Artificial Intelligence in Digital Commerce

Transcription

1 Artificial Intelligence in Digital Commerce Truth and Fiction Ihr Ansprechpartner: Matthias Zacher Manager Research & Consulting T E mzacher@idc.com Matthias Zacher, Manager Research & Consulting, IDC Internet World Oktober 2018, München

2 About IDC 2

3 AI on Wiesn Quelle: SZ,26. September

4 Retail C-Suite Priorities Over the Next 5 Years Innovation By 2020, 32% effort on disruptive innovations IoT commerce $10B by 2020 Digital commerce products, interfaces AI adidas foresees ecommerce growth from $1B to $4B by % of apparel orders with free shipping. demand for same-day delivery, and flexible returns Commerce Everywhere Digital Supply Chain 72% view the Internet of Things (IoT) as a key enabler for the supply chain of the future Ecosystem Partner network is a top priority for business model innovation Customer Experience 39% use AI for CX personalization Sources: IDC Retail Innovation Survey 2018 (n = 400); other public sources 4

5 Traffic and Conversion: No Longer Business as Usual From Guided selling Customers searching for products Reactive Touchpoints Location (space) Segments and personas Interfaces To Contextual discovery experiences Products finding customers Proactive customer service Multiple engagement inputs Customer moments (time) Hyper-microsegmentation Active and passive shoppers Source: IDC,

6 Digital Commerce Transformation Trends Cloud Microservices Architecture Mobile/Social B2B Commerce Transformation Marketplaces API Economy Data, Analytics, and Omni-channel Curated Customer Algorithms Experiences 6

7 What Makes a Retail Business Artificial Intelligence Enabled? Augment rules and analyticsbased decision systems Automate manual decisions and processes 7

8 Intelligent Commerce Intelligent commerce is achieved when artificial intelligence is embedded into a digital commerce application, enabling automation of commerce business processes. The primary innovative characteristics of intelligent commerce is that it leverages machine learnings algorithms and learns over time. 8

9 AI Foundation is at the Core of All Retail Commerce Platform Activities Have you already implemented or do you plan to invest in the following innovations over the next months? (selected answers on AI) Source: IDC Retail Innovation Survey 2018 (n = 400) 9

10 CX Services, Order Fulfilment Services, and Commerce Services are Key Capabilities to Address Innovation Priorities Source: IDC Retail Innovation Survey 2018 (n = 400) 10

11 A Comprehensive Digital Commerce Platform 11

12 AI Drives CX Metrics CSAT Retailers Expected Improvement From 5% to 9%: 36% 10% or more: 19% NPS CES Source: IDC's Global Retail Innovation Survey, 2017 (n = 400) 12

13 How to Operationalize Artificial Intelligence in Retail Data Code + Subject Matter Expert Data Scientist - Copyright Insight Business Services Embedded into retail applications across business functions IDC

14 Biggest Challenges to Achieve CX Personalization What are the main challenges that your company is facing to achieve customer experience personalization at scale? Source: IDC Retail Innovation Survey 2018 (n = 400) 14

15 Artificial Intelligence Will Change Retail By 2019, artificial intelligence will change how 25% of merchants, marketers, planners, and operators work, improving productivity by 30% and KPIs by 10% 20%. Source: IDC Worldwide Retail FutureScape, 15

16 A New CX Architecture is Required Interfaces Engagement Level Image Touch Text Voice Web AR/VR Store Robot Human Connected Product Real-Time, Contextual Actions Process Level Information Level Alert Identify Personalize Execute Monitor Analyze Dynamic Experience Services ATTRACT PRESENT ENGAGE SELL SERVICE Analytics Services Unified Info Lake Structured and Unstructured Data Customer Product Inventory 3rd Party Acquisition Ingestion Integration Back Office Partners IoT Hyper-Microsegmentation Source: IDC,

17 Advice for Digital Commerce User 17

18 Customer Experience Meeting the Customer Where They Are User Experience Design IDC Visit us at IDC.com and follow us on 18

19 Contact Matthias Zacher Manager Research & Consulting T E IDC