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Retail Business Review | Thursday, April 14, 2022
AI has become more than a technology preferred by previous adopters or companies willing to try anything new. It has matured systematically in the past few years.
FREMONT, CA: With the upgrade of technology, retailers are gradually moving beyond artificial intelligence (AI) pilots and adopting AI to take off across the industry. The advantages of AI in the retail industry are well perceived. With the support of AI, retailers can improve different methods and merchandise, cut expenses, forecast inventories, and provide exceptional customer experiences.
In a recent analysis, only nine retailers had started discussing AI-related strategies for their websites or stores out of 1,600 earnings calls from above 50 publicly trading U.S. retailers. For every technology, the early buzz around AI was prominent and pervasive. However, the calculated approach to implementing AI across the organizations stands unclear.
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AI can now have a large business implication above the pilots and creative one-offs, which can have noticeable impacts. Customer service is one of the cases that has become a growingly critical and disappointing part of the business.
In the relationship economy where we live, customer experience is considered equal to quality, price, and brand name in dictating purchasing habits. In addition, customers tend to place an increasing, growing premium on the support they get and attain extreme satisfaction from an interaction with the retailer when an issue or question is reported. Therefore, interacting directly with customers can have a tremendous impact on purchasing decisions.
Around 77% of U.S. consumers feel positive that excellent customer service is essential to earn loyalty and profitable business. Therefore, retailers need to grant the customer support that their shoppers expect because when a competitive product is being used quickly, a lousy instance can lose a customer forever.
The purpose of advancing technologies is to let convenience. Companies expect to have exclusive experiences with a little effort on their terms across every aspect of their lives. Retailers must bring AI into their workforce to work together with human agents and meet the rising customer demands in no time. The AI-driven virtual agents can react less than a second to repetitive, everyday issues such as order status or refund requests.
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