Last Updated | September 10, 2021
Are you not getting the desired sales from your Magento eCommerce store, despite making your best efforts?
Well, eCommerce stores are no more just about creating an interactive and appealing website and stocking it up with a large volume of inventory. Today, it’s all about integrating modern-day technology – Artificial Intelligence that can make the magic happen for your sales graph’s upward trajectory.
Now while Artificial Intelligence has become a crucial part of our daily lives, we still take the technology straight from sci-fi movies – where intelligent robots are able to overdo humans in all aspects. Well, while there may still be time for the rise of sentinel machines, however, AI certainly got the powers to transform the way we interact with the world.
if you have previous shopping experience with Amazon, you must have been amazed by how the platform is able to give you highly relatable recommendations for products based on your preference. Or if you have used personal assistants like Siri or Alexa, you must have wondered how these are able to accurately understand and respond to your queries. Well, artificial technology runs the show behind all these technological marvels.
According to the statistics, the global AI market is expected to hit USD 23 billion in the next five years. It has already penetrated deep into various legacy fields and eCommerce is no exception. Artificial Intelligence with its capabilities is altering the way eCommerce stores work. It offers eCommerce stores with unique capabilities to expand their footprint in the target market and squeeze more profits by making customers buy from them.
When it comes to eCommerce stores, Magento is definitely one of the most powerful and highly popular web development platforms used by millions of websites. The platform brings in various features and functionalities including some powerful AI extensions for an eCommerce store to improve their ROIs. Irrespective of the size of your Magento store, AI extensions can help you implement winning strategies to boost your sales graph upward.
What is AI?
To put it simply, Artificial Intelligence along with its subfield machine learning is a powerful disruptive technology that helps users to efficiently collect, process, and analyze large data sets. By analyzing the data and performing various tests, AI tools offer insightful and interactive reports for humans to better understand the behavior of customers and make necessary changes to optimize performance. For instance, AI tools in eCommerce stores can help perform behavior analysis of users, thereby, enabling store owners to create more personalized marketing campaigns to drive up sales. Similarly, an advance AI tools used in the eCommerce industry are able to analyze the entire historical data of customers to make intelligent and highly relevant product recommendations; driving up the average transaction price for online stores.
What are the features of Artificial Intelligence in Magento?
Magento as a leading eCommerce development platform has various AI extensions that can be integrated with the store to optimize its performance. You can easily boost your eCommerce stores by hiring Magento optimization services that can help you integrate AI extensions with the store. Below are some of the features of AI for Magento stores.
Targeted Consumer Experience
Purchase assistants are considered as the fundamental AI implementation in Magento stores. These purchase assistants are meant to boost sales by targeting the right users with the right message at the right time. Powered by robust AI algorithms, the purchase assistants are able to analyze the details of customers in real-time and give personalized recommendations based on their behavioral and historical data.
With Magento integration services, it’s easy to integrate these purchase assistants into eCommerce stores. The cognitive computing and machine learning powered AI algorithms are able to deconstruct the Big Data of hundreds of thousands of customers simultaneously and help improve the ROIs for Magento stores.
Product search functionality is one of the most crucial and fundamental parts of all online stores. The search bar is the first website component that most customers look for to find the desired products or services. Of the various search extensions available for Magento stores, AI-powered extensions are certainly the most powerful ones.
While the traditional search extensions would rely on the “exact match” of the keywords entered by the users, AI-powered search extensions are able to analyze the context of the search. This allows them to offer a wide variety of suggestions of the desired keywords. Leveraging the power of Natural Language Processing to compute words, the AI-powered search extensions generate wider, more relevant, and precise results based on the users’ intent and not just the keywords in it.
Fraud detection and prevention
One of the most pressing challenges to the growth of the eCommerce industry is cybersecurity and online fraud. While the security protocols have been reinforced considerably in the past many years, still anxieties related to online fraud and cybersecurity remain an impedance for the industry.
The rise of mobile commerce has made cybersecurity concerns even riskier for users, as they become even more vulnerable to be a victim of online fraud, data breach, or other cybersecurity concerns. According to statistics, the use of different channels including desktop, mobile, and social media platforms to access stores have increased the risk of online fraud by as much as 7 times.
Magento as a leading platform does offer significant security standards to ensure the protection of critical business and users’ information. These protocols are able to minimize the chances of online fraud and offer a safe online transaction model for users; thus greatly improve customers’ trust in the platform.
The rise of chatbots has redefined customer support for all businesses and eCommerce stores are no exception. With the right Magento 2 development company, it’s easy for online stores to integrate AI bots with the stores to offer customers robust 24/7 customer support. Not only AI bots are more effective and efficient than human representatives, but also cost-effective.
How to use AI to boost your traffic and sales to your Magento 2 store?
According to statistics, with a personalized shopping experience, online stores can improve conversion rates by as much as 40%. Also, online shoppers are more than willing to exceed their budgets provider they are offered a customized and personalized experience on eCommerce platforms. That’s why eCommerce stores have long searched for innovative ways to improve the online experience of customers and offer them better recommendations.
While Magento offers storeowners plenty of powerful features to build feature-rich stores and offer a better customer experience, AI extensions take the whole customer experience to another level. The AI tools enable store owners to create the whole store branding and product listing in line with customers’ preferences, which otherwise is impossible to achieve.
One significant milestone achieved in this regard was back in 2020 when Adobe launched the Magento Product Recommendations extension. It was AI-powered extensions specifically for the Magento store that enable stores to significantly improve the customer experience. The tool was powered by Adobe’s proprietary technology –Adobe Sensei.
