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AI in eCommerce: From concept to real-world impact

With 69.1% of marketers already embracing AI in their operations and 30.9% yet to catch up, this trend signals a powerful shift in the industry. Let’s take a closer look and find out why AI is essential for eCommerce success.

Artificial intelligence in eCommerce: market overview

Artificial intelligence in eCommerce uses tech like computer vision, natural language processing, and machine learning to make online shopping smarter. The big benefit? AI can handle a lot of data and learn from it, which helps in delivering more intuitive, responsive, and more personalized shopping experiences.

$17.1bn is the expected worth of AI in eCommerce by 2030
15-20% more conversions come from AI-driven personalized recommendations
270% growth in the volume of businesses adopting AI since 2019

Top AI use cases in eCommerce

  • AI-powered chatbots and virtual assistants
  • Voice commerce
  • Image recognition
  • AI retargeting
  • AI in supply chain and logistics
  • AI for fraud detection and security
  • Dynamische Preisgestaltung
  • Generative AI in eCommerce copywriting
  • AI moderation (reviews, project descriptions)

AI-powered chatbots and virtual assistants

Walmart’s chatbot is an excellent example of AI in action — it helps you find products, check store hours, and place orders all in one go. Virtual assistants go even further. They use advanced natural language processing (NLP) to understand and respond to more complex questions, simulate human-like conversations, and provide round-the-clock tailored support. These assistants learn from every interaction, getting smarter and more helpful over time.

Voice commerce

Making purchases or shopping decisions through voice-enabled technology? This is what voice commerce offers, allowing users to interact naturally with Amazon's Alexa oder Google Assistant, or other digital assistants or smart speakers. Voice commerce has evolved rapidly since Google introduced voice search in 2011. By 2018, 65% of smart speaker users saw them as indispensable, and by 2023, 38.8 million Americans used smart speakers for shopping.

Image recognition

Image recognition in eCommerce enables the visual search feature for customers to upload images and get similar products. It also helps maintain inventory through image analysis for stock accuracy and quality control. Amazon Lens is a handy tool that simplifies online shopping. With a quick tap, you can upload a picture or screenshot, and it instantly finds similar products on Amazon — no descriptions needed.

AI retargeting

In general, retargeting is a traditional advertising method. The mechanics go through targeting customers who were past customers, site visitors, or people who might have come in contact with the brand somehow. AI retargeting goes further. Rather than just depending on one large segment of users, it can build and maintain narrower and more defined audiences based on customer behavior, browsing history, and other data points.

AI in supply chain and logistics

It's not just about predicting what's coming; it's also about optimization at every stage. For example, AI can predict demand fluctuations, so you're never caught with too much or too little stock. It's also great at routing the best delivery paths to avoid traffic and get those packages to you quicker.

AI for fraud detection and security

Since the pandemic hit, 80% of medium-sized and 82% of large online retailers have seen a big increase in fraud attempts — making eCommerce businesses switch to AI-powered solutions as fraudsters get more clever. While analyzing user behavior to identify legitimate users apart from fraudsters with behavioral analytics, AI automatically triggers alerts for review and empowers security while reducing losses significantly.

Dynamische Preisgestaltung

AI completely revolutionizes dynamic pricing by taking a hint from the live data available on consumer behavior and market trends to price dynamically. It uses predictive analytics to estimate demand and sensitivity, thus making companies proactive. Thanks to automated updates, AI keeps prices competitive. It can also apply personalized offers using individual customer profiles.

Generative AI in eCommerce copywriting

In many ways, it is as if a writer is sitting inside who truly understands your brand style. AI-powered copywriting makes product descriptions tailored to each sales channel and audience, taking the headache out of maintaining consistent brand voice across all platforms. AI can be especially helpful for stores having thousands of products, where it can help to automate the translations of thousands of product titles and descriptions.

AI moderation (reviews, project descriptions)

When it comes to Shopify-like platforms, businesses can take the availability of AI plugins to automate review and project description moderations so that only appropriate and high-quality contents are shown. This saves time while improving the shopping experience in filtering out spam or inappropriate reviews.

