Generative Artificial Intelligence (AI) is set to dominate e-commerce in 2024, revolutionizing the way companies interact with their customers and optimize their processes. This technology makes it possible to create personalized and dynamic content, recommendations and customer experiences, propelling e-commerce to new heights.
Machine Learning and generative AI are one of the key trends in e-commerce in 2024. "Gartner predicts that by 2026, more than 80% of companies will have used generative AI APIs or deployed applications based on generative AI."
Evolution of generative AI
Generative AI, the use of algorithms to create new content based on existing data, has seen significant advances in recent years. From generating product descriptions to creating dynamic advertisements, this technology is transforming the online retail landscape. In 2024, companies are leveraging generative AI to deliver hyper-personalized customer experiences and optimize their operations.
Generative AI applications in e-commerce:
1. Virtual assistants and intelligent chatbots
Chatbots and virtual assistants powered by generative AI are now capable of handling complex customer interactions.
Cdiscount has implemented bots powered by generative AI to support its 20 million visitors in their online purchases. This integration resulted in customer satisfaction (CSAT) three times higher than with previous-generation bots, with a post-conversation conversion rate of 24%¹. This success illustrates how generative AI can transform online customer interactions into smoother, more engaging experiences.
2. Content creation
Generative AI enables companies to create personalized content on a massive scale. Tyredating uses this technology to automatically generate detailed, engaging descriptions for its product sheets. This approach has enabled Tyredating to reduce content creation time and improve the relevance of descriptions to target customer typologies.
3. Customized product recommendations
Product recommendations are one of the most visible applications of AI in e-commerce. Amazon, a pioneer in this field, uses AI algorithms to analyze customer data and suggest products that perfectly match their preferences. According to the articles reviewed, 30% of Amazon's sales come directly from personalized recommendations generated by AI.²
4. Supply chain optimization
Generative AI also plays a crucial role in supply chain optimization. Walmart integrates AI solutions to forecast demand trends, optimize stock levels and reduce delivery times, improving efficiency and cutting costs. Benefits include a 10% reduction in storage costs and operational costs , although specific percentages are not provided.3
5. Targeted advertising
Targeted advertising also benefits from generative AI. eBay uses AI algorithms to create personalized ads based on users' buying behaviors and preferences, increasing the effectiveness of advertising campaigns and customer satisfaction. AI tools create ads that are more relevant to each user, improving conversion rates.
6. Advanced customization
Nike leverages AI to personalize its fashion trend recommendations and forecasts. The use of AI enables Nike to anticipate consumer needs and adjust its offers accordingly. 91% of consumers are more likely to buy from brands that provide them with personalized offers and recommendations.4
The future of generative AI in e-commerce:
The future of generative AI in e-commerce looks bright, with trends such as the integration of augmented reality (AR) and virtual reality (VR). These technologies, combined with AI, will enable consumers to enjoy even more immersive and personalized shopping experiences. Future innovations could include fully personalized online stores and automated purchasing processes, further transforming the e-commerce landscape.
Conclusion
In 2024, generative AI has become a strategic lever for e-commerce companies. By offering innovative solutions for personalization, content creation and operations optimization, it helps companies stay competitive and meet rising consumer expectations. Companies that succeed in effectively integrating generative AI into their strategies will benefit not only from improved performance, but also from a strengthened market position.