Fashion retailers are investigating the use of AI for shoppers
Hello ChatGPT. Will robots become popular in British fashion stores?” The AI tool, which has garnered a lot of attention in recent months, responds with a roughly 300-word answer that, in short, is yes, probably.
The machine learning model created by OpenAI outlines a number of ways robots could be used in the industry. Examples include assisting with inventory management by autonomously scanning and tracking products on store shelves, rearranging mannequins, and suggesting outfits or accessories.
While the response notes that “there’s no such thing as predicting the future with certainty,” new research from fintech firm Klarna suggests AI services in-store could well be welcomed by shoppers.
Despite much debate about the potential impact of AI on jobs and privacy, Klarna, the buy-now-pay-later company, found that about a third of shoppers would be open to the idea of a robot approaching them in-store, to take measurements and recommend styles. Another 35% would consider it, depending on how the robot looks and if it’s polite.
Good news for retailers: the survey of just over 1,000 UK consumers found that 52% will still choose to shop in physical stores over online in 2041, but many want augmented reality to improve the experience. Emily Thomas, Consumer Lead at Klarna, says: “It’s clear that fashionistas are seriously open to the benefits that technology like AI can bring.”
A global survey by Euromonitor International last year found that over 60% of apparel professionals plan to invest in AI in the next five years, a higher proportion than other retail sectors.
Marks & Spencer strives for an AI that offers buyers the most relevant content that could lead to more sales. Last year, it secured Thread’s intellectual property under a pre-pack management deal, including the source code and algorithms developed by the AI-driven styling service.
The move will improve personalization for online shoppers and provide tailored product recommendations and style ideas. At the time of the acquisition, Kate Bickerstaffe, Co-Managing Director of M&S said: “We have been working hard to offer better, more stylish ranges and this algorithm will also present more of our great product to the customer.”
Hugo Boss is already using some AI, such as automating transfers between stores, to match inventory levels with forecasted demand. A spokesman for the suit seller says: “AI offers great potential for future innovations.”
Meanwhile, jewelry brand Pandora, known for its charm bracelets and with multiple stores in London, says AI is being used more online than in its stores. Francesca Contardo, E-Commerce Director at Pandora UK & Ireland says: “Basically, we use predictive intelligence to recognize customer behavior and automate the small interactions that make the user experience more relevant and personalized. This includes showing customers relevant Pandora products at the right time.” She adds that the brand wants to develop an AI chatbot – similar to ChatGPT – and integrate it into its website to improve the customer experience. “One can certainly expect more investment from Pandora in this area as AI systems become more accurate, efficient and adaptable,” says Contardo.
A number of fashion retailers are exploring AI options
/ Getty Images/iStockphotoJac Windsor, Head of Retail at PwC UK, says Gen Z (generally those born between 1997 and 2012) prefer to go to physical stores than any previous generation (about 62% versus 52% on average). But Windsor thinks AI should also be used in their visits, “from interactive fitting rooms that can recommend other options based on what you’ve tried on, or the ability to ask for a different size via the fitting room mirror.” .”
Windsor comments, “Brands need to leverage options that fit their audience.”
As for the chatbot, it says the adoption of robots in fashion stores is likely to depend on technological advances, cost-effectiveness, and consumer acceptance. There will be many retailers who are not yet ready or may not be interested in adopting AI, but exploring the idea appears to be a trend that is gaining momentum.
https://www.standard.co.uk/business/ai-uk-fashion-retail-robots-b1086114.html Fashion retailers are investigating the use of AI for shoppers
