With the fast advancement of science, technology, and economic society, artificial intelligence (AI) has emerged as a major driving force in the growth of e-commerce.
But how exactly can AI impact e-commerce? What role does artificial intelligence play in the expansion of e-commerce? What type of eCommerce AI tools do businesses adopt most often?
Let’s have a look at the statistics regarding the significant influence that AI has had and the huge relevance it has had on the growth of e-commerce.
In the retail business, the value of artificial intelligence is predicted to increase from an estimated USD 1,714.3 million in 2021 to USD 36,462.5 million by 2030 (Precedence Research)
As of the latest research of 2022, the value of artificial intelligence in the retail industry is expected to rise from an estimated USD 1,714.3 million in 2021 to USD 36,462.5 million by 2030 as e-commerce sales are expected to expand by USD 7.3 trillion by 2025.
The market for AI-Enabled E-Commerce Solutions is expected to be valued at 16.8 billion dollars by the year 2030 (InsightAce Analytic)
Based on the most recent market intelligence study by InsightAce Analytics, the worldwide AI-Enabled E-Commerce Solutions Market size was estimated at $3.71 billion in 2021 and is projected to reach $16.8 billion in 2030, registering a promising CAGR of 15.7% from 2021 to 2030.
By 2023, it is anticipated that the value of eCommerce transactions conducted through chatbots would reach $112 billion (Juniper Research)
In the present day and age of conversational eCommerce, one method to steer the discussion is to make use of artificial intelligence in the form of “chatbots.”
This is only one of many possible approaches. It is estimated that by the year 2023, the value of eCommerce transactions that are carried out using chatbots will reach $112 billion.
In the landscape of online commerce, the growth of AI-powered solutions emerges as a transformative force, signifying a profound shift in the way businesses approach e-commerce solutions.
By 2030, the market for e-commerce solutions powered by AI is expected to be worth $16.8 billion (InsightAce Analytic)
The market for AI-powered e-commerce solutions is expected to reach $16.8 billion by the year 2030, indicating that artificial intelligence is becoming an increasingly valuable tool for online businesses.
Consumers as well as enterprises are benefiting from artificial intelligence, particularly in the fields of retail and e-commerce. The introduction of technologies such as conversational chatbots, recommendation systems, automatically produced product descriptions, tailored search, and quicker checkout is only the beginning.
In developing economies, 57% of respondents claim to have implemented AI (McKinsey)
The most typical use of AI in marketing and sales is analytics geared toward improving the customer service experience. As of right now, 57% of all respondents in developing economies claim to have implemented AI, as stated in the research that McKinsey compiled on the subject of AI adoption in 2021.
See also the latest AI in customer service statistics.
By 2030, the market for chatbots will be worth $3.99 billion (Grandview Research)
One of the most popular types of AI to use in eCommerce shops is thought to be chatbots. Grandview Research predicts that the worldwide chatbot industry will grow to $3.99 billion in size by 2030. This indicates that between 2022 and 2030, the market will expand at a CAGR of 25.7%.
By 2025, 75% of Americans will possess a smart speaker, producing $35.5 billion in revenue (Loup Ventures)
The implementation of voice bots has accelerated the development of the digital sales sector in the world’s biggest e-commerce platform. By 2025, 75% of Americans will have a smart speaker; hence there is a probability that e-commerce enterprises may see a breakthrough as more homes adopt this technology.
Upcoming categories in which AI will assist e-commerce enterprises, according to North American and European decision-makers in 2021 (Statista)
|Share of respondents
|I don’t believe AI will help our company
In the next few years, AI will alter the e-commerce business, but it is already having an impact in the present. AI plays a significant role in enhancing consumer experiences and developing novel solutions in the e-commerce sector.
Incorporating AI into marketing and sales, according to 79% of respondents, has enhanced company revenue (McKinsey)
According to McKinsey’s research on the status of artificial intelligence, 79% of respondents said that incorporating AI into marketing and sales had enhanced corporate revenue. The gain in income differs, but AI-based marketing strategies enable businesses to produce at least 20% more revenue.
See also our latest AI business statistics.
In 2020, Amazon has effectively eliminated 200 million bogus reviews with the assistance of artificial intelligence (Enrico Frahn)
It is essential to filter out bogus reviews, which can be possible with the help of AI. Several companies, like Amazon, use AI to combat paid or bogus reviews.
By addressing cart abandonment concerns with the QUIN audience engine, Decathlon was able to raise sales by 15% in just 15 days (QUIN Engine)
With the QUIN audience engine effectively addressing cart abandonment, Decathlon witnessed an impressive 15% surge in sales within just 15 days. This quick turnaround underscores the impactful role of targeted strategies in enhancing e-commerce performance.
