In a new survey of 1,500 US shoppers, enterprise commerce platform SCAYLE found that 71% of participants reported feeling “uncomfortable” with certain AI-driven tools used by retailers. Facial recognition was top of mind in these responses, with 32% of shoppers reporting that it made them feel “uneasy.” Following close behind were AI-created product images and models (30%) and AI-powered customer service chatbots (30%). The key, SCAYLE found, is to effectively walk the fine line between a tailored, personal experience and one that feels intrusive.
Beyond this, product quality was of utmost importance to customers, and in fact 53% of shoppers said it was more important than all other factors. Price competitiveness (38%) and effective customer service (31%) were also key loyalty drivers, with 49% wanting regular discounts and 36% wanting free shipping or additional incentives. Overlooking these factors also proved to be primary forces for driving customers away. For shoppers who abandoned their carts, 52% reported leaving when faced with increased prices and 76% cited that their preferred payment method wasn’t available.
In a tumultuous economic landscape, customers are looking for confidence and retailers who will meet them where they are. “Shoppers don’t see channels–they see convenience,” the report stated.
“Many retailers are betting big on emerging tech like AI to improve customer experience, so it’s interesting to hear that customers don’t feel this is currently paying off,” said Daniel Fertig, SCAYLE Director of Partnerships. “Brands need to continue investing in AI to get ahead–but it’s clear customers want to see it used for product discovery and improving customer service, rather than AI-generated images or chatbots. The biggest takeaway is that–even during uncertain times–there are some immediate pain relievers for brands, like implementing AI solutions customers actually want, introducing incentive-driven loyalty programs, and prioritizing product quality.”
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