The global artificial intelligent (AI) in retail market size is estimated to reach USD 23,426.3 million by 2026, exhibiting a CAGR of 33.7% during the forecast period. The ongoing shift by retailers from traditional retail experience to AI-driven business solutions is one of the crucial factors enabling the growth of the AI in retail market. According to an article published by Forbes, 83% believe AI is a strategic priority for their businesses today and 84% of respondents say AI will enable them to obtain or sustain a competitive advantage. The growing awareness about the advantages of AI in retail operations such as quality improvement, paced up decision making, strong operational agility and enhanced customer experience will boost the AI in retail market growth in the forthcoming years. In addition, excepitional benefits of AI-powered data analytics will further spur demand for AI in retail market in the foreseeable future.
According to the report, published by Fortune Business Insights™ in a report, titled “Artificial Intelligence (AI) in Retail Market Size, Share & Industry Analysis, By Offering (Solutions, Services), By Function (Operations-Focused, Customer-Facing), By Technology (Computer Vision, Machine Learning, Natural Language Processing, and Others), and Regional Forecast, 2019-2026” the AI in retail market size was valued at USD 2,306.8 million in 2018. The report is aimed at delivering a comprehensive view of the AI in retail market dynamics, structure by identifying and providing information regarding the key market segments. It also focuses on an all-encompassing analysis of leading market players by financial position, product, product portfolio, price, growth strategies, and regional presence. It offers porter’s analysis and SWOT analysis to record the question of shareholders and highlights the investment potential in the upcoming future. It also showcases different procedures and strategies of companies currently operating in the market. It further examines the components convincing market expansion, growth patterns, restricting factors and market strategies.
Disposition to AI-powered Chat Bots by Retailers will Encourage Market Expansion
The growing inclination of retail brands for the deployment of AI-powered chatbots for customer engagement will augment healthy growth of the market in the forthcoming years. Retail brands are able to handle several queries simultaneously with the help of chatbots, without the need to employ a large workforce. The positive impact of artificial intelligence on customer relations and sales will spur demand for AI in retail. Furthermore, close-ended chatbots are configured to answer shopping-related questions, provide quick support and suggestions besides offering a better resolution to their problem. Customers are more likely to engage with AI-powered chatbots, which, in turns enhances customer loyalty. These factors combined will accelerate the AI in retail market share in the foreseeable future.
Emergence of Virtual Trial Rooms to Bolster Healthy Growth
The increasing popularity of virtual trial rooms and ongoing development across retail supply chains will aid the AI in retail market trend during the forecast period. For instance, virtual trial rooms enable buyers to try different dresses without actually having to wear them with the help of digital mirrors. Further, AI allows shoppers to experiment with their outfit by means of a touch-based interface. In addition, the launch of virtual rooms by major companies to create growth opportunities for the market. For instance, Fitiquette, a fashion Web site uses a ground-breaking technology that allows customers to try on outfits in a virtual 3D world based on the user’s exact body dimensions. The trial room gives a 360-degree view of the fit and drape of a garment on the actual body dimensions of the consumer.
Introduction of AI Integrated Products and Solutions to Foster Growth in Asia Pacific
North America was valued at USD 1,102.0 million and is expected to remain dominant during the forecast period. The rising deployment of AI-based solutions by retailers to improve the supply chain operations and product portfolio will contribute positively to the AI in retail market revenue. Asia Pacific is expected to grow rapidly during the forecast period owing to the launch of various AI integrated products and solutions. For instance, China is expected to be a world-leading AI center by 2030.
Some of the Major Companies in the Global Artificial Intelligence (AI) in Retail Market include:
· Amazon Web Services, Inc.
· Baidu, Inc.
· CognitiveScale, Inc.
· Google LLC
· IBM Corporation
· Microsoft Corporation
· Next IT Corporation
· Nvidia Corporation
· Oracle Corporation
· RetailNext, Inc.
· SAP SE
· Salesforce.com, Inc.