Optimization of conversion rates can be challenging for businesses that want to scale rapidly.
While there is an option to go through the data and make some website improvements manually, human capabilities are limited at the end of the day.
With the rise of new-age AI-powered tools, you can boost your ecommerce conversion rates rapidly and at a large scale.
So, how can you use AI to optimize ecommerce conversions?
The role of AI in modern-day ecommerce
AI has now become the widely used ecommerce business assistance. It makes automated decisions for scaling the business while the shop administrators sleep.
AI is especially critical for ecommerce stores that want to expand, grow, and progress fast.
AI improves the customer experience in ecommerce stores, facilitates and speeds up the customer journey, and personalizes the search experience uniquely for every shopper.
Research shows that AI technologies can significantly enhance ecommerce by predicting customer behavior and personalizing the shopping experience [1].
And yet, only 15% of your current competitors (maybe you included) pay attention to optimizing their site search.
Since you are reading this article, you have quite some advantages here. So, let’s discuss how you can use AI to optimize your ecommerce conversions.
How can businesses use AI to optimize ecommerce conversions?
One of the most effective and immediately paying-off solutions for optimizing ecommerce conversions is to set up an AI-driven ecommerce search.
The ecommerce search (like LupaSearch) leverages AI technologies to offer the most intuitive and user-relevant search experience. That means an ecommerce search should accurately predict the user search intent and deliver the product offering that matches his query.
Studies indicate that AI-driven search solutions can significantly improve the accuracy of predicting customer behavior and increase conversion rates through personalized recommendations [2].
Eventually, by optimizing their site search, ecommerce businesses usually notice a 43% increase in their conversion rates. Of course, in some cases, the conversions increased by up to 216%.
How does AI optimize ecommerce conversions?
AI-powered site search solutions do an exceptional job of optimizing ecommerce conversions. And that involves continuously improving the two conversion-leading factors: improving user experience and providing personalized shopping for every user.
1. Improve user experience
AI-driven site search does a tremendous job of improving and perfecting the user experience.
For instance, such an ecommerce site search understands the buyer’s intent behind typed phrases and suggests only the products the user was looking for. AI technologies, such as Natural Language Processing (NLP), synonym and typo detection, and autocomplete, are critical for this enhancement [3].
That means, a user who is searching for “winter shoes” should never receive generic recommendations for sneakers, slippers, or even autumn shoes.
An AI-driven search should suggest only the search query-matching products (in this case, warm winter shoes).
Some technologies behind this are Natural Language Processing (NLP), synonym and typo detection, autocomplete, and other search-relevant features. (Therefore, check for these keywords when picking your site search partner.)
2. Personalize experience
Personalization plays a critically important role in modern-day ecommerce. Currently, 80% of dedicated online shoppers only purchase from brands that personalize their shopping experience.
This allows them to find wanted products faster and finish the purchase quicker.
AI-driven site search should collect information about what the user is typing into the search field and what products he is clicking on. Based on the data, it should provide personalized relevant product suggestions that (almost) perfectly predict the user’s needs [4].
For instance, if a user is very interested in a certain product category (for example, poetry books), the next time a user searches for a generic “books” term, poetry books should be ranked higher.
All in all, AI-powered ecommerce site search can provide a real breakthrough in your business success. With AI-equipped tools, you no longer need to apply manual shop administrating strategies and updates.
Leave this to a limitless intelligence - the AI. Pick LupaSearch as your e-commerce search provider, and start growing those conversion rates!
Request a free product demo at LupaSearch, and let’s discuss your business growth possibilities.
References
Sharma, A. (2023). Analyzing the Role of Artificial Intelligence in Predicting Customer Behavior and Personalizing the Shopping Experience in Ecommerce. INTERNATIONAL JOURNAL OF SCIENTIFIC RESEARCH IN ENGINEERING AND MANAGEMENT. https://doi.org/10.55041/ijsrem17839.
Singh, N. (2023). AI-Driven Personalization in eCommerce Advertising. International Journal for Research in Applied Science and Engineering Technology. https://doi.org/10.22214/ijraset.2023.57695.
Rogojanu, I., Suciu, G., Ditu, M., & Pasat, A. (2018). Smart Shopping Technologies for Indoor Markets. 2018 IEEE International Conference on Computational Science and Engineering (CSE), 99-103. https://doi.org/10.1109/CSE.2018.00020.
Pillarisetty, R., & Mishra, P. (2022). A Review of AI (Artificial Intelligence) Tools and Customer Experience in Online Fashion Retail. Int. J. E Bus. Res., 18, 1-12. https://doi.org/10.4018/ijebr.294111.