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Retail Business Review | Sunday, March 13, 2022
Retailers' success depends heavily on their ability to provide an enjoyable and helpful shopping experience to their customers.
FREMONT, CA: While the customer experience (CX) has evolved tremendously throughout retail history, its significance has remained constant. Engaging and attentive customer service is a critical success factor for retailers.
Today, however, the customer experience is increasingly affected by technology and digital services, as merchants undertake digital transformation strategies to enrich the customer experience.
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The digital transformation encompasses far more than merely launching an e-commerce platform. It is about transforming the brick-and-mortar shopping experience of customers by synchronizing the digital and in-store retail experiences into a seamless omnichannel experience.
Artificial Intelligence
Chatbots
The use of artificial intelligence by retailers helps improve the consumer experience. As an AI application, chatbots have the potential to significantly enhance merchants' ability to engage with customers anywhere, at any time.
Retailers have a significant demand for chatbots to address client questions. This customer service form might be uninspiring for people who can quickly become weary of handling the same questions. On the other hand, Chatbots do not fatigue and can give the same quality of customer care across numerous channels, 24 hours a day, seven days a week.
Given the potential of chatbots, 80 percent of global brands either utilize chatbots to engage with consumers or have plans to do so. In addition, the global market for chatbots is anticipated to reach $1.23 billion by 2025.
Several brands utilize chatbots today to answer consumer queries and engage consumers and give personalized service.
While chatbots are employed in various ways, they all give brands the potential to fulfill customers' demands better and provide personalized service, which is crucial in today's retail.
Cashier-Free Shops
Additionally, retailers adopt AI technology to speed the checkout procedure, making it easier for consumers to make in-store purchases.
Companies such as Amazon have developed cashierless stores that rely on artificial intelligence (AI) technology that automatically records and registers the items shoppers pick up and charge them when they leave the store. These and other AI technologies could improve the shopping experience by eliminating the need to wait in checkout lines.
Internet of Things (IoT)
Adopting IoT devices in retail is another way the digital transformation will affect the future of the customer experience.
According to McKinsey, the potential economic impact of IoT in retail contexts will vary between $410 billion and $1.2 trillion per year by 2025. This is partly because IoT will allow shops to customize their offerings and provide a memorable client experience.
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