Today everyone is talking about Artificial Intelligence as the hottest technological development in the past few years and how it is changing many industries to their core. However, according to a survey between 100 retail executives by Worldwide Business Research, 52% of executives said that they would not use many futuristic technologies like AI, Chatbots, and AR as a part of their immediate growth strategy. Wondering why? Let’s find out.
As amazing as these technologies are, they have their own limitations, especially when it comes to their implementation at the ground level, such as:
1.Budget limitation: 64% of retailers do not have the budget to support these technologies. Even if they have the budget for it, AI and related technologies are low on their priority list.
2. Lack of internal resources: 55% of retailers lack internal resources to implement AI in their business framework.
3. Lack of executive buy-in: 42% of executive committees don’t see the immediate value in investing in these technologies.
“Consumers want the ability to seamlessly browse for and buy products at their convenience, so it’s no surprise that mobile payments and on-demand services are at the top of retailers’ technology wishlist. As consumers continue to demand more information and flexibility from their mobile shopping experience, technologies like voice recognition and augmented reality will become must-haves for engagement.”
– Andrew Greissman, Research Director for WBR Insights
If not these technologies, then which technologies are retailers focussing on, you might wonder.
If we go by the WBR survey, Retailers see a far greater value in investing in areas such as mobile payments (60%), AI and chatbots (48%) and on-demand same-day services (47%).
On the other hand, AR (27%), voice recognition technology (25%), and progressive web apps (22%) are among the other top technologies in which retailers are willing to invest in the next couple of months.
Even though AI, chatbots and AR/VR technology is currently used by a limited number of retailers (5%), WBR’s research suggests that the use of such newer technologies will play an increasingly more important role as merchants aim to connect more closely with their customers using mobile. WBR says that almost 76% of retailers are already contemplating whether to roll out this technology or implement it within the next two years. We can’t wait to see how AI unfolds and impacts retailers and their customers in the near future.