Gone were those days when we considered AI as the future. Today, AI is present everywhere from searching through voice to getting customized e-mails and offers. Within just the last few years, we have witnessed unprecedented growth in AI applications and it has penetrated almost every industry with the most prevalence in e-commerce.
In the e-commerce industry, AI can help deliver exceptional customer experience by using customer and business data for data-driven business decisions and tailored customer experience. In Adobe Commerce, the most advanced e-commerce development platform currently, plenty of AI capabilities can impact any number of business functions across your organization.
In this article, we will go through various aspects of AI in Adobe Commerce and how Adobe Commerce AI tools are vital to sustain in this thriving e-commerce market.
Why we should think of AI in our E-commerce Stores?
AI can benefit your e-commerce in so many ways that you can’t even imagine. Whether you need to increase your customer retention rate or create a tailored marketing campaign, AI will make your life easier in every possible manner. Here are the major benefits of using AI in e-commerce stores:
a. Faster and Easier Product Search:
An online e-commerce journey usually begins with a search. That’s why the search plays an important role in defining the customer journey. The search results should be highly accurate, fast, and relevant to the users. Not just that, the search should be able to incorporate the semantic meaning of the searched query. For e.g. if the user searches for “Black Nike T-shirt”, the search should showcase the same and if the product is not present, then it should show similar products i.e. black t-shirts, or Nike t-shirts.
AI-based search engines made e-commerce searches extremely fast and reliable. In fact, now users can even upload images or make voice-based searches.
b. Recommendation Systems:
You must have experienced the advanced recommendation systems of Amazon in which when you search for a product, Amazon starts giving you the correct and relevant recommendations. In an AI-based e-commerce store, AI and machine learning algorithms can utilize the customers’ data like past searches, order history, etc. to give relevant recommendations.
It elevates user experience to a great level as the users don’t need to spend time searching for the product. On the other hand, e-commerce sales also shot high.
c. Inventory Management:
The predictive analysis field of artificial intelligence is having a huge impact on the inventory management system. When it comes to maintaining current inventory, stocked shelves, and supply chain availability, inventory management is a headache. Using historical data, machine learning algorithms can forecast future product demand. The effectiveness of inventory management data is improved by the increasing use of predictive analytics in e-commerce. Retailers can now anticipate the company’s real-time inventory needs thanks to artificial intelligence apps.
d. Precision-Targeted Marketing Campaigns:
In a thriving market with cut-throat competition, personalization is a thing that can help you sustain. With advancements in AI, it is possible to send hyper-personalized messages to customers, enabling one-to-one conversation.
AI creates various client groups and customizes marketing methods for launching highly targeted marketing campaigns by analyzing customers’ demographics, browsing habits, and past purchases.
e. Improve Customer Retention Rates:
AI in e-commerce helps convert visitors into regular patrons by increasing customer retention rates. In-depth data analysis and insights are needed, and specialized AI development services can improve value across retail segments. AI can increase the customer retention rate in the following ways:
- Personalized recommendations
- AI-driven customer support services
- Simplified checkout and personalized marketing
- Deeper understanding of customer behavior
How Adobe Commerce can help?
The AI capabilities of Adobe Commerce are powered by Adobe Sensei. It is an integrated AI and ML framework of Adobe. Adobe Sensei is Adobe’s first-party AI and ML platform unveiled in 2016. Adobe has added support for several Adobe SaaS platforms and applications to Sensei since its launch. The fact that Adobe has created and constructed integrations to bring the AI tool to the majority of their platforms and products is one of the main benefits of Adobe Sensei.
AI Features of Adobe Commerce:
Adobe Sensei provides ample AI features to Adobe Commerce and makes personalization, a breeze. Here are the major AI features of Adobe Commerce:
a. Live Search:
Live Search improves and fastens the search experience in your Adobe Commerce e-commerce stores. It utilizes AI processing and ML in combination with your catalogue data to predict and showcase accurate search results in real-time. As the customers start typing queries, it starts giving search results. Thus, the customers get quick results for what they are finding, reducing bounce rates and increasing conversions.
How to use Live Search?
