Flipkart is gearing up to make effective use of Artificial Intelligence technology developed by Microsoft for the upcoming big sale events. According to the Economic Times, the homegrown retailer is currently working with Redmon-based Microsoft to develop and deploy solutions based on Artificial Intelligence (AI) and Machine Learning (ML) technologies.
The main purpose of the new approach is to tap new customers and also to simplify the running of future sales. Commenting on the development, Vinay YS, vice-president of engineering at Flipkart disclosed that the company would like to optimize merchandising and placement of various deals and offers using AI and ML.
Elimination of manual tuning
With the implementation of the new technology, the manual tuning of the catalogs can be avoided to a great extent. Moreover, the company is also planning to invest in the voice recognition technology developed by Microsoft. Meanwhile, Flipkart revealed that they are far ahead than its rival Amazon during the recently concluded Big Billion Days.
The Bansal-owned company claimed that they have captured 70 percent of the online shopping segment from September 20 to 24. Interestingly, Amazon declined to disclose the sales figures and the total number of units sold.
We expect the companies to come up with exact figures within the next few days. The data collected by RedSeer Consulting show that the claims made by the company are more or less correct.
We had monitored both Flipkart and Amazon during the upcoming festival season deals. We found that Amazon attracted customers by providing cash back not only for purchases but also for transferring funds to the Amazon Pay balance. Moreover, the products cataloged under the Blockbuster deals provided 10% cashback for all customers. However, we are unable to view any such option on Flipkart.
In terms of shipment, Amazon stayed on top because of quick shipping and prompt delivery with an accurate return policy. They shipped out the items within hours of placement of orders. However, Flipkart is still following the old approach by shipping products after a delay. The algorithmic placement of fulfillment centers by Amazon is key to their success.
The upcoming AI-centric solution will be a big boost for the company since it will help in making smarter decisions. The solution will not only enhance ordering process but also distribution, fulfillment and ordering process. The system will ultimately reduce the cost of products for customers and also boost efficiency.
We expect the new AI platform to start action for the Flipkart Big Shopping Days to be held in December before Christmas. The improved version will be in the table for the Republic Day offers early January 2018.