Page 16 - AeM_November_2019

RESEARCH, ANALYSIS & TRENDS

Smarter retail thanks to AI

AI can independently keep an eye on the shelves,
alert employees when supplies run out, and check
inventory for permanent availability. In addition,
‘Predictive Analytics’ also help retailers forecast
bottlenecks and identify suppliers that can deliver
the fastest. In this way, customers who might get
lost to the competition through missing goods, are
retained.

• Supporting employees through technology: A
key advantage of retail stores is the personal advice
provided by the staff, which many customers expect
and do not want to go without. It’s a fact that if the
customer is uncertain and not a consultant nearby,
Skeptics foresee the demise of the brick-and-mortar this leads to a quick abort. AI can intervene here
shop due to the convenience of online shopping, but this preventively: using the already installed surveillance
impression is misleading. Retailers can give their cameras and learning algorithms, the system
businesses a new impetus by optimizing the buying detects whether a customer is able to cope on his
experience with some help from new technologies such own, for example, when he is moving purposefully
as Artificial Intelligence (AI), as the following points or is insecure and stays at a certain point for a long
prove: time. If this is the case, staff can be alerted by push
message and sent to the site to proactively help.
• Personalization must be top priority: if a customer This gives the customer the necessary advice,
takes a specific product, he or she can receive offers which increases the probability of purchase. In
for other items that complement the purchased item – addition, the system learns from previous
e.g. if you buy a winter coat, you will receive encounters and can optimize its approach
suggestions for matching scarves or gloves. successively. If an employee in a particular sales
Likewise, the AI can point to products that are department is particularly successful, the AI can
currently on offer or would fit the previous item. That specifically alert him and thus increase the sales.
way, the customer is pleased about suitable offers
and the retailer profits from higher sales proceeds. • Digital Transformation in the cabin: Changing
cubicles will no longer need mirrors in the future.
• Optimization of the Customer Journey: with Artificial intelligence, in conjunction with interactive
Artificial Intelligence (AI), retailers can analyze the displays, adds value to customers by recognizing
aggregated data from online and offline purchases to the tried-and-tested garment and projecting it onto
help customers get faster to their products. If a their own body. The time-consuming trying on of
customer has viewed a particular product in the sometimes several articles is shortened by
online store but has not bought it, he can be directed displaying the clothes on the customer’s body. If not
to the spot where he finds it when he enters the store satisfied, customers can then quickly get
again. The payment process also offers great suggestions for other colors, models or sizes as well
optimization potential. Just think about Amazon Go as additional accessories that complement the outfit.
convenience stores: sensors recognize which goods The system can also provide advanced service and
the customer is packing, so that buyers can leave the e.g. offer to have the purchase directly home.
store immediately while the amount is deducted from
their online account without having to spend a long Therefore, retailers don’t need to be afraid of the future.
time cueing at the cash register. Buyers are not calibrated per se for online or offline and
prefer the advantages of both models depending on the
• Having everything ready: An empty shelf does not situation. Progress also provides the opportunity to
bring any money, because customers often lack the bring the conveniences together and takes the
time or motivation to search for personnel when shopping experience to a new level with AI.◊
looking for a specific product. At the same time,
employees can’t constantly check for availability at By Daniela La Marca
peak times.

16 November 2019 - E-Commerce & Digital Retail Marketing