The Adobe Commerce users can use Live Search free of cost. They just need to download the package. However, they must make the product data well-structured to make the most out of Live Search. Furthermore, users can configure live search settings to align it with business needs and monitor customer search queries regularly to fine-tune results.
b. Intelligent Re-Ranking:
The intelligent re-ranking feature is an extension of the Live search feature. It optimizes the order in which products are displayed in search results and category pages. There are various parameters that influence product ranking such as customer preferences, inventory levels and trending products. The aim is that customers should see the most relevant products first and then the less popular or purchased products. It helps in improving product discoverability.
How to use intelligent re-ranking?
Set up smart re-ranking procedures depending on your company objectives and track results. To achieve excellent product rankings, continuously study client interactions and alter the rules.
c. Product Recommendations:
We already mentioned that recommending the right & relevant products is a cornerstone strategy of AI-driven e-commerce. The AI of Adobe Commerce collects customer data like browsing history, purchase patterns, popular trends, product similarity, etc. and suggests the right products. You can recommend products either on the e-commerce landing page, home page, product pages, shopping carts, or also through e-mail marketing, for better cross-selling and upselling opportunities.
The Adobe Commerce Cloud has in-built functionality for product recommendations. The Adobe Commerce users can utilize product recommendations through the extension Product Recommendations without any charge.
How to use product recommendations?
You have to integrate customer data and set up recommendation algorithms to implement product recommendations. Furthermore, you should also review and update these algorithms to achieve higher accuracy and effectiveness.
d. Segment-Specific Content and Promotions:
AI in Adobe Commerce enables organizations to produce personalized content and promotions for various client categories. AI machine learning enables you to create segment-specific tactics to boost engagement and conversion rates, such as offering discounts to regular clients or highlighting certain products to first-time visitors.
How to use segment-specific content and promotions?
Firstly, you have to segment your customers and create targeted content & promotions accordingly. Thereafter, monitor the performance of these marketing campaigns and make changes as per the requirements.
Adobe Commerce AI Features in Comparison to Magento Open Source:
If you are still using Magento open source then we strongly recommend switching to Adobe Commerce to leverage its robust AI features. You may be facing these questions:
a. Is it possible to use Adobe Sensei in Magento Open Source?
No. Adobe Sensei is not available for Magento open source. It is specifically built exclusively for Adobe Commerce and Adobe Commerce Cloud. With enough creative custom development, using Adobe Sensei’s API, you may build some functionality of your Magento Open Source, yet the efforts wouldn’t be worth the cost.
b. Which extensions or third-party platforms can I use to align Magento Open Source with Adobe Commerce and Adobe Sensei?
Although you don’t get access to Adobe Sensei in Magento Open Source, there are 3rd party AI & ML extensions available to get a glimpse of the AI functionality in Magento Open Source. However, these extensions would be incapable of matching the depth and integration of Adobe Sensei’s native capabilities.
Wrapping Up:
The AI capabilities of Adobe Commerce – powered by Adobe Sensei provide a plethora of benefits for e-commerce businesses. By improving search engines, product recommendations, rankings, and promotions, the customer experience will be enhanced to a great level.
At Ceymox Technologies, the best Magento development company in India, we have vast experience in developing AI-based e-commerce stores. We excel in building AI-based solutions from scratch and implementing them in e-commerce stores. Let us know your requirements.
AI in Adobe Commerce FAQs:
Adobe Commerce utilizes AI to a great extent to improve customer experience. Its AI features include product recommendations, personalized search results, and advanced merchandising tools. These features use machine learning to monitor user behaviour, purchase history, and browsing trends, allowing businesses to present more relevant products, enhance search accuracy, and increase conversion rates.
There is a Live search feature in Adobe Commerce which is built using AI. It delivers fast, intuitive, and relevant search results to the customers. Powered by Adobe Sensei, Live search examines the customer intent and delivers personalized results in real time. Furthermore, it also ranks products based on popularity, relevance, and preferences. The AI-driven search also supports natural language processing, enabling more accurate and conversational search experiences.
Yes. Adobe Commerce AI tools can analyze historical sales data, customer behaviour, and market trends to give you the right estimation for the stock levels and anticipated demand. Thus, you can maintain an optimum level of inventory and avoid stockouts.
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