Sales Strategy
AI’s Role in Retail: Key Predictions for 2025 January 06, 2025 (0 comments)
Louisville, KY--Artificial intelligence (AI) is driving change in retail, enhancing customer experiences and operational efficiencies. An article by Retail Customer Experience noted that by 2025, AI will shape hyper-personalized shopping journeys, streamline supply chains, and improve customer interactions.
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The article highlighted that generative AI has improved online shopping for 58% of consumers, with 71% favoring AI-generated images to boost purchase confidence. Additionally, 66% want brands to use data for personalized experiences. Despite some mistrust, shoppers continue adopting AI tools to simplify purchasing.
Expert Predictions
Personalized Shopping: Pascal Malotti of Valtech emphasize AI's potential to create unique shopping experiences, such as tailored recommendations or real-time discounts based on purchase history. This builds loyalty through meaningful interactions.
Efficient Supply Chains: Keith Nealon of Bazaarvoice highlights AI's ability to improve demand forecasting, inventory management, and restocking. These advancements will help retailers meet consumer needs faster and more effectively.
Customization in Apparel: Randy Carr of World Emblem predicts that over 70% of emblem orders will use AI by 2025, streamlining design and production to meet the growing demand for personalized products.
Addressing Challenges
Trust and Transparency: Peter Curran of Coveo stresses the importance of explaining AI-driven recommendations to foster trust and increase engagement. Clear communication enhances the customer experience.
AI-Human Collaboration: Craig Crisler of SupportNinja underscores the need to combine AI with human empathy for effective customer service. A hybrid approach is crucial for scalability and reliability.
Cybersecurity Risks: Dan Rasmussen of Hughes warns of escalating AI-enabled cyber threats. Businesses will rely on AI to detect and counter such attacks, marking a shift to "machines fighting machines."
Learn more in this article on Retail Customer Experience.