A graphic with the text Nine ways AI can drive business efficiency

Nine Ways AI Can Drive Ecommerce Business Efficiency

December 15, 2023
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A graphic with the text Nine ways AI can drive business efficiency

AI is becoming an ever more present part of our lives and work. For instance, we come across it when we use apps, shop online or communicate with companies.

In some industries, AI is particularly useful and transformative; ecommerce is one of them. Since online businesses involve many digital actions and activities, they’re ideally suited for AI-powered machine learning and automation.

AI enables tasks to be more quickly and efficiently, processing large amounts of data in a fraction of the time human teams could manage. Using AI also allows activity twenty-four hours a day without the risk of fatigue or human error.

This technology allows businesses to work more intelligently. From ai-powered product listings to predicting customers’ buying habits and personalizing the ecommerce shopping experience, AI can enhance what an ecommerce business can achieve.

Businesses that integrate AI into their online shopping platforms can streamline and boost their business, better serve their customers, and provide a high quality shopping experience. 

To give you a better idea, the graph below illustrates the future areas in which AI will help e-commerce businesses, according to decision-makers in North America and Europe.

A graph illustrating the future areas in which AI will help e-commerce businesses, according to decision-makers in North America and Europe.

Image sourced from statista.com

Which types of AI drive ecommerce business efficiency?

Whether it’s call center ai solutions or chatbots on websites like intercom, we are more likely to encounter AI in our every day life than ever before. But AI is impacting ecommerce businesses to an even greater extent, in particular when it comes to business efficiency. This includes analyzing customer behavior and buying trends, personalizing the customer experience, and powering innovations such as using LaunchGPT to optimize Amazon listings for improved visibility.

With that said, let’s look at how AI can boost ecommerce business operations in more detail. AI for ecommerce consists of four main technologies; these are outlined below.

Natural language processing (NLP)

This technology allows computers to engage with human language. It can interpret human speech and written text and can produce natural-sounding language in response.

Machine learning (ML) 

This uses algorithms that let computers use data to predict and take action based on those predictions. Crucially, with machine learning, it’s not necessary to program computers to make these decisions, as AI allows them to learn and decide independently.

Computer vision (CV)

This technology enables computers to understand images and videos and read them as a human eye and brain might do.

Data mining

Data mining involves gathering and analyzing vast amounts of data to create algorithms.

9 Ways AI Can Improve Ecommerce Efficiency

Now that we’ve covered the four main technologies, we’ll move on to the nine ways AI can drive ecommerce efficiency. Note that each of the following methods uses one or more of the four technologies above.

  1. Personalization

Through AI, it’s possible to give your ecommerce customers a far more tailored and personalized experience. It can efficiently direct customers to the most relevant products and offers that match their interests and buying habits. This saves customers time and can lead to more sales for your business.

AI does this via algorithms that sort through data and retrieve insights into customer buying history and behavior, which then allows you to predict and cater to customer needs.

Personalization matters for a business; it can lead to 40% higher revenues for companies who get it right, unlike businesses that don’t prioritize a tailored customer experience. Businesses can use AI for personalization across websites, mobile apps, and channels such as emails, finding suitable and relevant products to market to customers. 

  1. Chatbots and virtual assistants 

Communicating effectively with customers is crucial to any retail business. That’s why companies place importance on having a phone number for business communication and the right technology to filter and direct customer calls.

AI not only enhances telephone interactions with customers but also opens up new avenues for engagement, ensuring he best possible experience for your consumer base.

Chatbots and virtual assistants are a growing use of AI on websites and apps. They can provide the flexibility of being available twenty-four hours a day and can change language according to a persons geographic region. They are an excellent way to efficiently steer customers to the relevant FAQs or a human operative if necessary.

Chatbots powered by AI are getting increasingly sophisticated. They have the capability to learn and evolve autonomously, which allows them to better adapt to an individual customers preferences and help with more specific needs and questions. 

The right technology, such as VNC vs RDP performance or automated call centers, and chatbots can truly transform the efficiency of your business. AI is simply the latest iteration of technological tools to help your business thrive.

  1. Natural Language

Natural language processing is another AI-powered innovation. Thanks to this, shoppers don’t have to use precise keywords because their natural language can be interpreted and understood.

This helpful technology means that misspellings, imprecise descriptions, and approximate terms are no longer a barrier to helping a customer find what they need. AI enables computers to understand, interpret, and respond to human language in a way that is both meaningful and useful. 

