Technology affects people all over the world. Its evolution has made our lives easier and faster. Artificial Intelligence has transformed the meaning of productivity. It has induced both excitement and doubt amongst humans as we imagine complex machines to be AI. It is revolutionizing industries and businesses. Hence, it is no doubt that AI is also becoming the next breakthrough in the E-commerce landscape.

9 Ways AI is Changing the Face of the E-Commerce Sector

1. Smart Product Recommendations

Websites like Amazon keep showing you products similar to those you viewed before. Well, this is just how Artificial Intelligence works. Many e-commerce websites recommend apt products to shoppers. They take several parameters like previous buys and frequently viewed products under consideration. It is done with the help of smart AI-powered algorithms and technologies like Big Data. It has many benefits like:

  • Improvement in sales
  • Increase in number of returning customers
  • Personalized experience for shoppers
  • Better website engagement for businesses

2. 24/7 Support with Chatbots

How Artificial Intelligence is Changing The E-commerce Landscape, Kwantics


E-commerce websites are rapidly turning to AI-based chatbots and virtual assistants. They are proving to be very useful in providing 24/7 effective customer support. Customers feel more comfortable with them. They also reduce the workload on support teams. Their usage has become a necessity for e-commerce companies to survive. Chatbots can be very impactful due to capabilities like :

  • Natural Language Processing(NLP)
  • Providing business insights
  • Analyzing customer data to personalize the experience
  • Ability to learn and adapt
  • Providing seamless customer support

3. Product Search Using Image Recognition

AI tools are making online shopping just as easy as going to a store. Imagine that you like a friend’s dress and want to purchase something similar. Now, instead of searching it for hours on the internet, you can simply take a picture, upload it, and leave the rest to AI. It will look it up and display the exact or closest matching product available in no time. This has become possible with the help of technologies like Image recognition and Deep Learning. It saves time and makes the experience of using your e-commerce website better. These days, almost all customers look for this feature while shopping. Hence, it has become a must-have for e-commerce websites.

4. Inventory Management

Inventory management is one of the most important business areas. It is all about maintaining the right amount of inventory without leaving any idle stock. Tracking and managing the availability of thousands of products every day can be hectic and time-consuming. However, AI-based Inventory Management systems can perform this job easily. By analyzing previous data and sales trends, it can:

  1. Project future demands for any product.
  1. Keep track of the supply-related issues which can affect the inventory.

5. Data Handling

These days, E-commerce websites hold enormous amounts of data but it is practically impossible to be handled, even if they spend a lot of time on it. This data can be very useful to get insights but it is very difficult for humans to handle it. Artificial Intelligence can collect this data in a proper structure and use it to generate valuable insights and make predictions. It can help in :

  • Understanding mass customer behaviour
  • determining the buying pattern
  • predicting next buy
  • getting demographics

6. Handle Address Inconsistency

Most of the India-based e-commerce websites face the problem of address inconsistency. The addresses provided by the customers are mostly inaccurate. At the same time, it is very difficult to correlate each address with geolocation. This leads to delayed deliveries, rerouting, and return of shipments. It affects customer experience and increases the load on the logistics team. Therefore, companies are now using AI and ML to solve this problem. According to sources, They have devised an address classification system with an accuracy of up to 98%.

7. Implement Virtual Assistants

How Artificial Intelligence is Changing The E-commerce Landscape, Kwantics

Many virtual assistants like Amazon’s Alexa have been emerging recently. They can be integrated into the products sold by your e-commerce website, as well as products from other companies. Using these AI-Powered virtual assistants can be helpful in:

  • Increasing brand popularity
  • Providing creative opportunities

Also, depending on how they are trained, virtual assistants can:

  • Process orders
  • Handle returns/exchanges
  • Assist in website maintenance
  • Guide customers throughout the purchase

8. Tackle Fake Reviews

More often than not, companies receive a lot of fake reviews on their websites. Studies show that 86% of buying decisions were influenced by negative online reviews. Not only does that affect sales, but it also impacts the brand name and value. Businesses often try to tackle it but it is not possible to separate these fake reviews from millions of genuine reviews.
Well, it isn’t something that AI can’t handle. ML-based algorithms can detect these reviews and take them down. Moreover, This can be done by developing a self-learning system which uses language processing to detect unusual writing style. The reviewing teams can also raise red flags on anything they find suspicious and then check it for authenticity. Also, it makes sure that the verified reviews stay on top.

9. AI-powered Cybersecurity

With the advancement in technology, comes an increase in cybercrime. E-commerce websites deal with many online transactions every day. Somehow, it might be possible for hackers to gain access to private user data and commit online fraud during these transactions. It can give a big blow to a business’s reputation. However, these fraudulent activities can be detected and prevented with the help of AI algorithms. Adopting these measures will help build trust amongst the customers and increase business reputation.


Nowadays, it has become impossible to imagine a world without Artificial Intelligence. This is just the beginning. The future holds a lot more advancements in technology. E-commerce websites will have to stay up-to-date with these to be able to stay ahead in the competition. Thus, it is no doubt that using AI can help your e-commerce business and provide the customers with an experience of their dreams!

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