Retailers are using AI in various ways. Amazon uses AI to help sellers create product descriptions and advertisers create visually compelling images. Kohl's has an AI-powered tool that creates personalized poems for customers and suggests gifts. Target uses AI to forecast demand and predict potential out-of-stock items, while Nordstrom is using AI to expedite order fulfillment and understand customer language. The use of AI in retail is contributing to a more efficient and customer-centric holiday shopping season.
Key takeaways:
- Artificial Intelligence (AI) is influencing an estimated $194 billion in global online spending during the holiday season, and has left its imprint on $5.1 billion in online sales during Cyber Week.
- Retail giants like Walmart, Target, Nordstrom, and Amazon are using AI to streamline their operations, optimize inventory management, enhance marketing strategies, and improve the overall consumer shopping experience.
- AI is also being used to create personalized features for customers, such as Kohl's "Storybook Magic" tool that crafts personalized poems and gift suggestions, and Target's use of AI to forecast demand and predict potential out-of-stock items.
- Nordstrom is using AI to expedite order fulfillment and gain insights into customer language, ensuring an accurate search that will lead users to buy their desired item.