AI-powered chatbots and virtual assistants

Walmart’s chatbot is an excellent example of AI in action — it helps you find products, check store hours, and place orders all in one go. Virtual assistants go even further. They use advanced natural language processing (NLP) to understand and respond to more complex questions, simulate human-like conversations, and provide round-the-clock tailored support. These assistants learn from every interaction, getting smarter and more helpful over time.

Voice commerce

Making purchases or shopping decisions through voice-enabled technology? This is what voice commerce offers, allowing users to interact naturally with Amazon's Alexa oder Google Assistant, or other digital assistants or smart speakers. Voice commerce has evolved rapidly since Google introduced voice search in 2011. By 2018, 65% of smart speaker users saw them as indispensable, and by 2023, 38.8 million Americans used smart speakers for shopping.

Image recognition

Image recognition in eCommerce enables the visual search feature for customers to upload images and get similar products. It also helps maintain inventory through image analysis for stock accuracy and quality control. Amazon Lens is a handy tool that simplifies online shopping. With a quick tap, you can upload a picture or screenshot, and it instantly finds similar products on Amazon — no descriptions needed.

AI retargeting

In general, retargeting is a traditional advertising method. The mechanics go through targeting customers who were past customers, site visitors, or people who might have come in contact with the brand somehow. AI retargeting goes further. Rather than just depending on one large segment of users, it can build and maintain narrower and more defined audiences based on customer behavior, browsing history, and other data points.

AI in supply chain and logistics

It's not just about predicting what's coming; it's also about optimization at every stage. For example, AI can predict demand fluctuations, so you're never caught with too much or too little stock. It's also great at routing the best delivery paths to avoid traffic and get those packages to you quicker.

AI for fraud detection and security

Since the pandemic hit, 80% of medium-sized and 82% of large online retailers have seen a big increase in fraud attempts — making eCommerce businesses switch to AI-powered solutions as fraudsters get more clever. While analyzing user behavior to identify legitimate users apart from fraudsters with behavioral analytics, AI automatically triggers alerts for review and empowers security while reducing losses significantly.

Dynamische Preisgestaltung

AI completely revolutionizes dynamic pricing by taking a hint from the live data available on consumer behavior and market trends to price dynamically. It uses predictive analytics to estimate demand and sensitivity, thus making companies proactive. Thanks to automated updates, AI keeps prices competitive. It can also apply personalized offers using individual customer profiles.

Generative AI in eCommerce copywriting

In many ways, it is as if a writer is sitting inside who truly understands your brand style. AI-powered copywriting makes product descriptions tailored to each sales channel and audience, taking the headache out of maintaining consistent brand voice across all platforms. AI can be especially helpful for stores having thousands of products, where it can help to automate the translations of thousands of product titles and descriptions.

AI moderation (reviews, project descriptions)

When it comes to Shopify-like platforms, businesses can take the availability of AI plugins to automate review and project description moderations so that only appropriate and high-quality contents are shown. This saves time while improving the shopping experience in filtering out spam or inappropriate reviews.

AI in eCommerce: examples of successful implementation

eBay’s AI-powered platform

eBay uses artificial intelligence throughout its platform to improve the buying experience and further enable sellers. AI-powered features range from search optimization and personalized shopping journeys to simplifying the guest checkout process. eBay offers AI-powered tools that help sellers improve their product listings, refine ad targeting, and enable global transactions.

Zara — Robot-assisted collection points

Zara is enhancing its click-and-collect service by introducing robot-assisted collection points in stores to speed up retrieving online orders. As one-third of Zara’s global online sales are picked up in-store, long waits have become a common complaint. The new automated system uses robots in the backroom to quickly find and deliver packages to drop boxes when customers scan or enter a code.

Amazon — Personalized recommendations

With generative AI, Amazon is making shopping feel more personalized and effortless. From specific product suggestions to dynamic descriptions highlighting what you care about, AI is upgrading how you shop. Project Amelia, a new AI assistant, also supports sellers by delivering personalized insights to help them grow, ensuring a more tailored experience for everyone.