Natural Language will soon be seen as vital to any ecommerce business. It’s  already indispensable in transcribing calls with telephone technology such as enterprise VoIP solutions. Having transcribed a call, AI can even extract information from the call content, which can then be analyzed and used.

A man making a purchase on a laptop with his credit card in his hand.
  1. Smart Search

Your ecommerce website has many functions. It’s your shop window, sales counter, and marketing platform. AI can improve many aspects of your site, from choosing .ai only domain names to making your search box smart.

AI can also be leveraged to create an AI generated website design with enhanced user experiences and efficient functionalities.

Customers use search boxes on ecommerce websites to quickly find what they need. These customers tend not to be browsing your site for general ideas; they have something specific in mind and are trying to locate it. 

That said, search boxes are notoriously hit-and-miss and often require precise terms to find the desired item. Smart search is an AI-powered solution that helps customers when using search boxes.

For example, a smart search box can include autocomplete and recent searches to help customers find what they want. These advanced settings are more akin to an internet search engine and don’t rely so heavily on precise words that exactly match product descriptions.

  1. Security and Fraud Prevention

AI is particularly useful when it comes to security and fraud prevention. Its capacity to sift through extensive data and transaction records allows it to detect irregularities or suspicious activities effectively.

AI excels in monitoring customer behavior, enabling it to spot real-time deviations from normal patterns. This ability allows it to quickly flag potentially concerning transactions and identify possible fraudulent or criminal activity extremely fast.

  1. Marketing 

Marketing your products effectively in the highly competitive ecommerce sector requires creativity and adaptability. Approaches such as headless commerce and social media marketing mean that you can change your content and advertising at short notice.

AI can be a real advantage in this area; it can be used to create copy, product descriptions, or blog intros in far less time than a team member. It will never replace human creatives entirely, but it can handle bulk production and can get your marketing messages out to your customers without wasting time.

A person shopping for clothing on their phone.
  1. Customer Churn

AI can help reduce customer churn by noticing customer behavior, foreseeing when a shopper might leave your site, and taking steps to encourage them to stay. It can also reduce cart abandonment, by offering discounts and incentives at the right moment and following up on discarded purchases to entice customers to complete their orders.

Monitoring the bounce rate and browsing abandonment on your platform is also important, and AI can flag and take steps if these rates are alarmingly high. Messages, discounts, incentives and nudges can all be automated with AI, so that customers are always contacted in some form or another when they seem to be changing their mind about a purchase or losing interest.

  1. Pricing

Pricing your products for optimum sales is very important in a dynamic and changing market. You can use ai to enhance your online selling and get your pricing right.

AI can keep on top of consumer behavior and map trends, and compare your price points with those of your competitors. AI can also predict the best time to change prices and offer discounts for maximum effect, and can vary the price across the various platforms you use to sell your products.

It’s a huge challenge for a business owner to keep on top of these changes without AI. It involves a lot of comparing and number crunching, and calculating supply and demand. These are all areas that AI is perfect for, and using it in your pricing policy can really drive efficiency.

Pro Tip: Check out Episode 2 of The Seller’s Edge Podcast Where we deep dive into the future of selling with next-gen pricing tools.

A woman holding various shipping packages in her arms.
  1. Inventory

Managing your stock and sales numbers is quite a task. Once again, AI is an incredibly useful tool in lightening the load.

AI can predict and reorder products that are most likely to be in demand at particular times. It can prioritize space for these high-demand products, and at the same time keep stocked up on regular mainstays that are always in demand.

In this way, waste and over-ordering can be avoided, as well as lost sales through being out of stock, making inefficient inventory management a thing of the past. This not only improves your sales and customer satisfaction but also cuts down on eCommerce operating costs associated with excess inventory management.


AI is increasingly important and being integrated into our daily lives, especially in ecommerce. Online businesses can benefit greatly from AI’s machine learning and automation capabilities, which allow for faster, more efficient processing of large data volumes and round-the-clock operations without human error or fatigue. This technological advancement not only streamlines business processes but can also significantly enhance the ecommerce shopping experience.

For Amazon sellers looking to leverage these AI advancements, Viral Launch offers a comprehensive suite of optimization tools. Some of which are designed to harness the power of AI, helping sellers to maximize their efficiency, improve their market position, and drive their sales on the world’s largest online marketplace.

With AI’s growing influence in ecommerce, utilizing such tools is becoming essential for businesses aiming to thrive in the digital age.

Try Viral Launch, the all-in-one solution for new and established Amazon sellers.

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