Companies in the retail industry are adapting to new AI technologies to help them increase speed, efficiency, and accuracy. If we go beyond that, we see that AI is helping them improve decision-making and guide decision-makers on how to better grow their business. In this article, we will take a look at how AI is changing the retail industry, as well as the data annotation services that are needed to create advanced AI technology.
Let’s start by taking a look at what AI technologies are used in retail.
What are Technologies & Solutions Used for AI in Retail?
While many people are talking about AI, it is still unclear what this term means. When we are talking about AI, we mean a number of technologies, such as ML and predictive analytics, that can collect, process, and analyze large volumes of data to help improve decision-making. With this high-level definition in mind, let’s get into the technologies that are revolutionizing the retail industry.
How is AI Changing Retail?
When we take a look at how AI is changing the retail industry, we notice five main ways:
1. Inventory Management
There are many ways AI is improving inventory management. One of the ways is by improving demand forecasting to make sure the most popular items are in stock. Also, AI can help count inventory with computer vision which is trained by image annotation outsourcing services. Basically, the AI can identify individual items and input them into a database or an inventory management tool.
2. Adaptive Hompage
When a customer visits your website, they expect to see items that are relevant to them. This is where AI can greatly improve the user experience since it can recommend items to each customer that best suit their needs. Semantic annotation is needed for this, which is the process of attaching to a text document or other unstructured content metadata about concepts.
3. Dynamic Outreach
In the previous section, we talked about the adaptive homepage, which is useful for inbound marketing, but dynamic outreach can help with outbound. The AI system learns about user preferences and provides them with tailored content, recommendations and rewards.
4. Interactive Chat
This is a great way to improve customer service by creating AI chatbots that can understand the text written by customers and send a meaningful response to an inquiry. This requires a lot of data collection and text annotation. Please contact oworkers for data annotation services.
5. Visual Curation
Algorithmic engines translate real-world browsing behaviors into digital retail opportunities by allowing customers to discover new or related products using image-based search and analysis – curating recommendations based on aesthetics and similarity.
AI Has Been a Real Game Changer for Retail
As we can see from all of the technologies listed above, AI brings a lot of benefits to businesses that are able to adopt AI quickly. In fact, the ones that do, will have an advantage over their competitors and stand out in a crowded marketplace. AI technologies are rapidly advancing and there are sure to be new developments made in the coming years.