Benefits of using artificial intelligence in eCommerce

Just like how Netflix knows what show you’re likely to watch next or AI-powered virtual assistants can even act as fashion consultants, AI in eCommerce is fundamentally reshaping how businesses interact with customers. This level of personalization goes beyond targeted recommendations and enables retailers to anticipate customers’ needs and expectations. Further, AI helps manage inventory through the analysis of trends and forecast demand — leading to minimal waste and availability of stock.

Personalized shopping experience
Round-the-clock customer support
Optimierte Preisstrategien
Effizientes Lieferkettenmanagement
Strengthened fraud detection and prevention
Automation of repetitive tasks
Tailored marketing campaigns
Churn prediction and customer retention

Real-life Innowise case studies of AI in eCommerce

Innowise delivers solutions for smarter interactions and efficiency, using predictive analytics, NLP chatbots, visual search, and personalized recommendations. Discover how our technologies foster innovation and deliver measurable outcomes through these use cases.

User data collecting system

72% boost in cross-selling

Innowise built a system that automatically collected and analyzed shopper activity, offering customers personalized recommendations and giving the client all the insights in one spot.

Traffic filtering system

60% reduction in response time to threats

We developed a solution that filters traffic, assesses threats, and blocks suspicious activity. It detects real-time attacks like DOS and IP spoofing, alerting clients with risk mitigation steps.

Agricultural cost forecasting service

70% reduction in forecasting time

Using data from time series, texts, images, and more, the system by Innowise relies on a unique AI algorithm that processes data points to provide highly accurate trend predictions.

Intelligent system to match customers with consultants

20% increase in user retention in the first three months

We developed an app to help customers connect with the ideal consultant. The platform matches users with consultants based on availability, preferred language, region, and more.

Inspired by the success stories you see?

Let us integrate AI into your processes for smarter growth.

The future of AI in eCommerce: trends to watch

Retailers need to be in tune with the latest trends and innovations to keep their edge. If they fail to adapt and meet customer expectations, shoppers won’t hesitate to explore other options, making it vital to continually evolve to stay relevant and profitable. Let’s see what should be their focus now.

  • AI-powered augmented reality (AR)

The huge success of Pokémon Go in 2016 brought AR into the spotlight, showing how it can engage people on a massive scale. Now, AI-powered AR is taking things further. IKEA Kreativ is a fantastic example of how AR and AI can come together to transform home design. With just a photo of your space, the app suggests everything from furniture arrangements to color schemes and room layouts. It’s like having a personal designer in your pocket!

  • Hyper-personalization

Ever notice how Amazon seems to know exactly what you’re looking for and suggests it right when you need it? That’s all thanks to hyper-personalization, which makes every part of the shopping experience feel tailored just for you. Amazon uses smart algorithms to check out your browsing history, past purchases, and search habits. They keep this info up-to-date to offer you spot-on product recommendations.

  • Advanced predictive analytics

AI-powered predictive analytics works by digging into tons of historical data to figure out what customers want and how they behave. This lets businesses create super personalized marketing strategies. So, retailers can tailor their product recommendations, manage inventory more effectively, and really engage with customers. This means such a business will have higher conversion rates and happier shoppers. And as AI continues to be smarter, the effect it will have on eCommerce sales is only going to increase, making it a must-have in anyone’s arsenal looking to stay competitive.

  • AI-enhanced marketing automation

Since 2022, ASOS has been utilizing Microsoft’s Azure software and AI capabilities. In 2024, ASOS announced a three-year collaboration with Microsoft to enhance its use of AI tools for data-driven decision-making and efficiency. With the new agreement, ASOS aims to eliminate repetitive tasks, allowing employees to focus on creative projects. This fits with the growing trend of AI-enhanced marketing automation, allowing teams to concentrate on data analysis and targeted campaigns for more personalized marketing. As this trend evolves, it will further boost customer engagement and strengthen eCommerce success.

  • Ethical AI and data privacy

As AI plays a bigger role in eCommerce, ethical AI and data privacy are big concerns. Companies gather tons of data to personalize shopping, but there are growing worries about how that data is used and kept safe. Looking ahead, the focus will be on building AI systems that are transparent, respect user privacy, follow the rules, and stay free from bias to address these concerns.

