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Mar 28, 2023 | 4 minute read

How ChatGPT Is Taking eCommerce To The Next Level

written by Kelsey Zapana

ChatGPT, introduced to us last November, is one of the most trending topics we hear about today. 

With its ability to communicate in a unique conversational tone, this powerful resource revolutionizes the way eCommerce businesses operate from their marketing to their customer service. 

What is ChatGPT?

ChatGPT is a chatbot that is empowered by generative artificial intelligence and machine learning to communicate with users via virtual assistant using natural language processing. This latest endeavor was brought to us by OpenAI, an artificial intelligence research lab focused on developing AI for the benefit of humanity. 

Because it’s made accessible to the public, people have used it for writing essays, computer code, legal briefs, and even engaging in philosophical conversation. 

For those in eCommerce who are looking to incorporate technology in their business strategy, look no further. As users start to get more familiar with this technology, they’ve come to realize that ChatGPT’s capabilities go beyond helping writing essays and answering questions; it's a tool that can help businesses operate that's easy enough to use without a background in technology. 

So, how can anyone get their hands on ChatGPT? Here’s how it works:

First things first, set up an OpenAI account with an email through their website. Once you’ve read and accepted the terms you can start communicating with the language model through the OpenAI website or mobile app– it's that simple. 

That being said, how can ChatGPT be useful in eCommerce? Here’s three ways you can leverage ChatGPT to boost your business.

1. Content Creation

ChatGPT is the ultimate blog tool. When given a prompt, it uses its learning algorithm to generate text from its large volumes of stored data, or, record of past conversations that is continuously developing thanks to its machine learning system.

Retailers can use this valuable resource when looking to create high quality copy for emails, social media, blogs, and even demos. 

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2. Customer Service and Order Management

One of the best features of ChatGPT is its ability to personalize each interaction.

This helps retailers enhance their customer engagement by addressing questions and inquiries in real-time with human-like text. ChatGPT can tailor its responses based on the customer’s order history and preferences, leading to an increase in sales and customer satisfaction. 

Furthermore, with its ability to learn from its past interactions, ChatGPT can also be used for order management. If a customer needs to modify, track, or cancel their order, ChatGPT streamlines these processes making it easier for the customer and the retailer.

However, its inventory management capabilities are enabled by a second step. To optimize order management, ChatGPT can be integrated with additional data sources through an API. These may include ERP systems, CRM platforms, inventory management software, or any other relevant business applications. 

An example of this type of integration is DHL’s innovative approach to better their customer service. DHL, an American logistics company, developed a chatbot powered by ChatGPT that handles their customer support and can provide quick updates on shipment status, package tracking, and delivery times. 

With ChatGPT supporting order management, businesses can ensure that their customers’ needs are met and their orders are being fulfilled in a timely manner.

3. Product Management

Another possible use case is product merchandising. With ChatGPT and an integrated data source, online retailers can shorten the time it takes to upload their product catalogs by having the language model write detailed descriptions on each product taking brand tone and search engine optimization into consideration. From there, it's able to connect customers with products that work for them. 

For example, a customer could ask, “I need a new refrigerator from XYZ brand. Do you have any in stock?”

ChatGPT uses its algorithm to process the customer’s inquiry and sort through the store's catalog. It then puts together a list of XYZ brand refrigerators available, with product descriptions and prices in a matter of seconds.

A real-world example of this is reported by The Wall Street Journal; Instacart is looking to add ChatGPT to their mobile grocery app in hopes of a better UX. With this integration, Instacart’s newly synced search engine can answer users’ food-related inquiries, with customized answers such as recipe ideas, ingredients, or healthy meal recommendations.  

The machine learning aspect of this technology allows it to continuously improve over time making product management quicker and more accurate every time ChatGPT is leveraged. 

What does this mean for businesses? 

The sky's the limit. AI-based, machine learning technologies, like ChatGPT, present endless opportunities for businesses to evolve and foster innovation. Companies should consider how integrating ChatGPT into their processes can affect the experience they deliver to their customers. 

From marketing to customer service the benefits of this new technology are vast and the possibility of AI changing the way we conduct business becomes more of a reality each day. 

Are you ready to take your business to the next level?