Revolutionizing Retail: Assessing the Potential of Generative AI in Digital CX


Simplr’s latest digital pre-sale CX analysis of leading apparel & fashion brands is now available for download. Check out the full report here to find opportunities for generating revenue through chatbot and live chat capabilities.

Leading retail brands are engaging (and neglecting) customers when it matters most, putting potential revenue at risk. 

Many brands strive to replicate the in-person shopping experience online, hoping to deliver the same level of personal touch that customers value. Retailers often fall short, however, when it comes to things like responsiveness, depth of product knowledge, and the ability to fully satisfy a customer visiting their website with an intent to make a purchase.

Simply put, businesses are leaving money on the table when it matters most, primarily due to an ineffective and outdated chat channel strategy.

So what did we learn from some of today’s biggest retail brands?

Many of the retail brands in this study shared the following distinctive traits in their pre-sale customer service experiences:

  • Yesterday’s chatbots aren’t cutting it: Intent-based chatbots (the prior generation of AI) are deterring customers; brands should be moving toward generative AI technology that can have upsell conversations
  • Live chat responsiveness is falling short of consumer expectations: Brands scored significantly higher when humans intervened within 15 seconds of a chat being initiated—but even then, many interactions could not be completed in full, costing businesses even more time and money
  • Shopping hours ≠ Store Hours: Always-on support is critical. Brands scored higher when chat was available, regardless of the time of day or day of week, and customers were able to get their questions answered to completion

Turning every customer interaction into a revenue-generating opportunity

Customer service leaders are constantly seeking innovative ways to improve customer satisfaction– but not all equate great CX with more revenue. It should come as no surprise then, that generative AI is arguably the most disruptive (in a good way) technological innovation for CX, because complex and empathetic conversations can now be replicated through bots. 

Generative AI chatbots are revolutionizing how retail brands enhance CX while still:

  • Maintaining brand and tone
  • Answering complex questions and engaging in a multi-touch dialogue (without solely relying on an agent)
  • Creating a hyper-personalized experience
  • Responding to customers in any language in real-time

With these breakthrough innovations in AI, in addition to rapidly evolving customer expectations and channel preferences, the opportunity for change is upon us, so that brands can capture all revenue opportunities from site visits. 

We hope these findings help brands recognize potential gaps and find new ways to turn every customer interaction into a revenue-generating opportunity as momentum continues to build with AI in CX.