A few years back, we were all skeptical of AI taking our jobs and changing the job landscape. In 2020, we’ve come to embrace and even find ways to optimize our work and our business with this intelligent software. If you still can’t wrap your head around the concept, here’s a simple way to put it— AI is the intelligence enabled by machines to understand the problem it is provided and detect and learn patterns to deliver solutions.
As more developers build eCommerce AI tools, Shopify stores have the opportunity to use these to problem-solve, make better decisions, and grow their revenue. Here are 10 aspects of store management that AI is changing for Shopify stores.
If your goal in the new year is to grow your Shopify store, you must enable and use analytics in your decision-making process. By planning your future steps with pre-existing data about your store’s performance, you can guarantee better and more optimized results for your store.
The problem that most Shopify merchants face with analytics is how manually-driven it is. Merchants don’t have a collated dashboard that shows the performance of every single marketing and sales effort combined with their overall store performance. More importantly, you can’t analyze and find problems in the campaigns you run in real-time, making it tough to optimize and improve your results.
An AI-enabled analytics tool can ensure you aren’t missing out on opportunities to grow your Shopify store. An analytics tool like RevTap collates your store’s sales data as well as different marketing efforts to provide you with a master dashboard.
Once enabled, it can identify cost-cutting avenues and new sales opportunities. The smart analytics will also let you know which products are selling better to help you plan your inventory better.
2. Visual search
We’ve all seen a product in a retail store and went online to search for a similar item. Unfortunately, most of us ended up with search results far off from what we wanted. A good old Google search can bring up the best results for what you’re looking for but it isn’t always so. This search limitation is what brought up visual search.
With visual search, you can upload an image of a dress you want only for the fashion store to bring up similar items they have in their inventory. This simplified search experience can help shoppers find what they are looking for without having to filter through the categories to specify every detail of the product. This new search capability has improved the way shoppers search. Just on Pinterest, 80% of their users use visual search when shopping.
The main reason visual search has transformed into an effective tool is because of AI. Artificial intelligence filters through billions of images, comparing the content and context of each image to the original image provided by the searcher. It then delivers results that match the original image. This eCommerce AI tool is especially important for store owners who want to simplify and speed up the browsing process to help shoppers find what they want to purchase instantly.
The advent of online customer support allowed eCommerce stores to provide the kind of positive experience that only retail stores could. With chat support, shoppers could get help with the products they wanted to buy from store assistants. However, Shopify stores still had to deal with the high cost of hiring round-the-clock customer support.
But, with artificial intelligence, eCommerce developers soon found a way to provide shoppers with the assistance they need without the high costs attached to it. Chatbots are AI software built to stimulate conversation just like a real human. This bot will answer questions that shoppers have about the products instantly based on replies set by the Shopify store owner as well as through its own learning.
Chatbots have helped businesses save 30% cost spent on customer servicing. This cost-effective eCommerce AI tool helps Shopify stores to deliver positive experiences to their shoppers by instantly catering to the shoppers’ needs.
4. Smarter advertising
Running ads is expensive work. Your ads maximize their budget to reach your target audience. This is because our advertisements are set up without any insights or data to back it up. Moreover, the rigidity of the ad set-up format means that customizing it based on real-time data is a hassle.
If you want to increase revenue and decrease costs from the ads you run for your Shopify store, you must be able to adapt based on your real-time learning. Enabling AI within your ad efforts is your best bet to help you achieve this.
Set up eCommerce AI tools that manage your ads for you and detect patterns in your data to tweak your ad campaign and maximize its reach and revenue. With an AI ad manager, you can avoid unnecessary spending and achieve your paid marketing goals.
The search engine on your laptop or your phone knows you so well that it completes your sentences. Google can hyper-personalize the user’s virtual environment to them and this feature is what makes the search engine so great.
As a Shopify store, you must be able to gather data about your store visitors as they get familiar with your store and it’s products and build context for them. In eCommerce, hyper-personalization uses behavioral and real-time data about the shopper to customize the shopper’s experience with the store.
From something as small as addressing the shopper by their name on the store’s newsletter to showing the shopper a recommendation tab on your Shopify store of the products they last viewed, you can use AI to power your store. Pick up eCommerce AI tools like recommendation apps to cater to what your shopper prefers based on their behavioral data.
