The holiday shopping season is in full swing, and artificial intelligence (AI) is playing an increasingly important role in enhancing the online shopping experience. From personalized gift recommendations to improved security measures, AI is transforming digital commerce in several key ways. One of the most significant ways AI is impacting online shopping is through personalized product recommendations.
AI-powered tools can analyze individual preferences and tailor the shopping experience accordingly. For example, a personal AI assistant can engage with consumers through natural language conversation, responding to specific inquiries to suggest the right products. “We’re continuing to push the boundaries of what conversational commerce can achieve, delivering more relevant recommendations per each individual’s unique needs,” says Dynamic Yield CEO Ori Bauer.
AI is also making the overall shopping experience more responsive. Retail sites can use AI to prominently feature customer reviews or alert shoppers about shipping deadlines.
Ai enhances holiday shopping
Some brands are using powerful personalization engines to tailor email campaign content based on a user’s most recent interactions with the brand. In addition to personalization, AI is improving security in online shopping. Mastercard’s latest solutions use generative AI techniques to scan 1 trillion data points to predict the authenticity of transactions faster and more accurately.
This reduces fraud while minimizing false positives that can frustrate shoppers. Unnecessary friction or, even worse, having your card compromised by fraudsters are the last things holiday shoppers want to worry about,” says Johan Gerber, Mastercard’s executive vice president for Security Solutions. The ask from consumers is simple: They want their card to work without friction or fear of fraud.
That is our focus: trust and peace of mind.”
As AI continues to advance, it is likely to play an even greater role in shaping the future of online shopping. From personalized experiences to enhanced security, AI is making digital commerce more convenient, responsive, and trustworthy for consumers this holiday season and beyond.
