AI Revolutionizing Business and Consumer Interaction
Artificial Intelligence (AI) is reshaping how consumers discover, choose, and acquire products. To stay relevant in the recommendations of these intelligent agents, businesses must optimize their product catalogs and digital strategies.
Santiago Naranjo, CRO of VTEX, highlights the shift in advertising
Santiago Naranjo, Chief Revenue Officer (CRO) of VTEX, explains that AI will change how businesses advertise because consumers are now asking platforms like ChatGPT and Gemini to suggest products for them to buy.
Importance of a Well-Structured Product Catalog
To remain relevant in AI-driven recommendations, companies need to ensure their product catalogs are well-structured. This way, their products will be among the suggestions provided by these platforms when users inquire.
For example, if I sell jackets, when someone types ‘what’s the coolest jacket to buy?’ in ChatGPT, it should automatically recommend my site.
Santiago Naranjo, CRO of VTEX
Héctor Tinjacá, General Manager North LatAm of VTEX, emphasizes the need for well-designed catalogs so that AI models can recommend products effectively.
“If we’re not relevant to these AI agents through features like the catalog, then these e-commerce sites or apps will never appear in the results or as purchase options within chatGPT,” Tinjacá explains.
The Future: AI Shopping Agents
During the panel “Women Inspiring: Female Leadership in Digital Commerce,” Gloria Canales, Corporate Director of E-commerce and Omnichannel at Grupo Coppel, described AI as a transformative change similar to the arrival of the Internet. She noted that we are only seeing the tip of the iceberg, but AI has immense potential.
Canales elaborated that in the future, AI agents will be capable of purchasing necessary household items like milk. Although technology can currently alert users when a product is running low, it cannot yet place orders.
María Paula Silva, Head of Sales for LatAm at VTEX, agreed and added that while current AI can notify users about price drops, future versions will be able to execute purchases when items reach the ideal price.
Having agents that can execute the entire process and buy for you is something we’ll see soon, and it will change the e-commerce world.
María Paula Silva, Head of Sales for LatAm at VTEX
Need for Improved Data Filtering and Curation
The panelists agreed that more sophisticated data filtering and curation are necessary to ensure accurate AI recommendations and proper execution of instructions.
Key Questions and Answers
- What is the impact of AI on e-commerce? AI is revolutionizing how businesses connect with consumers, making it easier and more cost-effective. It also changes the way users discover and consume new brands.
- Why is a well-structured product catalog important? A well-organized catalog increases the likelihood that AI agents will recommend a company’s products to users.
- What future capabilities do AI agents hold in e-commerce? In the future, AI agents will be able to autonomously purchase necessary items like groceries when they reach a predetermined price.
- What challenges need to be addressed for AI in e-commerce? Improved data filtering and curation are necessary to ensure accurate AI recommendations and proper execution of instructions.