51% of businesses depend on AI mainly for threat detection, while 75% rely on it for data protection (Statista)
Eighty percent of respondents from the telecom sector claimed that their firm would be unable to respond to threats without artificial intelligence.
|Share of Organizations
Embracing the era of digital convenience, consumer behavior in online shopping is undergoing a significant transformation.
Before making a purchase, 81% of customers conduct research online about the goods (Invoca)
Research is essential to the success of online retail businesses since around 81% of consumers check up on information online regarding a product before making a purchase decision, according to a study conducted by Invoca.
Voice search has been adopted by 44% of customers to add goods to their purchasing lists, compared to 55% who use it for product research (Perficient)
Have you noticed how more people are interacting with their devices with voice search? It’s really changing up the game in how we shop online. Perficient did a survey and found that 55% of people use voice search to learn more about goods, and 44% have used it to add things to their shopping lists.
As e-commerce evolves, the integration of Artificial Intelligence (AI) emerges as a transformative force for brands, bringing in a new era of online retail experiences through the incorporation of virtual reality and chatbots.
Artificial intelligence and virtual reality have been included into e-commerce sites by 78% of brands, either now or in the future (Oracle)
For their online storefronts, over 78% of brands are either fully considering or hopping on virtual reality and artificial intelligence. Furthermore, according to sales and marketing experts, 80% of businesses either use chatbots now or have plans to employ them in the future for their customer experience strategies. It appears that technology is dominating the e-commerce market!
In 2023, 60% of industry leaders adopted generative AI for in-store product recommendations, with 39% evaluating its implementation (Statista)
By the year 2023, roughly six out of ten decision-makers in worldwide industries had already adopted generative artificial intelligence for the purpose of creating product suggestions that were used by store associates in physical stores.
Share of Respondents
Evaluating its adoption
Conversational digital shopping assistants
Constructing virtual models
Curate personalized product bundles
When brands provide personalised experiences, 80% of customers are more likely to purchase from them (Epsilon)
According to a 2022 Epsilon survey, brands that offer personalised experiences have the potential to catch the attention of 80% of customers, increasing the chance of sales. Generative AI improves personalization by analysing a user’s past behaviour, choices, and engagements to make personalised product recommendations.
In 2023, global survey findings revealed mixed comfort levels with AI personalization in online shopping; 43% of Baby Boomers opposed it, while only 15% of French Gen Z shoppers shared the same sentiment (Statista)
While the possibilities for artificial intelligence (AI) to elevate personalization in the online shopping experience are vast, a 2023 global survey across twelve countries highlighted that not all consumers are at ease with this form of AI utilization. Specifically, 43% of Baby Boomers expressed reluctance towards AI personalization in their customer journey, whereas only 15% of French Gen Z shoppers shared a similar sentiment.
In early 2023, consumer adoption of AI in payments was low, with only 10% considering its use in two years due to awareness and security concerns, as noted in a 14-country survey (Statista)
In early 2023, consumer adoption of artificial intelligence in payments was limited, as revealed by a survey across 14 countries in North America, Europe, and Latin America. About 10% of respondents indicated a potential interest in using AI in the next two years, citing concerns about security and a lack of awareness as primary reasons for hesitation.
Merely 34% of customers are aware that they are interacting with AI directly (Pegasystems Inc.)
In a study by Pegasystems Inc., it was revealed that a mere 34% of consumers are aware that they are directly encountering artificial intelligence, although an overwhelming 84% acknowledged using one or more AI-powered devices or services when surveyed about their technology usage.
Some consumers use computer smarts to help them find things they like, while others make it easy for them to do it themselves. It’s like a balancing act.
61% of customers prefer self-service for simple issues, yet 65% expect an immediate response when reaching out to a company (Salesforce)
A notable 61% of customers express a preference for self-service options when dealing with simple issues, emphasizing the growing demand for streamlined and efficient solutions. Intriguingly, in a seemingly contradictory trend, a significant 65% of customers simultaneously expect prompt responses when initiating contact with a company. This customer expectation highlights the intricate balance that businesses need to strike between offering seamless self-service experiences and ensuring timely, human responsiveness to meet the diverse needs and preferences of their customer base.
69% of consumers are amenable to having AI enhance their product search experience (Salesforce)
Tailored experiences not only increase consumer loyalty but also improve the reputation of your brand. Predictive intelligence directs users to products that align with their choices, obviating the necessity of sifting through an overwhelming number of search results by substituting traditional search methods with conversational AI, which continues to be favoured by customers. Fortunately, 69% of customers are open to using AI to improve their overall experience.
