From more impactful campaigns and meaningful and faster query resolution to substantial savings in marketing spending, leading businesses are reaping tangible benefits of Generative Artificial Intelligence
New Delhi: About six months ago, menswear brand Blackberrys would generally spend around Rs 30 per lakh per shoot – that would generally stretch for a couple of days- with models wearing their clothes that are uploaded on its e-commerce site. Thanks to generative AI (GenAI), the cost has come down by one-sixth to Rs 5 lakh at present. Similarly, Titan Company Ltd. uses a chatbot that gives technical suggestions on contact lenses to customers, thus receiving positive reviews in terms of customer experience.
From enhancing customer experience, personalization and creativity, GenAI is increasingly becoming a very useful tool for legions of e-commerce companies who are currently striving to save costs in their quests to turn profitable.
E-commerce companies are also implementing GenAI in their campaigns like email marketing where the designs are generated and content is created with the help of GenAI-based tools, multiple brand representatives told IndiaRetailing.
As the world of e-commerce rapidly evolves and these technologies become more mainstream, e-commerce companies are eyeing a transformation in everything from personalized shopping journeys to customer service, setting new benchmarks for engagement and satisfaction. For instance, Myntra uses MyFashionGPT, a personalised assistant to help in query redressal. Shoppers Stop uses GenAI in customer service areas and marketing.
Paritosh Bindra, vice president (VP) of E-commerce at Blackberrys Menswear, highlighted how the brand has begun integrating generative AI to enhance efficiency and customer experience.
“One of the major things generative AI has solved for us in the last six months is drastically reducing the cost and time associated with our photoshoots,” he explained. “What used to cost us around Rs 30 lakh has now come down to around Rs 5 lakh,” Bindra noted, emphasizing the operational efficiency gained.
Like Blackberrys, other brands too have seen their campaign return on investments (ROIs) soar. And they have reported enhanced customer satisfaction and increased demand for more GenAI-based features on their e-commerce websites.
Mumbai-based department store chain Shoppers Stop is using GenAI to take the customer experience to the next level by making interactions feel more human. “We see significant use cases for GenAI in our customer service area and are applying AI across our website and marketing efforts, including copywriting, email marketing, push notifications, and banner titles,” said Sreekanth Chetlur, chief e-commerce officer of Shoppers Stop.
Adding to the interactions part and the use of efficient large language models (LLMs), Bengaluru-based e-commerce platform Myntra’s chief product and technology officer (CPTO) Raghu Krishnananda added, “Helping customer care agents with faster issue resolution, and the automation of creatives for merchandising and notifications is what we prioritize.”
While interactions are a major and most-used application, companies are also trying to make it more detailed and specific, like in the case of Myntra and Titan.
Krishnan Venkateswaran, chief digital officer (CDO), Titan Company spoke about how the company’s in-house chatbot helps by giving technical suggestions.
“Our Eye Plus bot gives reasonably good advice on contact lenses. In addition, our design colleagues are experimenting with various image-creation technologies, yielding fascinating results,” added Venkateswaran.
The Cost Factors
Businesses are also experimenting with conversational platforms across various customer touchpoints and are seeing efficacy in costs as well. More than 60% of enterprises plan to increase spending on these platforms over the next three to four years, with a focus on building end-to-end journeys. Generative AI is at the forefront of these plans, with approximately 95% of surveyed enterprises in India familiar with generative AI and over 80% planning to invest in AI-based solutions within the next one to two years, a report by Bain & Company in partnership with Meta added.
This report also suggests that GenAI is poised to revolutionize consumer engagement models in India. With over 650 million Indians already active on social media and messaging platforms, many of whom prefer conversation-centric interactions, businesses must adapt to a future where conversational journeys are the norm. Those who embrace generative AI to create hyper-personalized, seamless conversations will secure a lasting competitive edge in the marketplace.