Magento Product Recommendations
The Magento Product Recommendations extension by Adobe is a powerful AI-based tool that enables Magento store owners to enhance conversion rates with better customer engagement, thus improving the sales for stores. The extension makes intelligent and highly relevant product recommendations for customers; analyzing their behavior and search history. With Magento Product Recommendations, online stores are able to improvise their sales funnel for higher revenues. The extension not only improves the customers’ shopping experience but also makes the shopping process much faster and optimized.
Best Magento 2 extensions for AI capabilities?
If you are wondering how to use AI in Magento eCommerce stores; you can easily achieve it by integrated AI-powered extensions. There are various powerful AI extensions available for Magento stores that can significantly improve various store functions and help store owners maximize sales and revenues. Below are some of the higher preferred AI-powered Magento extensions;
Chloe AI by Sundown AI
Chole is a popular AI Magento extension that enables shoppers to have instant assistance for any product or service they want to know about. It’s a responsive extension that is fully mobile compatible and works effectively with all different screen sizes. The extension uses patented technology to collect and analyze customer data from eCommerce stores and identify specific behavioral patterns of customers. The extension’s machine learning algorithms are able to respond to all queries made by customers for support and resolve outstanding issues efficiently.
Visual Recommendations by Vue.ai
Visual Recommendations by Vue.ai is a collaborative effort by Apptha (the largest provider of extensions for Magento stores) and Vue.ai. The extension is specifically meant for Fashion eCommerce and works as AI drive visual recommendation system that significantly improves the conversion rates for online stores. It’s an exclusively developed product for Magento Fashion Stores and helps store owners to offer customers with highly-relevant products; greatly improving the conversion rates for stores.
Choice AI is a highly recommended AI-powered Magento extension that enables Magento store owners to personalize the shopping experience for customers.
The extension comes with a global category graph, which is capable to adapt to the individual store’s vertical. Some of the key features of the extension include;
- Automatically identify and push key features of products to help improve conversion rates
- Contextual pop-ups and triggers
- Neuromarketing nudges
- Email automation (Klaviyo, MailChimp, and others)
- Visual product feature search
SearchSpring site search and navigation
SearchSpring is another high-utility AI-based extension for Magento store, meant to optimize the customer experience. The machine learning algorithms of the extension is able to analyze the behavioral analysis of customers and understand the search context to generate a wider selection of highly relevant results for search queries. The extension is offered on a subscription-based model, however, it definitely brings in much features for store owners.
Some of the key features of SearchSpring site search and navigation includes;
- Intent/context analysis
- Intelligent search
- Category navigation
- Dynamic autocomplete
- Effectual insight suite
- Dynamic product recommendations
- Intuitive merchandizing suite
How Artificial Intelligence Affects Marketing?
With all the powerful and disruptive features, artificial intelligence is only most effective when it is used as a tool. While it certainly brings in powerful automation, and intelligent features, still it can’t replace real marketers. Rather, it should be used to augment and assist marketers to create more effective and personalized marketing strategies. While the technology can analyze a massive volume of data sets to bring insightful behavior patterns, it depends on the creative elements of human marketers to bring in most leads and close the sales funnel.
The primary objective of Artificial Intelligence in marketing should be to decode complex customer data and generate interactive reports and graphs depicting behavior and buying patterns. This in turn can be used to offer a more personalized and targeted shopping experience for customers, increasing customer engagement and improving conversion rates for stores.
Are There Other Benefits of Using AI In Magento?
Artificial Intelligence has become an indispensable tool for all ecommerce stores, and Magento stores are no exception. In the above sections, we have covered various reasons to integrate AI tools in Magento stores. Now, let’s see some of the additional benefits of using AI in Magento stores;
- Chatbots are the most efficient AI-powered tools that help Magento stores deliver personalized customer support. In fact, the “Create Shopify app” remains the most sought-after service among Shopify store owners (the biggest rival to Magento stores). That’s because modern customers want personalized answers to their queries instead of generic answers from robots. With AI-powered Chatbots, Magento stores can optimize customer support by delivering customized answers to customers 24/7. AI-powered chatbots not only optimize customer support but also save costs for hiring human support representatives.
- Secondly, artificial intelligence in Magento stores helps retarget the market leads. That’s an essential benefit to consider because most stores lose their customers because they don’t follow up on the leads. So, AI tools will help you gain back a significant percentage of customers
- The new eCommerce stores are all about personalization, and AI can help increase personalization on Magento stores. That’s because AI can monitor the customers’ activities in the store, which results in a more seamless shopping experience
AI in Magento offers smart search to the customer using predictive algorithms. This ensures that customers can find the best product even if they don’t know the correct product name.
Just like in all other fields artificial intelligence has greatly influenced the functioning of the eCommerce industry. Magento as the leading eCommerce platform has been receiving the most number of AI applications that improve the platform’s capabilities for store owners to create a better and more personalized customer experience. Integrating AI technology into Magento’s online store enables store owners to improve website traffic and sales greatly. In case of any query, you can always drop us a line as a trusted Custom Magento Development Company.
FAQs: How the use of AI in Magento to increase your sales
Why AI is important?
AI in the eCommerce industry is primarily targeted to improve customers’ experience for online shopping. The technology enables online stores to offer better engagement and personalized experience for customers, thus influencing the overall branding efforts of the business, as well.
How AI works for Marketing?
Besides improving the personalized shopping experience for customers, AI marketing tools also help businesses stay updated with the business performance, analyze customers’ shopping preferences, and make intelligent decisions to improve overall sales and revenue for the store.
Why Artificial Intelligence good to increase sales for Magento 2 Store?
AI technology brings in powerful analytical features to help store owners create a more optimized shopping experience for online shoppers, thus improving conversion rates. Also, with robust analytical features, AI tools help eCommerce stores to make future demand forecasts by analyzing historical and seasonal data and buying patterns. This improves the overall efficiency of stores, lowers operational costs, and increases business performance.