6 AI tools in e-commerce: Which technologies propel merchants forward

According to the Online Retailer Survey 2024 conducted by the Zurich University of Applied Sciences (ZHAW) and the University of Applied Sciences North-western Switzerland (FHNW), more than half of the surveyed merchants already use AI tools such as ChatGPT or DeepL. These assist them in creating text content faster and translating it into other languages. According to the merchants, this not only saves time but also (personnel) costs. 

If you want to study the Online Retailer Survey 2024 in detail, you can download it here.

The study clearly shows: AI is becoming increasingly important in e-commerce. However, many merchants find it difficult to keep track of the constant developments and opportunities in this area. They often do not know where and with which tools to start. The following article is therefore intended to show you which AI tools could help you as an online merchant and what you need to look out for.

AI for content creation and SEO

High-quality texts are crucial for the success of an online shop. However, creating compelling content can be time-consuming. AI-powered tools like ChatGPT, Writesonic, or NeuronWriter help merchants generate appealing product descriptions, blog articles, or Marketing texts in minutes.

The merchants participating in the Online Retailer Survey also see the potential of AI tools in this area: Already a third of the respondents use AI for SEO, specifically to optimize product texts and keywords for search engines (Google, Bing). With 46 percent of mentions, AI in Marketing is seen as a valuable tool for content creation, especially for SMEs with limited resources.
Another 35 percent of online merchants confirm that AI-powered tools generate understandable and qualitatively better texts than humans. In addition, many use AI for idea generation, inspiration, and research.

TIP: Even though AI texts can be of high quality, human post-editing is recommended. Especially when it comes to emotional texts or those in a special, highly creative writing style, AI tools do not yet deliver the desired results. In such cases, it might be worth hiring professional copywriters or content specialists.

AI for design and visual content

A professional and appealing design is essential for a successful online shop and a strong social media presence. According to the Online Retailer Survey, every fourth online merchant uses AI to create images and videos.

AI tools like DALL·E, Canva AI, or Adobe Sensei support merchants in creating product images, banners, colour schemes, layout proposals, or other visual content. This allows designs to be generated quickly and efficiently. Especially for small businesses with a limited budget, such tools are helpful. 

TIP: Use AI as a support, but do not rely blindly on it. Sometimes AI can deliver bizarre results, such as distorted faces or six fingers on one hand. Therefore, it is always worth reviewing the generated designs with a human eye to ensure they fit the brand identity. In addition, many users now recognize AI-generated images and might rate them negatively. In certain cases, it is therefore still more advisable to rely on authentic photographs.

AI for customer service and support

Today, chatbots have become an indispensable part of online retail. Already 9 percent of the surveyed merchants stated that they use AI for customer service, while 20 percent plan to use it in the future. Some report that they have been able to improve customer satisfaction through AI-powered systems.

AI-powered chatbots can answer standard inquiries from customers around the clock, thereby relieving the support team. And tools like NICE, Zendesk AI, ChatGPT, or the AI chatbot from Jotform can not only help customers further but in some cases even implement targeted upselling strategies.

TIP: AI can learn from interactions and constantly improve its answers. That is why chatbots can usefully complement the support offering. At the same time, they by no means replace a personal conversation with a human. At the same time, make sure that your customers always have the option to alternatively contact a real person via telephone, e-mail, or live chat. 

AI for displaying personalised products

A shop that knows exactly what interests customers? Thanks to AI-powered algorithms, this is no longer a vision of the future. Certain tools can analyze user behaviour by evaluating clicks, search queries, and previous purchases. Based on this data, personalised product recommendations are then displayed on the website.

According to the Online Retailer Survey 2024, 16 percent of e-commerce merchants already rely on AI-powered product searches, filters, or recommendations to improve the shopping experience. Merchants from various industries stated that AI helps them recognize patterns in purchasing habits, run targeted cross- and upselling, and deploy their teams more efficiently.

Tools like Dynamic Yield, Algolia, or Releva.nz ensure that customers see the right products at exactly the right moment. Releva.nz, for example, uses AI for dynamic retargeting and displays targeted advertisements to users for products they have already viewed in order to increase the purchase probability.

TIP: These tools should be used with caution. If recommendations seem too accurate or omnipresent, customers might quickly feel monitored. In addition, there are strict data protection regulations in many regions that you as a merchant must comply with. A transparent explanation on your website, for example through a notification banner or a dedicated info page, can build trust. Also offer the option to reject personalised suggestions or to manage data yourself.

AI for fraud prevention and security 

Fraud attempts in online retail have become a serious problem. Fake orders, stolen credit cards, and identity theft can cause high financial damage. AI-powered security systems analyze transaction patterns in real time and can detect suspicious activities before damage occurs, thereby preventing potential fraud cases. About 7 percent of respondents stated that they already use AI for prevention and fraud detection. 

German tools like sosafe and English ones like Signifyd, Fraud.net, or Riskified use AI algorithms to automatically block unusual orders or request additional verification. For merchants, this means more security and fewer losses. Customers also benefit from better protection of their data.

TIP: It is best to rely on a combination of AI and manual control. While algorithms detect suspicious activities, a human eye can better distinguish between real customer behaviour and false alarms. 

AI for pricing

Dynamic pricing means that prices are automatically adjusted based on supply, demand, competitor prices, or inventory. Companies like Migrol are already using AI tools from A2i to manage their fuel prices. This is now also possible for e-commerce merchants: With tools like Prisync or BlackCurve, merchants can apply similar strategies to keep their prices flexible and competitive.

According to the Online Retailer Survey 2024, Swiss merchants are still hesitant when it comes to using such tools. Only 4 percent indicated that they already use this option.

TIP: The advantages of AI-driven pricing clearly lie in potentially better margins and higher competitiveness. However, if many merchants use such pricing algorithms, this could lead to rising prices. This aspect should be kept in mind when using such tools. Furthermore, too frequent price fluctuations could irritate customers or make them suspicious. Therefore, test the strategies first with a few products before you use them in the long term. 

Payrexx: Modern payment solution for you as a merchant

Even without the help of artificial intelligence, a secure payment process is possible. Payrexx offers a simple and innovative solution for payment transactions in e-commerce. The platform enables online merchants to integrate various payment methods and make the payment process seamless for customers.

The new AI search function in the support documentation helps you find answers to your questions faster and in a more targeted manner. In addition, with Payrexx you can easily export transaction data and, based on this, use AI tools like ChatGPT to analyze which payment methods your customers prefer. This way you optimize your offer in a targeted manner and reduce purchase abandonments.

TIP: With Payrexx, you have all common payment methods available for your customers in one account. Test all Payrexx tools and features now for 30 days for free and convince yourself!

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