has evolved to provide us with alternatives and recommended products when we shop online, AI retail services help brick and mortar retailers understand their customers, figure out what they like, and predict future retail trends. This helps stores find out more about their target audience while facilitating a more personalised shopping experience for consumers.
Predict Future Trends
Based on a combination of past user behaviours and purchase history, machine learning algorithms are spearheading decisions for retail giants like Amazon and predicting the next big trends way before the competition. This not only gives retailers a competitive edge, but streamlines efficiency, helps retailers cut down on market research costs, and helps consumers quickly find what they’re after.
Streamline Inventory Management
AI retail services can play a crucial role in helping retailers manage their inventories by leveraging past customer data and purchase decisions to determine future customer demands. This allows retailers to better determine things like supply, pricing, and even product placement throughout their stores.
The Future of AI Retail Services in the UK
The above are just some of the ways AI is being used to help retailers and it wouldn’t be wrong to assume that AI will eventually come to dominate the retail sector. Is your brand ready for the AI revolution? Get in touch with the experts at Untitled Project and learn how their UK AI retail services can help your brand in 2020.