Providing a personalized and efficient experience is no longer a unique differentiator for e-commerce giants. With the advancement and democratization of Artificial Intelligence tools, small and medium-sized retailers can now compete with large platforms, delivering smarter shopping journeys, increasing conversion, and building customer loyalty..
According to a survey by McKinsey & Company, companies that adopt AI-based personalization solutions see, on average, a 40% increase in revenue from personalized actions. Furthermore, 71% of consumers expect more personalized experiences from the brands they interact with, according to a Salesforce report. This data highlights a clear trend: understanding and anticipating consumer needs is now a decisive factor for those who want to remain competitive, especially in the digital environment..
If, in the past, investing in cutting-edge technology seemed like a privilege for big brands, today specialized startups are making access more democratic. One example is ShopNext.AI, a retail-focused platform that develops customized Generative Artificial Intelligence solutions for small and medium-sized e-commerce businesses. According to the company’s data, businesses that adopted its solutions saw, on average, a 25% increase in conversion rates and a 30% increase in customer retention..
“Artificial Intelligence is enabling small retailers to deliver highly personalized experiences, create tailored content, and better understand their customers’ behavior. This was something that previously seemed far from the reality for SMEs. Today, with the right tools, it’s possible to compete with large marketplaces in terms of experience and efficiency,” says Pedro Duarte, CEO of ShopNext.AI..
Market Trend
Studies indicate that AI will become even more strategic for small retailers in the coming years. According to Gartner, by 2027, approximately 70% of e-commerce customer interactions will be mediated by AI technologies, including chatbots, virtual assistants, and personalization tools..
For example, some of the most common AI applications for small and medium-sized retailers include customer service chatbots, automatic product description generation, personalized recommendation systems, and predictive tools for inventory management and marketing campaigns. Automating these processes not only allows for efficiency gains but also frees up time for entrepreneurs to focus on business growth..
Tips for retailers
Expert Pedro Duarte has put together practical tips for small retailers who want to start using AI in their daily lives:
- Start with the basics: Invest first in simple tools, such as chatbots and virtual assistants for customer service, which already offer quick gains in efficiency.
- Personalize your e-commerce: Use AI to create personalized product recommendations and improve the customer experience at every stage of the purchasing journey.
- Optimize your time: Automate repetitive tasks like generating product descriptions and managing inventory to focus more on strategy and growth.
- Use data to your advantage: implement solutions that help better understand consumer behavior and predict future demands.
- Test and adjust: Start with smaller projects, measure results, and make constant adjustments to ensure the technology is actually generating value for your business.
