Retailers face massive competition and economic pressure, yet many are still using online merchandising techniques that are sub-optimal and manually-intensive.
The use of AI is widespread in many industry sectors, but why haven’t more e-commerce teams adopted AI technology?
It might be due to concerns about the system making bad decisions. But there is always a reason for those decisions – they are based on set business goals such as conversion, profit or revenue, rather than the personal taste of a merchandising team. And retailers do know that AI and machine learning is the future. In a recent report by Oxford Economics, 72% of retailers see AI as a “competitive necessity” in the next five years.
If you haven’t explored the possibilities with AI, our report Making the case for AI in online merchandising explains the differences between traditional and AI-based merchandising, explores the benefits of machine learning, and reviews the organizational changes that are needed.