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E-commerce trends: AI technology

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Today, with the development of technology and the Internet, everyone is learning the word e-commerce. Online shopping, which people are most familiar with, is a kind of e-commerce commonly known as business-to-consumer (B2C). However, online shopping is just one of the business types of e-commerce. E-commerce refers to using electronic means and technologies to conduct commerce (sale, purchase. transfer, or exchange of products, services, and information), including within business, business-to-business, and business-to-consumer interactions (Manzoor,2010). Since e-commerce is a combination of technology and business, its trend is closely related to technology development.

Ten years ago, trends in E-commerce technologies generally focused on developing technologies that reduce costs considerably and provide improvements in capabilities, ease of use, increased availability of software, ease of site development, and improved security and accessibility. (Manzoor, 2010) Now, in the era where everyone has electronic devices, a stable network, and can conduct online transactions anytime and anywhere, what is the trend of e-commerce?

Typically, the trend reflects the market’s demands and expectations, and markets consist of two parties: suppliers and consumers. Therefore, their demands represent the market’s demand. Nowadays, customers value trading experiences; a customized and engaging experience is what they are looking for. Artificial Intelligence (AI)-powered personalization stands out in this situation. So, how AI works in the e-commerce world? The key principles (Raji et al., 2024) underlying AI-powered personalization involve the analysis of vast datasets, including user behavior, preferences, and historical interactions, to generate insights that enable platforms to predict and deliver highly relevant content. As users interact with the platform, the AI algorithms gather data, refine their understanding of individual preferences, and dynamically adjust recommendations.

For suppliers, managing their business effectively, such as optimizing inventory management and maximizing profit, is their primary goal. Research (Raji et al., 2024) shows that AI enables businesses to align their inventory levels with anticipated demand, reducing the risk of overstocking or stockouts by leveraging historical sales data, user behavior patterns, and external factors. AI-driven predictive analytics considers historical sales trends and adapts to changing market dynamics in real-time. This dynamic optimization ensures that e-commerce platforms maintain efficient supply chains, minimize carrying costs, and enhance overall operational efficiency.

Once the suppliers have successfully built their brands, and developed a stable supply chain, the next step is to build customers loyalty to ensure a stable profit. Therefore, investing in AI technology is essential and urgent. AI’s ability to understand consumer behavior, providing a dynamic and responsive shopping experience as user preferences evolve, that fosters customer loyalty (Raji et al., 2024). Specifically, exploring synergies between AI and emerging technologies like Augmented Reality (AR), Virtual Reality (VR), and the Internet of Things (IoT) to create immersive and interactive shopping experiences is the future of e-commerce(Raji, etc, 2024). For example, AR can allow customers to virtually try on clothes or see how furniture would look in their home, while IoT can enable smart, connected devices that can reorder products when they run out.

In conclusion, the evolution of e-commerce is intricately linked with technological advancements, particularly with the integration of AI. As we have seen, AI not only enhances user experiences by providing personalized and engaging interactions but also empowers suppliers to optimize their operations and build stronger customer loyalty. Moving forward, the continued innovation and integration of AI will be pivotal in driving the next wave of e-commerce evolution.


Sinelnikov, D. (2024a, February 20). Council post: The future of e-commerce: Trends to watch in 2024. Forbes. 

Manzoor, A. (2010). E-commerce: An introduction. LAP Lambert Acad. Publ. 

Raji, M. A., Olodo, H. B., Oke, T. T., Addy, W. A., Ofodile, O. C., & Oyewole, A. T. (2024). E-commerce and consumer behavior: A review of AI-powered personalization and market trends. GSC Advanced Research and Reviews, 18(3), 066–077.