  • AI-powered sustainability initiatives

Walmart’s about to roll out this cool AI tool for waste management. Imagine AI digging through tons of data to figure out which products might create the most waste — like taking into account daily inventory changes and seasonal trends. It’s going to help them decide what to stock and when so they can avoid wasting stuff in the first place. This is a huge part of how AI is shaking up sustainability in eCommerce.

  • Seamless omnichannel experiences

If you’re a huge Starbucks fan, you’ve probably already noticed how awesome it is to use their app, order your drink, and stroll in to pick it up without waiting. That’s what omnichannel is all about! And AI is a big part of it. It personalizes your orders by remembering your favorite drinks and predicts busy times so your drink is ready when you arrive. So, whether browsing on your phone, checking stuff out in-store, or finishing up your purchase online, it all works together perfectly to give you the best experience.

  • AI and blockchain integration

The mix of AI and blockchain is really benefiting eCommerce by creating personalized, secure experiences. AI helps tailor recommendations to each shopper, while blockchain ensures data integrity and privacy, building trust along the way. A great example of this is IBM Food Trust®. It applies blockchain to the food supply chain, connecting growers, distributors, and retailers through a secure, transparent system.

  • AI agents for eCommerce

AI agents in eCommerce are the behind-the-scenes powerhouses automating customer service, personalizing shopping, and optimizing decisions in real-time. They chat with customers, solve problems instantly, and suggest products based on past behavior — all while learning and adapting. The coolest thing here is that they work 24/7, making shopping faster, smarter, and more personal for both businesses and customers.

Let’s finalize

The future of eCommerce is smart, efficient, and deeply personalized, with AI at the heart of it all. From custom-tailored marketing to smarter customer support, AI is turning stores into innovative powerhouses. Ready to future-proof your store? Let’s partner, so we can help you tap into the limitless potential of AI.

FAQ

AI is transforming eCommerce by making shopping more personal, offering 24/7 chatbot support, and adjusting prices on the fly. It makes voice and visual search easier, predicts what inventory you’ll need, spots fraud, and helps target the right customers. Plus, it analyzes reviews, speeds up deliveries, and even allows businesses to grow into new markets by creating content in different languages — all while cutting costs with automation and chatbots.

AI helps set real-time prices based on things like how much people want a product, what competitors are doing, and individual customer habits. It even predicts what’ll be popular in the future so you can adjust prices and stock accordingly. AI not only tracks competitors’ offerings but also automates pricing strategy, keeping prices both relevant and personalized.

Smaller and medium-sized businesses might face resource limitations and strange complexities of the technology that could hamper the implementation of AI. However, it’s totally worth trying because AI can automate tasks, give personalization, and optimize marketing. Eventually, it costs less and heightens profit.

AI helps with the process of maintaining inventory through demand prediction, optimization of stock levels, and automated reordering. It analyzes sales data and trends to prevent overstocking or stockouts; hence, the inventory is always in tandem with contemporary needs.

Yes, AI can transform the customer experience on a platform by delivering tailored recommendations, enabling real-time support through intelligent chatbots, and precisely anticipating user preferences. It also refines navigation, sharpens search functionality, and leverages feedback to make continuous, data-driven improvements.

Our eCommerce solutions are packed with AI-powered features like personalized product recommendations, dynamic pricig, and advanced search. We also can integrate chatbots for better customer service, advanced customer segmentation, and analytics tools that track and predict customer behavior to keep things running smoothly and efficiently.

Our AI tools use anonymized and aggregated data from user interactions, purchase history, and market trends to make smart predictions and recommendations. We handle all data with the utmost care, following strict privacy regulations like GDPR and securing it with advanced encryption methods to keep everything safe and sound.

AI will dive deep into customer data to help break down your audience, find the best marketing channels, and optimize ad spend. It does A/B testing on its own: it rolls out different campaign versions and determines which one is most effective. Results are tracked, changes are made, and then the campaign is iteratively optimized to get better and better.

Autor
Volha Ralko Delivery Manager im eCommerce
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Autor
Volha Ralko Delivery Manager im eCommerce

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