During the last 12 months AI has changed the game for eCommerce businesses. It’s no longer a “nice-to-have” feature in your martech stack. It’s essential for competitive edge.
Why?
Because AI helps you grow smarter and faster. It automates repetitive tasks, personalises shopping experiences, and drives more sales. From recommending products to predicting demand, AI transforms how online stores operate.
This article is a quick overview to help you understand AI in eCommerce. You’ll discover practical use cases, the key benefits of artificial intelligence, and strategies to personalise your customer journeys.

Types of AI in eCommerce
AI is not a one-size-fits-all solution. Different types of AI are used to address various challenges and opportunities in eCommerce. Here’s a closer look at the key types of AI transforming the industry:
Machine learning (ML)
Machine learning helps AI analyse data, spot patterns, and improve over time without extra programming.
How it’s used in eCommerce:
- Customer insights: Tracks behaviour to predict trends and preferences.
- Dynamic pricing: Adjusts prices in real-time based on demand and competitors.
- Product recommendations: Suggest items based on purchase history and browsing habits.
Natural language processing (NLP)
NLP allows AI to understand and respond to human language, making interactions with machines more intuitive.
How it’s used in eCommerce:
- Chatbots & assistants: Provide 24/7 support and handle customer queries.
- Voice search: Let customers find products using voice commands.
- Sentiment analysis: Monitor reviews to measure customer satisfaction and spot issues.
Computer vision
Computer vision enables AI to analyse and understand visual content like images and videos.
How it’s used in eCommerce:
- Visual search: Shoppers upload images to find similar items with tools like Pinterest Lens or Google Lens.
- Inventory management: AI-powered cameras track stock levels and locate misplaced products in warehouses.
- Product recommendations: Suggest visually similar items to enhance customer discovery.
Generative AI
GenAI creates new content, including text, images, and videos, by learning from existing data.
How it’s used in eCommerce:
- Product descriptions: Quickly generate SEO-friendly product listings to save time and boost visibility.
- Marketing content: Create email campaign subject lines and body copy, social media posts, and ad copy tailored to your audience.
- Virtual try-ons: Provide customers with AI-generated visuals to preview how clothing or accessories look on them.
Predictive analytics
Predictive analytics uses AI to analyse historical data and forecast future outcomes.
How it’s used in eCommerce:
- Predict the likelihood of a second purchase: Find likely repeat customers and adjust your marketing to increase sales.
- Churn prediction: Identify customers at risk of leaving and implement retention strategies.
- Personalised offers: Send discounts or promotions to customers who are more likely to convert.
Robotic process automation (RPA)
RPA automates repetitive tasks, such as order processing and data entry, improving efficiency and accuracy.
How it’s used in eCommerce:
● Order fulfilment: Automate tasks like generating shipping labels and updating order statuses.
● Returns processing: Simplify refund workflows with automated approval systems.
● Customer segmentation: Sort customers into segments for targeted marketing campaigns.

Benefits of artificial intelligence in eCommerce
Why invest in AI? It’s reshaping how eCommerce businesses operate and connect with their customers, opening the door to opportunities you can’t afford to miss.
Better customer experiences
AI personalises every touchpoint in the customer experience, from product recommendations to targeted ads. When shoppers feel understood, they’re more likely to return.
A recent study found that 56% of consumers would become repeat buyers after a personalised online shopping experience. This shows how AI-driven personalisation can build trust and loyalty.

Improved efficiency
AI takes over time-consuming tasks like inventory tracking, order processing, and customer support. It works faster and with fewer errors than manual methods.
For example, chatbots can handle routine customer queries 24/7, freeing up your team to focus on bigger priorities.
Data-driven insights
AI processes huge amounts of data in seconds, uncovering trends and patterns you might miss. It helps predict customer demand, optimise inventory, and adjust pricing in real-time.
For example, AI can identify seasonal buying habits or spot opportunities for dynamic pricing. These insights enable you to make smarter, faster decisions that drive growth and improve your bottom line.

AI use cases in eCommerce
AI is a practical tool that can solve real challenges in your eCommerce business. Here are some practical ways you can use it to improve your store and make your work easier.
Personalised product recommendations
AI is reshaping how customers discover products. By analysing browsing behaviour, past purchases, and preferences, AI algorithms suggest items shoppers are most likely to buy — making their experience seamless and tailored.
According to a study by Statista, 70% of eCommerce decision-makers in North America and Europe see personalisation as the top area where AI will help businesses grow.

