There has been much hype around ChatGPT in recent months. But what really is it and the implications for the retail industry? ChatGPT is a language model developed by OpenAI, with a promise to change the game in the eCommerce space. As it can interact directly with customers. However, there is much caution from retailers on leveraging it to interact directly with customers.
Here are some the trends in the industry where ChatGPT could have the biggest impact:
The Mobile Commerce space is a $4T global sector, and ChatGPT and its technology can help retailers:
- Design better apps with less time and resource
- Improve the shopping experience by integrating chatbots offering customers instant support
- Offer customers a highly personalized individually tailored experience
Generative AI can generate:
- High quality content which is critical to a social eCommerce strategy
- A cost effective way: to create blogs, images and video content for retailers as they often lack in house talent to produce multimedia content in cost effective ways.
- The technology also has the ability to create diverse influencer style avatars, which are appealing to Gen Z shoppers who are most likely to shop via social media.
One of the challenges to widespread adoption of voice assistants such as Alexa, Siri, Cortana is their limited automated responses. Generative AI has the ability to turn those automated responses into more human-like conversational responses which would create a better customer experience and remove barriers to purchase goods and services. The privacy concerns however will still remain as it relates to what the AI listens for and how it processes the data it receives.
Top Use Cases For Retailers:
- Chatbots: Using Generative AI would provide faster, personalized and engaging responses to customer questions
- Product descriptions and categorization: Generative AI could automate new product description and categorizations for retailers especially on the eCommerce side of things
- Personalized product recommendations: Generative AI could generate images of people with products based on a customers prior purchase history, or it could engage customers directly to understand what product they might prefer
- Content Creation: Generative AI can create SEO optimized content, such as landing pages, blogs, social media posts, digital ads
- Automatic Translation: Generative AI can quickly translate content into other languages with would allow, a retailer to quickly ramp up its international commerce
- Data analytics and insights: Generative AI can take large amounts of structured and unstructured data in term them into easy to consume charts, graphs and visuals to understand key trends over time
- Product design & development: Generative AI can create iterations of existing designs based on specific inputs
Sources: Insider Intelligence For Retail