- Walgreen’s, Ralph Lauren and Kroger’s are a few of the retailers that have implemented AI in their locations to improve shopper experience and better understand how shoppers interact with merchandise.
The retail industry is estimated to have invested $3.4 billion in artificial intelligence in 2018, outpacing all other industries, according to International Data Corporation (IDC).
Retailers are investing in AI to accurately anticipate customer behavior at scale and determine whether technology will produce shopper loyalty. Amazon Go started this movement as they used tracking to register what shoppers pick up or put back on the shelf. Similarly, retailers are testing facial recognition to better understand how shoppers interact with merchandise, technology and displays.
Below are examples of how some retailers are using AI technology
Advertising With Smart Displays on Cooler Doors
Walgreens is testing a network of “smart” displays that embeds cameras, sensors and digital screens in its cooler doors, all to help marketers tailor ads for different types of shoppers
The cooler doors work like billboards, displaying ads targeted for approaching consumers based on estimated age, gender and the weather, among other variables. A teenage boy, for example, could see different ads than his mother. Using face-detection software, the technology can distinguish which items a shopper looks at and handles, helping advertisers determine if their promotions work.
Smart Mirrors in Fitting Rooms
At Ralph Lauren’s flagship store in Manhattan, smart mirrors recognize the items shoppers enter the fitting room with and show them on the screen, then share other available sizes and colors as well as complementary items. In addition, shoppers may order another size or item and have it delivered to the fitting room by a worker, to minimize the back and forth between shopping area and fitting room.
Digitized Shelves
Kroger’s is testing a system where a shopper can enter their shopping list on a Kroger-enabled app beforehand. When the shopper approaches one of the items in the store, a pre-selected personalized icon flashes. By visually flagging items on shoppers’ lists at the shelf, shoppers can find what they need, take advantage of a personal offer and breeze through the store faster.
Article By: Fatimah Aminu
Fatimah is an experienced editor at various financial and consumer publishing houses. She obtained a master’s degree in Publishing from NYU, where she earned a bachelor of fine arts degree. She is currently earning a second masters degree at CUNY online in Psychology. Fatimah covers healthcare, cannabis and technology.