It wasn’t long ago that shopping required a trip to the store, with no guarantee that the item you wanted would be in stock. Today, consumers expect the freedom to shop on their own terms, being able to review all the options available to them online and without disrupting their daily routines. Whether it’s checking in-store availability for same-day pick up or having items delivered directly to their door, convenience has become a top priority. Online shopping was a watershed moment for the
for the retail industry, but as technology continues to advance, generative AI and conversational commerce — where chatbots and voice assistants create seamless, interactive shopping experiences — will go even further in minimising friction in retail. This isn’t about completely overhauling the shopping experience, it’s about injecting AI “in-the-flow” to optimise and streamline it. For example, generative AI can be used to summarise thousands of product reviews into concise snippets, sparing consumers the need to sift through endless opinions. This kind of application can help tackle information overload and eases decision paralysis amongst consumers, making the shopping experience more intuitive.
So, as we look ahead to the next few years — how exactly will generative AI and conversational commerce transform the way we shop?
The rise of mission-based shopping
Conversational commerce will redefine digital customer journeys by shifting from product-based to mission-based shopping. Traditional e-commerce often involves browsing extensive catalogues, with a lot of effort required by the customer to find the right item to meet their needs. However, with conversational commerce, shoppers can save time and effort by shopping from products specifically relevant to that need, or ‘mission’.
If you’re searching for the perfect outfit for a specific event, AI can be deployed to accommodate a wider range of needs and preferences, providing tailored suggestions that match your style, fit, and occasion. This mission-driven approach reduces friction, allows for better product discovery, and ultimately improves customer satisfaction.
The value of personalisation and recommendations
A major impact of AI in retail is its ability to customise shopping experiences. Traditional recommendation systems rely on algorithms that analyse past purchase behaviour and browsing history to suggest products. Although they get the job done, these systems are restricted by traditional user interfaces that still require significant effort from the customer to find that perfect product.
Generative AI and large language models, however, unlock these limitations by enabling customers to use natural language either with text or voice, which can then be combined with traditional AI to come up with much more relevant and intuitive results. By analysing a shopper’s interactions, preferences and even mood, generative AI can now support mission-based shopping by dynamically shaping shopping journeys, click by click. This enhances the overall experience by increasing relevance and decreasing choice overwhelm, which saves time for customers.
Elevating the customer experience
The retail landscape is being transformed in many areas, from in-store shopping to customer service, creating more seamless and engaging experiences. Retailers are increasingly utilising AI-powered technologies in physical stores to enhance the shopping journey and streamline checkout processes. For example, AI systems can prove immensely effective at assessing what items are being scanned at a self-checkout terminal, reducing the input required by the consumer and significantly speeding up the process. By analysing customer behaviour, generative AI can also speed up insights into foot traffic patterns, allowing retailers to optimise store layouts and product placements, ultimately improving the flow and convenience of in-store shopping.
Conversational commerce is also redefining how customers interact with brands. Traditional customer support often fails to provide the level of personalisation and efficiency that modern shoppers expect. However, generative AI is powering voice assistants and messaging platforms which are better equipped to understand and respond to complex queries. These systems engage customers in interactive conversations, offering product recommendations, assisting with returns and providing information on product availability – delivering a more personalised and human-like experience.
For example, UK electronics retailer Currys is integrating generative AI into its customer service, allowing for more tailored and efficient interactions. By leveraging advanced conversational agents, Currys is able to analyse customer queries in real-time, delivering faster, more accurate solutions. These AI-powered agents can handle a wide range of customer issues, from troubleshooting to offering personalised product recommendations, all while ensuring round-the-clock support, allowing Currys to boost their customer satisfaction and scale its service without compromising on quality.
Generative AI — shaping the future of retail
With the ongoing advancements in generative AI, its impact on the shopping experience is set to expand. Retailers are increasingly investing in AI technologies to remain competitive and address the changing expectations of consumers. Through chatbots, voice assistants and AI-driven reviews, conversational commerce will make shopping more interactive and mission-oriented. The future of shopping promises even more innovative applications of generative AI, from hyper-personalised shopping experiences and seamless integration of online and offline interactions, to real-time AI-driven conversations that enhance customer engagement and convenience.
Further reading: The rise of conversational marketing