17% of shoppers have used generative AI for shopping.

17% of shoppers have used generative AI for shopping.

The Rise of Generative AI in Retail: Revolutionizing the Shopping Experience

Shopping

When we think about industries that are most likely to be influenced by artificial intelligence (AI), retail may not be the first to come to mind. However, according to a new report by Salesforce, generative AI is ushering in a new era for retail, transforming the way we shop and providing a personalized and immersive experience.

The report reveals that 17% of shoppers have used AI for purchasing inspiration, indicating the rapid growth of this technology in the retail sector. Generative AI is being used in various ways, such as providing personalized recommendations based on past purchases and browsing behaviors, virtual try-on tools, interactive shopping assistants, and visualizing home decor.

The survey, which involved 2,400 shoppers and 1,125 retail leaders across 18 countries, also found that 45% of shoppers who have not yet used generative AI are interested in using it as a shopping resource. This demonstrates a growing curiosity and acceptance of AI as a valuable tool in the retail experience.

Digging deeper into the data, the survey revealed the specific areas of interest for using generative AI in retail. The top categories include researching electronics and appliances, creating meal plans, and getting outfit inspirations, with beauty recommendations being the least sought-after.

Retailers are quick to tap into this rising interest in generative AI, with 92% of surveyed retailers indicating increased investment in AI, and 59% already using it to enhance store associates’ ability to make product recommendations to shoppers. Companies like Newegg, Shopify, Amazon, Mercari, Zoom, Zillow, and Redfin have publicly announced the adoption of generative AI, solidifying its place in the retail industry.

Beyond personalized recommendations and interactive tools, retailers are experimenting with other applications of generative AI. They are exploring the possibilities of creating conversational digital shopping assistants to guide shoppers, generating virtual models for product detail pages, and curating personalized product bundles.

The Connected Shoppers Report not only focuses on generative AI but also delves into how various digital tools are transforming the shopping experience. It discusses changes in digital transactions, social media purchases, mobile phone usage in physical stores, and the growing trend of buying online for in-store pickup.

The integration of generative AI in retail signifies a remarkable shift in the way we shop. With AI-powered tools, retailers can offer a more personalized, engaging, and efficient experience for customers. This technology empowers shoppers to make informed choices, discover new products, and create curated shopping experiences tailored to their preferences.

As generative AI continues to evolve and become more widely adopted in the retail industry, we can expect even more exciting innovations to enhance our shopping journeys. It is a time of immense opportunity for retailers to harness the power of AI and elevate the shopping experience to new heights.