Two separate research studies, funded by Apptus and carried out by IMRG and Hive, have found that fashion retailers are planning significant investment in artificial intelligence (AI) over the next two years, as they seek to deliver the'real time relevant' customer experiences that are vital to improving sales performance. The study carried out by Hive found that, though retailers plan to invest in AI in a number of areas – online merchandising and personalisation are clear priorities. Asked to identify the areas of their businesses that will benefit the most from automation in the coming 3-5 years, scoring each out of 10, they awarded personalisation a score of 7.9 and online merchandising: 7.8. By contrast customer service scored five out of ten. Why AI? Fashion retailers' race to adopt AI is driven by a growing realisation that the current, manual approach to online merchandising and product exposure is delivering diminishing returns.
It won't be long before the globe's biggest fashionistas are back in town to hit the catwalks of London Fashion Week. With over 5,000 industry press and buyers likely to attend, and hundreds of luxury labels showing their wares, it's a major event not only for industry insiders, but for shoppers and fashion lovers alike. Orders placed during the week alone often exceed £100 million as consumers get inspired to experiment with fresh new looks which emerge during the shows. This offers a massive opportunity for both luxury and fast-fashion retailers when it comes to increasing sales. But making the most of it demands a carefully executed strategy which combines the best of both technological innovation and creative control.
Amazon has been using algorithms to try to sell you extra stuff for years. But the technology to personalise merchandising, much further than recommendations, is advancing rapidly across ecommerce. Companies such as Sentient and Apptus and their AI-powered systems are changing site search functionality, product lists, facets and more, to try to generate more sales. I caught up with Sören Meelby, VP Marketing at Apptus, to get an introduction to the technology (Apptus eSales), and to pose some questions about the user experience in online retail. Sören Meelby: Each and every sort order typically follows a logic or business rules and'most popular' is fairly straight forward.
This post is the latest in our "Holiday Blitz" series. See the rest of the series here. Seventy-seven percent of millennials say they plan to shop at brick-and-mortar stores this holiday season. One of the primary reasons why is the experience of in-person shopping. The role that sales associates play in motivating in-store purchases can't be understated, as consumers regularly cite personal attention as a reason why they prefer to shop offline versus online.
More retailers are turning to artificial intelligence to help shoppers find clothes that fit their bodies, budgets, and personal styles. As one of today's hottest technology trends, AI translates vast volumes of retail data into rich, actionable insights so executives can make smart decisions faster. AI has evolved into a strategic asset in retail even as the sector faces overwhelming upheaval. AI guides retailers by delivering fact-based intelligence to help them better serve shoppers. This gives retailers a leg up in a market full of empowered consumers who expect omnichannel excellence, affordable fashions, and personalized marketing.