According to a recent study by market research firm Graphical Research, North America’s artificial intelligence in the retail market is set to grow from its current market value of over $1 billion to over $10 billion. billion by 2027.
North America AI trends in the retail industry are rooted in a digital revolution that has taken over the retail market with a boom. It has improved speed, efficiency, and accuracy across all branches of retail, largely due to advanced data and predictive analytics technologies that help organizations make data-driven business choices.
AI in retail has provided businesses with access to high-level data and insights, which can be used to improve retail operations and create new business insights. In fact, the size of the retail AI market in North America is predicted to reach $10 billion by 2027.
Amazon Web Services, Amazon.co.uk Inc, BloomReach Inc., IBM Corporation, Google LLC, Intel Corporation, Microsoft Corporation, Lexalytics Inc., Nvidia Corporation, RetailNext Inc., Oracle Corporation, Salesforce.com, Inc. and SAP SE. are among the leading companies using AI in the retail supply chain in North America.
Advanced AI technologies enable businesses to aggregate and evaluate individual consumer data to conduct tailored promotions. That’s why retailers in the region are upgrading their e-commerce systems with state-of-the-art technology. Below are recent examples of companies that have adopted AI in their retail business:
- JC Penney used AI to revamp its e-commerce platform in September 2021. The company uses artificial intelligence (AI) technologies to change its e-commerce platform and improve online customer experience.
- In June 2020, Jesta IS Inc. expanded its AI-powered CRM platform, which provides omnichannel merchants with in-depth visual insight into consumer engagement. The visual analytics system delivers agile and actionable customer insights across all channels.
- NielsenIQ announced a new agreement with Loop Insights Inc. in April 2021 to change the retail industry in North America through automated marketing and increased consumer interaction using real-time business analytics real.
Machine learning technology helps companies improve customer experience and optimize their supply chain strategy. Using ML’s predictive analytics approach, the retailer has information to help them define which marketing campaigns and social media channels are effective against the company’s products and services.
In order to unveil a greater ability to captivate new customers, as well as retain them, retailers are creating a mix of machine learning and marketing efforts. The share of the AI industry in North America coming from machine learning technology is expected to grow with a CAGR of 40% through 2027.
Given the ease of purchase and hassle-free operation, e-commerce platforms have taken center stage during times of social distancing from COVID-19. Due to this increase in customer traffic on online shopping platforms, the automated merchandising application accounted for 30% of the regional market share in 2020.
Online merchants typically use automated merchandising software to predict consumer buying behaviors and provide them with additional buying options. Through repeated encounters, advanced CRM and marketing systems learn a consumer’s habits and preferences to create a complete buyer profile, which is then used to send proactive and targeted outbound marketing – suggestions, rewards or personalized content.
AI in Canada in the retail sector will represent more than $2 billion in revenue by 2027. The country’s leading retail companies are focusing heavily on adopting technologies and approaches based on on AI and ML that deliver a seamless and integrated customer experience. For example, Walmart Canada will invest $3.5 billion in digital transformation over the next five years in July 2020. The funds will be used to purchase IoT sensors, AI software, and blockchain-based transportation payments.
Authors biography
Priyanka Ravi Nair graduated with an MBA (Finance) from Pune, India. She started her content writing journey over 2 years ago and since then there has been no turning back. She aims to explore several aspects in the field of content writing and is currently learning the ropes to write articles relating to market research, business trends and basic industry developments.
