Do You Know that AI Technology can Save Businesses Millions of Dollars?

Ever since Walmart acquired Flipkart for a whopping $20 billion, everyone has been rushing to develop their e-commerce platform. The good news is that global e-commerce sales are expected to reach $6 trillion by 2022.

Artificial Intelligence (AI) is leaving its mark in all sectors. According to a recent survey, AI in e-commerce is booming so much that its revenues are expected to reach $ 36.8 billion worldwide by 2025.

Artificial intelligence is a skill developed by humans for a computer program or machine that enables them to think and learn. They work by themselves, without being coded with commands. It was then that in 1955 John McCarthy officially coined the term "artificial intelligence".

This technology has a big impact on our lives. From culture to food processing, from how we communicate to how we travel and do business - AI contributes to our daily lives.

Global companies have found their refuge in AI. Since Google's acquisition of AI specialist DeepMind, many other big IT companies like Microsoft and Facebook have been following the trend and showing interest in exploring or acquiring startups in IT. AI continuing this trend saves these companies millions of dollars and hours of productive time. A report from Ubisend shows that 40% of e-commerce visitors use AI chatbots to find deals and discounts on the site. The same report also mentions that one in five customers are willing to buy through a chatbot. So let’s explore how these companies save money through the aid of AI.

How AI Can Save Businesses Millions of Dollars

1. AI can reduce work

In many fields, men and machines would be complementary rather than competitive. The future of work will therefore mainly be made up of men augmented by machines, and not replaced by them. Robin Bordoli, CEO of Figure Eight says that “humans and machines are different. Artificial intelligence has great mathematical power, it can process immense amounts of data.”

Humans are great at understanding context. In front of an audience, we instantly know that people are seated one behind the other. A computer only sees pixels and has no notion of depth of field. However, machines make up for a speedier process, and one such process is image background removal and editing.

A great case study example… If you run an eCommerce website, images are what sells your products and tools like Removal.AI can improve your sales rates by making your product stand out as it removes the unnecessary and sometimes distracting background automatically. You can also save from cutting the cost for the labor work of photo editors.

• This AI photo editing tool can process thousands of images per hour, 100% much more efficiently than manual editing as human editors can only edit 100+ images per day.
• And if you are processing 1 million images per month, you can only spend around $30,000 at 0.03 per image using AI,
• however, if you hire photo editors it may cost you around $500,000 at 0.5 per image.
• You can save almost upto 94% of production cost.

2. AI reduces labor cost

Our professional environment, home and even our leisure activities, lead us to interact more and more frequently with artificial intelligence systems: to ask for directions, to calculate a distance, to find an object to buy. These new tools quickly became extremely familiar to us thanks to their simple and intuitive interfaces. We quickly get used to their presence and use, sometimes to the point of not being able to do without them.

These new tools act on our behalf. They make it possible to perform actions that were previously the responsibility of individuals: thus, personal digital assistants perform tasks previously performed by secretaries, e-commerce algorithms replace sales advisers, or recognition software. Facial recognition replaces the security agents responsible for identity checks. AI Chatbots becoming friendly customer support agents and representatives.

• A great case study example… Using the Intercom Live Chat App,
• 1 in 3 buyers used the chat system before making a purchase.
• 9 out of 10 “big buyers” used the chat system before making a purchase.
• Estimated 60% of revenue comes from chatbots.

Average response time was three minutes in their first 30 days of using Intercom.

The adoption of these new technologies produces a displacement of tasks, some of them coming to be automated for a multitude of reasons: better efficiency than human labor, reduction of the cost of operations, better availability of the service, reduction of the related risks. to human work, taking control of the decision by the end user.

These tools also make it possible to develop new activities: the rise of self-service vehicles, for example, results from the development of computer applications making it possible to manage the entire rental process without resorting to a natural person.

3. AI increases revenue

Artificial intelligence is a strategic imperative for any business that wants to be more efficient, generate new revenue and retain customers. It is increasingly representing a competitive advantage for many organizations. With AI, businesses can complete more tasks in less time, create personalized and engaging customer experiences, and predict their business outcomes to drive greater profitability.

