Grocery shopping is an essential part of daily life for many people. To make the experience more efficient and convenient for shoppers, supermarkets are turning to artificial intelligence (AI) to create personalized catalogues.
So, what does that even mean?
An AI-generated catalogue is a digital shopping list created using machine learning algorithms that analyze a shopper’s past purchases, as well as other data points such as their location, the time of day, and the current weather. This makes it tailor made to a shopper’s specific needs and preferences.
Vegans will get the latest and best promotions on plant-based burgers without beeing impacted by any meat products. Fitness fanatics will have entire pages of bulking products. All set and personalized to their own personality and life needs. A supermarket for each one of us.
And how do the shoppers have access to it? Usually via app, website (specially with an integrated ecommerce) a personalized newsletter or even a physical flyer/leaflet delivered in the confort of their home.
So, what are the benefits?
It’s very convenient
For shoppers, the most obvious benefit is increased convenience. By presenting shoppers with a personalized list of products, they can save time and effort by only having to purchase the items they need, rather than having to browse the entire store or create their own list.
AI-generated catalogues can also improve the efficiency of the shopping experience for supermarkets. By analyzing shopper data in real-time, supermarkets can better understand customer needs and preferences, and use this information to optimize their product offerings and inventory management. This can lead to increased sales and revenue for the supermarket, as well as a more efficient and cost-effective operation.
By recommending products that are likely to be of interest to the shopper, supermarkets can increase customer satisfaction and loyalty, and potentially attract new customers through word-of-mouth recommendations.
And what are the challenges?
One concern is the accuracy of the recommendations. If the catalogue is not tailored accurately to a shopper’s needs and preferences, it may not be useful or relevant, leading to frustration and a negative shopping experience. To address this issue, it’s important for supermarkets to ensure that their machine learning algorithms are accurately trained on relevant data, to regularly test and update the algorithms to ensure their accuracy and make sure of the quality of the date that they are using and collecting.
Another challenge is the potential for privacy concerns. Shoppers may be wary of sharing their personal data with supermarkets, now more than ever with current legislation like GDPR, and may be concerned about how this data is being used and stored. To address these concerns, it’s important for supermarkets to have clear and transparent policies around data collection and usage, and to ensure that they are complying with relevant privacy regulations.
Overall, AI-generated catalogues have the potential to transform the shopping experience for both shoppers and supermarkets. By providing a more convenient and personalized shopping experience, AI-generated catalogues can improve efficiency and increase customer satisfaction and loyalty.