The world of brick and mortar retail stores has been changing drastically over the years. The very business model that made them such a success has been disrupted thanks to the advent of e-commerce. Stores like Amazon have given retail stores more competition than ever before. With the emergence of smartphones and other mobile devices, it is now easier than ever for customers to compare prices on merchandise and purchase it with the click of a button. However, retail stores are now finally trying to even the playing field with AI technology.
Advancements in AI technology are helping traditional retail outlets to effectively manage their supplies and inventory management. A prime example is Intel’s new RRP technology. RRP stands for Responsive Retail Platform and it’s proving to be a game changer for the stores that have adopted the technology. RRP is a hardware and software solution that is able to send inventory alerts to customers and sales associates in the store. The process is real-time thanks to the unique scanners that are able to read a variety of RFID technology. This allows RRP to effectively scan stockrooms and display racks to effectively gauge what is available. Companies like Levi Strauss are already using the technology to help notify sales associates when items need to be restocked or if items are left in the dressing room. This technology has the potential to help retailers keep better inventory counts and to simplify the shopping experience of customers.
The advancement of AI is also having a noticeable impact on chatbot development. As retailers are looking for a way to shore up their online offerings, chatbots are becoming an increasingly viable option. The millennial generation is known for loving digital chat options. This is why so many of them turn to popular messaging platforms like Kik, Facebook Messenger, and more. Retailers have noticed this trend and are looking for ways to monetize the development. This is where chatbots come into play. Kik has over 20,000 bots already created and is continuing to expand the selection. They will be involved with a variety of tasks like buying guides, film recommendations, and more. The technology is still in its infancy and still has a while to go before widespread use.
More and more retailers are looking for ways to use analytics to help drive sales by delivering a more personalized shopping experience. This is why many are turning to AI programs to help take this valuable data to convert it into reliable sales. Many of these programs use notification systems to help guide buyers to selections that most fit their buying habits. Some companies are even going so far as to use facial recognition software to help deliver an enhanced shopping experience. However, delving into a customer’s personal details does have some potential pitfalls.
Companies have been using analytics to help analyze buying habits and patterns for years. However, the advent of AI has taken this process further than ever before. Companies can now track each and every item that every customer purchases. While the prospect of being reminded of your favorite pair of jeans can help guide you to a future purchase, companies have to be careful how they incorporate user data and how much they decide to incorporate. This is why retailers will have to proceed carefully when incorporating more invasive technologies like facial recognition. Thankfully, for analytics purposes, there are programs available to help ensure customer data integrity. This allows retailers to use data in a safe and reliable manner.
The world of brick and mortar retail stores has been changing drastically since the advent of e-commerce. However, by harnessing the power of technological innovations like AI, they can work to integrate their own online offerings to further their business development. From product recommendations to supply management, AI will play a central role in the development of innovative business strategies. This is why companies will need to continue to develop high-quality customer data integrity policies. With appropriate use, this information has the potential to put retailers on solid footing once again.
