Your e-commerce store has access to more data than retail businesses have had at any time in the past. But the truth is that the most detailed set of data means nothing on its own. It’s the interpretation and use of that data that makes the difference.
Although machine learning is an emerging technology, many providers are already starting to prepare service offerings to allow you to use machine learning to your benefit. Google AdWords is leading the way with Smart Bidding and enhanced bidding algorithms to boost conversions. Expect to see more providers embrace machine learning to help you manage your business more effectively this year.
Machine learning is a powerful tool that processes data far more efficiently than you or your employees could on your own, but you need to prioritize applications for maximum effectiveness.
Which of these technologies would have the greatest impact on your e-commerce store and fulfillment warehouse?
Personalizing the Customer Experience
oday’s technology is amazing, but it hasn’t reached the point of allowing you to provide virtual 3D salespeople for your customers. Without that personal contact, you lose valuable input from body language and other visual cues.
Machine learning can help you recapture that advantage by using data to create customer segments. This lets you target your approach based on specific factors that drive the buying decision for each segment.
Search Engine Ranking
It’s a basic concept: before your prospects can buy from you, they have to find you. How do you get your name out in front of customers before those of your competitors? Machine learning drills down beyond keywords into the nuts and bolts of searches that end with purchases. Google AdWords clients can use Google’s machine learning to provide ad exposure based on demographics and potential actions to improve visits and conversions.
The downside of e-commerce is that customers can comparison shop from the comfort of their own home. With machine learning, you can set pricing that’s sensitive to a number of vital factors including competitors’ prices, type of customer and even time of day. Check with your shopping cart software to see how they will be implementing machine learning to assist you in being price sensitive.
Fraud Detection and Prevention
E-commerce companies are more vulnerable to fraud than brick-and-mortar stores are, and the negative effects can remain long after the transactions. Manual safeguards are inadequate, but machine learning can rapidly “spot” potential problems.
How do you maintain effective customer support at scale? The answer lies in machine learning technology such as chatbots, which give your customers the freedom of self-service combined with a high level of support.
Accurate Supply and Demand Prediction
Supply and demand forecasting has long been a staple of retail operations, but machine learning can perform this process with a greater degree of precision thanks to its ability to make discoveries and connections that are beyond the scope of humans.
Product recommendations are the best way to generate add-on and repeat sales. But where employees are limited to their own knowledge, machine learning technology can infinitely process and cross-reference buying behavior to discover previously unseen trends.
Elite Fulfillment Warehouse Services for Your E-commerce Business
Medallion Fulfillment & Logistics provides scalable services that grow with your business over time. With advanced technology tools that interface with most major shopping carts, Medallion makes it easy to manage your store at scale.
Is your e-commerce company prepared to handle order-filling and logistics for your growing sales? Contact Medallion Fulfillment & Logistics to learn how our fulfillment warehouse services provide scalable services that accommodate the specific needs of your business.