The retail sector is changed by new technologies. Artificial Intelligence(AI) are driving the growth of the retail market around the world. Retailers can turn data action by using AI technologies. Companies like Apple, Google, Microsoft, Alibaba, eBay, Amazon have already started to invest in AI. For instance, Amazon Web Services which is a secure service platform uses a machine to forecast its demand.
AI uses billions of data to foresee the future. Retailers who want to take place in the competition need to understand the buying behaviors of the customers and predict their next move.
Winning retailers understand that it’s not sufficient to focus on internet retailing as the bricks-and-mortar store is the primary face to consumers. AI can help retailers to increase in-store conversions to maximize profits. By using different metrics such as product positioning, the period of the service time, map path trajectory, local conversion rate retailers can optimize their physical stores.
AI helps retailers by customer based staff positioning, optimizing store space, analyzing local conversion rate and customer behavior for pricing and campaign efficiency.
Dynamic Staff Management
Retailers need to manage their staff dynamically to be able to prevent sale loss. AI uses collected data such as local conversion rate to show managers the right staff allocation by analzying rush hours and crowded areas.
Store Space Optimization
AI processes data in in-store optimization. AI techniques help managers to make the best of the store space and inventory by planning and adjusting the flow of products.
Analyzing Customer Behavior
Retailers can optimize each customer interaction owing to AI techniques. AI collects data about customer behavior to be able to tell the retailer about every step of the customer journey and drives recommendation engines for the customer. Managers consider collected data to take action on pricing or marketing strategy.
It is so clear that the influence of technology will dominate traditional retail models. Retailers who make the most of technological opportunities are going to benefit from automated processes and tasks, predictive analytics and faster resolution of business problems and take advantage of cost savings, increased revenue and productivity.
