The everyday application of artificial intelligence (AI) technology is becoming increasingly common, with AI agents being a major trend that assists in completing complex tasks and meeting user needs. AI agents can make shopping decisions for consumers and even handle purchases without the need for consumers to compare prices themselves.
An article in the Harvard Business Review recently analyzed how, in the business realm, AI agents could fundamentally change the way customers evaluate and purchase products, impacting the existing roles of retailers and brands. Retailers must adapt to the development of AI agents to maintain product competitiveness.
In the retail industry, understanding customer needs is key to boosting sales. Analysis shows that in the digital age, large-scale e-commerce relies on creating extensive online shopping platforms that integrate resources from various brands. While increasing profits through advertising, they can also observe consumer choice trends and target their advertising more effectively. Throughout, e-commerce platforms can capture customer demand data and maintain direct contact with customers, thereby positioning themselves advantageously in the retail market.
More personalized screening
With the development of AI agents, consumers may increasingly abandon traditional search engines like Google in favor of AI chatbots like ChatGPT to recommend products, potentially becoming the new norm. AI agents can collect vast amounts of data and analyze various factors, such as price, service quality, procurement convenience, and payment security. Compared to brand loyalty, the screening mode of AI agents considers individual consumer needs and suitability, meaning that products better aligned with algorithmic recommendations will gain an advantage in the age of AI agents.
In this new retail world dominated by AI agents, large e-commerce platforms can still satisfy the screening criteria by leveraging their extensive distribution networks, flexible return policies, and high-quality customer service. For small and medium-sized enterprises (SMEs) that might be overlooked, it is crucial to enhance product quality, unleash creativity, and optimize cost-effectiveness to better align with consumer needs and stand out in AI agent selections.
Brands must not stall
Conversely, existing brands cannot afford to stagnate in the era of AI agents. Analysis indicates that if traditional brands rely solely on their established value without advancing in product development, quality control, or innovation, AI agents may view their products as lacking a significant advantage compared to more affordable competitors. Consequently, traditional brands may struggle to profit based solely on past reputations.
On search engines like Google, keywords related to consumer needs have surpassed specific products or brands. E-commerce experts emphasize that for brands to increase sales in the age of AI agents, they must seek to optimize their strategies using AI agents, integrating brand highlights with AI algorithms and consumer demands, and more clearly defining how their products meet consumer needs and their advantages in those areas.
In summary, if brands and retailers can meet the recommendation needs of AI agents with unique products or services, they will naturally stand out in the eyes of consumers. In a world where AI agents guide consumer choices, only those brands that maximize their advantages, mitigate significant disadvantages, and maintain a good reputation can sustain long-term competitiveness.
Strategies for Businesses in Response to AI Agents
- Transform Marketing Strategies
Shift from traditional search engine optimization to AI algorithm optimization, allowing AI to understand product content and present relevant products to consumers.
Pay attention to website design, enabling AI to easily access product information such as pricing, specifications, and stock levels, and update this information in real time to enhance accuracy and product visibility.
- Enhance Core Services
- Strengthen the genuine selling points of products that meet consumer needs, including price advantages, creativity, environmental quality, and user reviews—these advantages can attract AI attention without the need for advertising.
- Introduce AI Conversations
- Launch AI shopping agents, starting with traditional peak shopping seasons like holidays, using in-house AI shopping agents to integrate consumer habits and recommend personalized lists.
- Leverage Membership Systems
- Membership systems help collect data to gain deeper insights into customer needs and shopping habits, enhancing algorithm recommendations and enabling businesses to provide targeted, exclusive offers, thus increasing customer satisfaction.
- Monitor Market Trends
- The competition among AI agents in the market is intense, requiring them to earn consumer trust and collaborate more effectively with shopping platforms and well-known brands. Companies should carefully select agents to seize market opportunities.
(Source: Wen Wei Po; English Editor: Darius)
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