Organizations that implemented AI in their procurement procedures experienced a 15% decline in procurement expenses and a 35% decrease in revenue lost as a result of stockouts (McKinsey)
Generative AI can be used in procurement to exactly figure out the best amounts of products to buy and when to reorder them. According to a report that was published in 2023 by McKinsey, companies that used AI in their purchasing processes experienced a significant 15% reduction in procurement expenditures as well as an amazing 35% reduction in lost revenues as a result of stockouts.
Using AI-driven forecasting in supply chain management can cut errors by 20-50%, resulting in a substantial 65% decrease in lost sales and product unavailability (McKinsey)
AI models outperform conventional spreadsheet-based analytics, particularly in supply chain management. Employing AI-driven forecasting can cut errors by 20-50%, leading to a remarkable 65% reduction in lost sales and product unavailability. This positive impact extends to a drop in warehousing costs by 5-10% and a substantial decrease in administration costs ranging from 25 to 40%.
According to 68% of customers, improvements in AI make it more crucial for businesses to be trusted (Salesforce)
Amidst concerns about the ethical implications of AI, there exists a strategic window for companies to harness the technology in inventive, trust-building ways. A substantial 68% of customers believe that AI advancements heighten the significance of companies being perceived as trustworthy.
Over the course of the last several years, artificial intelligence technology has evolved and developed into a strong tool that can increase sales and improve operations. Also, many smaller e-commerce companies are adopting technology with some kind of artificial intelligence (AI) potential.
E-commerce sales reached about $5 billion by the start of 2021, and by 2024, they will increase to approximately $6 billion annually (Statista)
E-commerce sales reached approximately $5 billion by the beginning of 2021, and analysts predict that by the beginning of 2024, that number will have increased to over $6 billion annually.
This surge in online retail can be attributed to the growing digitalization of businesses and the increasing comfort of consumers with online transactions.
By the year 2035, it has the potential to increase profitability rates in the wholesale and retail sectors by 59% (Accenture)
According to a survey by Boston Consulting Group, retailers who have adopted personalization approaches have witnessed sales improvements of 6-10%, which is a pace two to three times quicker than other retailers (BCG). According to Accenture’s research, this may potentially result in a 59% increase in the profitability rates of the wholesale and retail sectors by the year 2035.
By 2026, the market for eCommerce recommendation engines will be worth $15.13 billion (Mordor Intelligence)
Mordor Intelligence emphasized the market’s rising value. The market for eCommerce recommendation engines is anticipated to grow to $15.13 billion in revenue by 2026, based on the company’s analysis.
Surveyed CEOs anticipate a substantial impact from AI-driven customer bases, with 49% predicting significance by 2030 and 22% foreseeing a notable influence in their industries by 2025 (Statista)
Artificial intelligence (AI) may also mimic human customers by making purchases, among other tasks. In this regard, CEOs from global corporations predict that machine customers will continue to be a significant trend in the future. Their surveyed expect AI-driven customer bases to have a significant impact; of these, 49% believe it will become significant by 2030, and 22% believe it would have a significant impact on their businesses as early as 2025.
By 2025, advanced AI chatbots will handle 95% of customer conversations, reducing the need for human intervention to just 5% (Gartner, Inc.)
Gartner, Inc. forecasts that in the coming decade, AI-driven proactive chatbots will enhance the customer experience by anticipating customer needs and establishing emotional connections. As per Gartner’s projections, advanced chatbots are expected to handle 95% of customer interactions, significantly reducing human involvement to just 5%.
AI will contribute 26.1% to China’s GDP by 2030, surpassing the global rankings, with North America at 14.5% and the United Arab Emirates at 13.5% (Statista)
In the coming decade, Artificial Intelligence (AI) is poised to play a substantial role in the GDPs of major economies. According to data from Statista, China is projected to lead with a remarkable 26.1% contribution to its GDP by 2030. Following closely, North America is anticipated to have a 14.5% contribution, while the United Arab Emirates is expected to reach 13.5%.
By 2025, retailers are estimated to spend $12 billion per year on AI products (Juniper Research)
AI made its mark on e-commerce in the mid-2010s, initially through recommendation engines and chatbots. Over time, its influence has grown, now overseeing various facets of e-commerce, including inventory management and customer service. A 2023 study by Juniper Research suggests that retailers are projected to invest $12 billion annually in AI tools by 2025, underscoring the increasing significance of this technology in the sector.
The manner in which business is conducted is changing as a result of the use of AI in the e-commerce sector. Not only does it make buying simpler, but it also lowers expenses and boosts the organization’s top and bottom lines.