Retailers across Europe have realized that it is high time to put on the shoes from the consumers’ perspective and approach the path of AI.
FREMONT, CA: Customers today prefer a hassle-free shopping experience, the one synonymous with e-commerce apps. Hence most of the brick and mortar retailers are on the verge of shutdowns. So the best option for them to survive is using technologies like Artificial Intelligence (AI)and Machine learning. The retail sector in Europe always has responded eagerly to AI’s potential. According to a report from P&S Intelligence, the global market for retail-related AI is expected to be worth nearly $4.34 billion by 2024, posting a compound annual growth rate of 35.4% between now and then.
Retailers need to recognize the customers’ expectations and demands and take initiatives to align themselves with them. This will increase profits along with a boost in customer loyalty and revenue. Therefore, the use of AI can transform the way a shopping culture is shaped. As both the online and offline purchasing channels collaborate, the retail shall be innovation-oriented. The extensive use of AI shall help achieve this objective.
European retailers today are using radio-frequency identification (RFID) based cameras, and the stores are now equipped with live video surveillance. This allows retail managers to observe and study the buyers’ behavior like what products and brand gets picked up most of the time, time spent per aisle with the help of AI. Based on this data, consumer groups are identified, and customers are given discounts and other offers. Also surveying the stocks can issue alert for product replenishment needs, forecast about rush hours. Moreover, this feature can enhance in-store security and reduce the instances of shoplifting too.
Using AI technology, retailers can also create virtual racks and trial rooms with gesture walls and touch-free monitors. In this way, shoppers are given more comfort and choices. Also, by using AI and all the data patterns, the retail outlets can understand engagement levels with current store layout, optimize it later, and regulate traffic during peak hours. This prevents crowding, reduce customer waiting as well as it can improve strategic staff distribution. Eventually, AI, along with automated services, can scour every aspect of business brands, check for trends, consumption data, and consumer feedback, and have a deeper understanding of effectively managing a retail business.
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