These recommendations show up across multiple touchpoints, from product pages and checkout screens to email campaigns.
Smarter search experiences
AI-powered search tools make finding products easier, even when customers don’t know what they’re called. With Natural Language Processing (NLP), AI understands conversational queries like “red trainers under £50” and delivers precise results.
Visual search takes it a step further. Customers can upload an image of a product they love, and tools like Pinterest Lens can find similar options online.
These innovations create smoother shopping experiences and keep customers coming back.
Dynamic pricing
AI makes pricing smarter and more strategic. It adjusts prices in real-time, analysing factors like demand, competitor pricing, and inventory levels. This means your prices are always competitive while still protecting your profit margins.
Dynamic pricing eliminates the guesswork in pricing decisions. With AI handling the numbers, you can focus on scaling your business.
Chatbots and virtual assistants
AI chatbots are changing how businesses handle customer service. They offer 24/7 support, respond instantly, and free up your team to focus on complex queries.
Chatbots can do more than just answer FAQs. They guide shoppers and make product recommendations. A 2023 PwC study found that 44% of consumers are interested in using chatbots to find product information before buying.
Advanced AI chatbots feel more natural, offering human-like conversations that improve the shopping experience. They’re a simple way to handle more enquiries while keeping things running smoothly.
Inventory management
Inventory mistakes can cost you sales or your reputation. AI takes the guesswork out of managing stock by using data to predict trends and optimise supply chains.
AI tools forecast sales trends and seasonal changes, so you’re never overstocked or understocked. In warehouses, AI-powered robots speed up tasks like sorting and packing orders. This saves time and cuts costs while keeping operations smooth.
Automated content creation
Creating content can be time-consuming, but AI can help you scale. From product descriptions to email campaigns, AI tools generate high-quality, SEO-friendly content in seconds.
AI can take your product data and write detailed product descriptions that resonate with your audience. It can also craft email campaigns, ad copy, and headlines designed to convert.
This frees up your team to focus on bigger-picture strategies while keeping your content high-quality and consistent.

Personalisation tactics using AI
Consumers vote with their wallets, and personalisation wins every time. Shoppers prefer brands that offer tailored recommendations. With AI, creating these personalised experiences is easier than ever. Here’s how you can make it happen.
Tailored email campaigns
Personalised emails are one of the best ways to connect with your customers. Spotler’s Predictive Analytics tools make it simple. They segment your audience based on behaviour, preferences, and even predicted actions.
For example, the Predicted Lifetime Value Model helps you focus on your most valuable customers. You can send exclusive offers, recommendations, or gentle reminders that feel personal.
These aren’t generic emails. They’re targeted, relevant, and designed to get results. With AI doing the heavy lifting, you can create campaigns that make a real impact.
Predictive upselling
Predictive upselling uses AI to suggest additional products that align with what a customer is already purchasing.
For example, if someone is buying a smartphone, the system might recommend a protective case or wireless earbuds.
By analysing browsing behaviour, purchase history, and real-time actions, AI identifies complementary products that enhance the customer’s main purchase.
These tailored suggestions can increase average order value and create a more personalised shopping experience.
It’s a powerful way to meet customer needs and boost revenue.
Dynamic website content
Dynamic website content makes shopping more personal. It adapts banners, product recommendations, and navigation based on each visitor’s browsing history.
Incorporating personalised elements like dynamic headlines, customized calls-to-action, and tailored product recommendations can substantially improve website performance.
According to McKinsey & Company, brands that excel at personalisation generate 40% more revenue from these activities.
With Spotler, you can take personalisation further. Spotler Activate can identify your customers and allow you to personalise content including your website.
Building on past customer interactions ensures visitors see consistent, relevant messaging wherever they engage with your brand.
The result? Visitors see content that matters to them. Engagement goes up. Conversions follow. Dynamic content can turn your website into a personalisation hub that aligns perfectly with your multichannel strategy.
Personalised loyalty programs
AI can enhance loyalty programs by tailoring rewards to individual customers. Instead of generic points or discounts, it offers incentives based on a customer’s unique preferences and shopping habits.
For example, frequent buyers of eco-friendly products could receive rewards that align with their values, like discounts on sustainable items or exclusive offers on new green product lines.
Personalising loyalty perks keeps customers engaged and encourages long-term relationships.

How to start using AI in eCommerce
AI can transform your eCommerce business. It helps you personalise experiences, save time, and boost sales. And getting started is easier than you think.
Focus on one area where AI can make an immediate difference, like personalising email campaigns or optimising product recommendations.
From there, you can scale as you see results.
Spotler’s AI tools make it simple to predict customer behaviour and create tailored marketing that drives results. Ready to see how it works? Book a demo today and see how AI can take your eCommerce store to the next level.
Frequently asked questions
How is AI used in eCommerce?
AI helps businesses improve their online sales. It powers personalised product recommendations, chatbots for customer support, dynamic pricing, and tools for managing inventory or predicting demand. These features make shopping easier for customers and operations smoother for businesses.
What is an example of AI in eCommerce?
AI-powered product recommendations are a great example. When customers browse a store, AI analyses their preferences, purchase history, and even trends from similar shoppers. Based on this data, it suggests products they’re most likely to buy – like accessories to complement a recent purchase or trending items they might like.
What’s the biggest benefit of AI in eCommerce?
AI brings two major benefits: efficiency and personalisation. It automates tasks like managing stock or adjusting prices, which frees up time for your team to focus on growth. At the same time, it delivers tailored experiences that customers love, like personalised offers or shopping suggestions. These advantages lead to happier customers and increased sales.
Can small businesses use AI?
AI isn’t just for big brands with massive budgets. Many tools are designed for small businesses, offering affordable ways to streamline operations and personalise marketing. Whether it’s automating email campaigns or predicting customer behaviour, small businesses can use AI to compete with larger players and grow their revenue.