But AI remains a new and complex technology. To get the most out of it, you need expertise in designing and managing your large-scale artificial intelligence solutions. To be successful with an AI project, it is not enough to recruit a data scientist. Businesses need to implement the right management tools, processes and strategies to ensure success.

4. AI reduces training cost

Large volumes of data are used for training. Artificial intelligence has to assimilate a lot of data in order to make reliable predictions. The emergence of different data categorization tools, as well as the ease with which organizations can store and process structured and unstructured data, affordably, allows more organizations to build and learn algorithms for AI.

The main areas of training that could benefit from AI is the personalization of learning methods. A system can analyze how a trainee processes information and then offer personalized assistance based on their learning needs.

Intelligent teaching systems are another form of AI-based bots, which are able to interact with the trainees to analyze their abilities and provide them with appropriate training programs.

The other big area that benefits from automation is the tedious scoring of documents and jobs. Currently, this task limits the time spent teaching, while if it is automated, the trainer can devote more time to practical exercises.

What Will the Future be With AI?

Since the benefits of artificial intelligence by the greatest representatives of the exact sciences like mathematics, physics, computer science, etc., and the human sciences such as sociology, psychology, etc. We see that two major categories of artificial intelligence have been defined since Alan Turing's precursor writings.

Artificial Narrow Intelligence

This is the most pragmatic approach to artificial intelligence, which would be built by humans gradually to meet one or more specific objectives. The system is able to reproduce an action or respond to a problem according to its programming, without ever being able to go beyond the perimeter of its design.

The idea is to make the machine more and more efficient and therefore intelligent in a particular area. They can enrich their knowledge base independently, but always in the same way and with the same purpose.

Take the example of voice recognition software: the more you use, the more it gets better and better recognizes the words you say. Indeed, artificial intelligence allows him to sort of gain "experience" and improve himself, but that is confined to a single area: speech recognition.

Gradually, these machines have become more and more complex; who can explain how Google's algorithms work today, or why this or that person or celebrity is suggested to us on Twitter or Facebook?

These artificial intelligences will however always remain limited by their initial function, and the capacities of each of the systems composing them planned accordingly.

Artificial General Intelligence

More difficult to understand and explain, it is also the AI family involving the most debate among philosophers, sociologists, and other ethnologists.

Strong artificial intelligence differs from its little sister by its ability to go beyond its initial function, to learn new fields of knowledge on its own, to reason and solve new problems, to use experience to evolve, etc. In short, to rise to the level of human intelligence.

We are not yet technologically advanced to create this type of artificial intelligence, but science fiction has been imagining it for years. Take the famous HAL 9000 computer from the 2001 movie: Stanley Kubrick's Space Odyssey, for example. Originally programmed to help space travelers in their exploration mission, HAL develops reasoning about its raison d'être and it's real mission, and comes to want to get rid of the crew on which it initially had aim to ensure. Before being disconnected, the latter ended up being afraid, proof that he knew how to evolve enough to feel a human emotion. It is sort of the culmination of the AGI.

It is this form of artificial intelligence that unleashes passions in the highest spheres of science: the day this technology matures, the place of man will be called into question in all fields.

Conclusion

...fears and hopes with AI

John McCarthy, one of the founding fathers of the discipline and creator of the very term artificial intelligence in 1956, said, among other things, that "as soon as something works, nobody refers to it as artificial intelligence." This is a good illustration of the current state of affairs: the majority of the public has little knowledge of the advancement of scientific research on the matter, and artificial intelligence maintains its image in films and certain bizarre projects. Yet behind their screen, or in their pocket, are already hiding artificial intelligences that would make the greatest experts of the late twentieth century pale.

However, at different levels, Artificial Intelligence helps improve the activity of e-commerce companies. Indeed, Artificial Intelligence provides companies with particularly relevant and interesting information both in their management and in the service offered to customers. By applying Artificial Intelligence in the various e-commerce services, companies seek to offer a tailor-made service and to establish a personalized relationship with each customer.