Personalizing your shopper’s experience is especially crucial if you want to stay ahead of your competition. 80% of shoppers are more likely to buy from a brand that offers a personalized experience. If you’re one of those brands, you’re surely winning customer loyalty!
6. Price management
The price of a product is constantly changing— based on the season, new trends, and demand. But, you can’t track and change the price of hundreds of products on your Shopify store. You need a software that can gather data about the changing demands and use it to automatically update prices frequently. Such a system didn’t exist before AI. Pre-AI, stores would sell at a fixed price, which meant losing shoppers to competitors, losing easy revenue for high-demand products, and overpricing products that were sold at lower costs elsewhere.
Now, AI-enabled price management tools ensure your pricing is dynamic and in-line with the changing demand. Once the self-learning tool is equipped with a few weeks of data about how your inventory moves, the SKU, and point of sales, it can monitor and even predict how inventory will be sold, ensuring you don’t run out of products nor have a surplus. This eCommerce AI tool is crucial for merchants who want to streamline their pricing and ensure they are selling at the best prices.
7. Virtual assistants
The rise of virtual assistants like Siri and Alexa has made it easier for people to make Google searches online. This, in turn, has made voice search optimization a priority for Shopify merchants. While merchants are scrambling to figure out how to optimize their site to be featured on voice results, they are missing out on one big opportunity to improve their store— virtual assistants.
Just take Alexa for instance. It allows users to shop from Amazon without having to scroll for themselves. You can use the virtual assistant to go through every stage of shopping, from browsing to placing an order. Shopify merchants can consider enabling such a virtual assistant to simplify shopping for store visitors and provide a unique experience to shoppers. A virtual assistant can personalize the experience of buying from your store, even increasing customer loyalty.
8. Inventory management
Inventory issues are very common for merchants. There are times when certain product inventory ends up in surplus while other products run out as quickly as they are stocked. But, manually monitoring and ensuring your inventory is over or understocked on a routinely basis is an impossible feat.
One eCommerce AI tool that every growing Shopify merchant needs is an inventory monitoring software. Once set up, the monitoring system should be able to identify low stock and order the inventory automatically. The AI will also be able to generate reports, allowing you to see which products are in surplus to help you plan your marketing efforts in a way that helps move your inventory. Manually managing your inventory isn’t scalable and you may even miss out on key data points. With AI, merchants can automatically learn how their inventory is moving in real-time.
9. AI-Powered Fulfillment
One of the nicest problems that many Shopify stores deal with is on-time delivery. Most Shopify stores work with a third-party fulfillment partner. However, this partner is usually located in just one area, meaning that orders that need to be delivered to the other side of the country or to another continent will take a longer time to arrive. Moreover, these third-party fulfillment providers aren’t built to scale and as your Shopify store grows, you’ll have to find another logistics partner to meet your needs.
Shopify aims to solve this fulfillment issue. With an AI-enabled fulfillment tool, the eCommerce company can simplify fulfillment for its merchants and deliver orders at record time. Shopify’s AI Fulfillment Network is powered with machine learning to help predict demand, inventory allocations and match the closest fulfillment center to the order placed. It uses pre-existing data like locations of the merchants, product details, consumer locations, and shopping behavior to make accurate predictions.
30% of a store’s traffic comes from organic search results, making SEO is a priority for every business owner in this age. Shopify store owners especially need to be top-ranking within their keywords to successfully catch their shoppers’ attention.
But, just a well-written copy isn’t going to do the trick. You need to research and redo your keywords, a crucial but time-consuming task. Thankfully, new eCommerce AI tools have simplified SEO for Shopify merchants. Using AI, these SEO tools analyze the site’s performance on search engines, research for ideal keywords, recommend tags, and optimize the store’s content.
Are you using eCommerce AI Tools to Grow Your Shopify Store?
We hope this list of 10 eCommerce AI tools helps you set up smart ways to grow your store’s revenue and maximize your performance in 2020.
If you’re not sure which of these 10 eCommerce AI tools you should adopt, start with the essential— analytics. Your store’s data is the backbone of your growth. By powering your store with AI-enabled analytics, you can plan your future campaigns smartly and tap into new revenue opportunities.