5 Ways Artificial Intelligence can Improve E-Commerce Metrics

Artificial intelligence is the latest wave in elevating e-commerce experiences and revenue. From profit margin growth to improved conversion, artificial intelligence is changing the way e-commerce sites are growing their businesses.

  1. AI can increase profit margins Websites, and e-commerce sites are far more successful when customer service assistance is readily available. However, this creates a big expense for e-commerce site owners who need to pay customer service workers. Today, customers expect 24-hour service since e-commerce shopping takes place at all hours of each day. However, employing a 24-hour customer service team creates a huge overhead cost and makes a deep cut in profit margins. AI, such as chatbot technology, allows e-commerce sites to create 24-hour customer service to improve retention, conversion, and repeat traffic, with a very low overhead cost.

  2. Chatbot technology improves user relationships through availability and social language Just as AI improves e-commerce metrics through low-overhead and 24-hour service, it also gives e-commerce sites a metric boost using social language. Impersonal text responses and even inconsistent customer service delivered by human representatives can cause e-commerce sites to lose customers. Chatbot technology employs a social-language approach that ensures consistency in elevated customer service and creates pleasant personal interactions between the business and the user. This customer service experience results in better website retention, repeat traffic, and improvement in metrics such as conversion and unit growth.

  3. Automated sales assistance can follow up with leads or abandoned carts AI automated sales assistance technology enables e-commerce businesses to follow up with previous customers, leads, and those who have abandoned carts. Humanized two-way conversations via e-mail help retarget any lost business and drive repeat business.

  4. AI for promotional strategizing AI technology can be used to fine-tune promotional strategies based on data. This technology can interpret data to understand user behaviors and anticipate user reactions to promotions and marketing strategies. This ability for precision marketing and promotional strategy can improve traffic, conversion, unit growth, retention, and repeat business.

  5. Haptic technology improves site retention and reduces cart abandonment Haptic feedback uses vibrations to signal the user about a multitude of things from alerting them that they are about to leave the page to the addition of an item to their cart. Haptic technology reassures users that a task has been completed and warns users to against unwanted actions such as exiting a page before they have finished. Haptic technology greatly reduces cart abandonment, increasing overall sales revenue. Haptic technology can also be used to improve metrics such as units per sale by providing a pulse of vibration to alert the customer of a last minute deal to add on to their sale or a limited time offer. The vibrations draw the user’s attention at the moment and prompt impulse buys.

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