AI in Retail and Consumer Experience

Episode Transcript

Speaker 1 (00:00):
Okay, So are you ready to like dive deep into
how AI is like taking over retail?

Speaker 2 (00:06):
I'm ready.

Speaker 1 (00:07):
Okay, it's not even sci fi fantasy anymore. No, Like
AI is actually like low key shaping how we shop
right now, and we're going to go deep today on
how this tech is changing everything.

Speaker 2 (00:19):
Yeah. Like all those recommendations you see online, that's AI.

Speaker 1 (00:23):
So like those you might also like things like those
aren't just random Nope, Oh really, it's AI like crunching
tons of data about you.

Speaker 2 (00:31):
So like every time I'm like on a page, looking
at something for too long, or like leave something in
my cart.

Speaker 1 (00:37):
Yep, they're keeping track. AI is like watching ah pretty much.

Speaker 2 (00:41):
So it is like my personal shopper who never sleeps.

Speaker 1 (00:44):
Yeah, exactly.

Speaker 2 (00:45):
That's both cool and kind of scary.

Speaker 1 (00:48):
It is, But I mean does.

Speaker 2 (00:50):
It even really work? Oh? Yeah, Like are the recommendations
helpful or is it just more like noise?

Speaker 1 (00:56):
Well think about it this way, Okay. Imagine going into
a bookstore with millions of books, okay and no one
to help you.

Speaker 2 (01:03):
That's how I feel right now.

Speaker 1 (01:04):
It'd be overwhelming, cit definitely.

Speaker 2 (01:07):
So these AI recommendations, Yeah, they're kind of like that
filter oh okay, helping you get through all that.

Speaker 1 (01:12):
Stuff so I don't have to look at everything and you.

Speaker 2 (01:15):
Might find something you didn't even know you wanted. And
for stores, yeah, it's awesome. Really they sell more stuff
and people come back for more.

Speaker 1 (01:23):
So it's a win win for sure. But what about
all that data they're collecting on me? Right, Like, is
it worth like giving up my privacy for convenience?

Speaker 2 (01:32):
Well, luckily more people are thinking about data privacy these days. Okay, good,
And there are rules like GDPR Yeah that give you
more control over your data.

Speaker 1 (01:41):
Okay, that's good.

Speaker 2 (01:41):
And stores are realizing they got to be more open
about what they're doing.

Speaker 1 (01:45):
So it's like they need to be more transparent.

Speaker 2 (01:47):
Yes, exactly.

Speaker 1 (01:47):
So we want the personalized stuff, but we want our
privacy to and we have to trust these companies with.

Speaker 2 (01:53):
Our data definitely.

Speaker 1 (01:55):
Okay. Well, another place AI is popping up is in
customer service. And I'm sure you've talked to those chatbots
on websites and sometimes like they don't get what I'm saying,
Uh huh? Are those things really the future of customer service?

Speaker 2 (02:08):
Well, think of them like the first line of defense.
They can answer like the basic questions and give you
quick info yeah, or even walk you through simple problems.

Speaker 1 (02:17):
Okay.

Speaker 2 (02:18):
And the best part, they're available like twenty four to seven.
Oh that's nice, So no more waiting on hold forever,
thank goodness. But when it's something complicated, yeah, you'll probably
still need to talk to a person.

Speaker 1 (02:30):
So they will be replacing people entirely, right.

Speaker 2 (02:33):
Okay, it's more about changing what those people do.

Speaker 1 (02:37):
So like the AI does the simple stuff and people
can handle the more complex things exactly, So AI and
humans working together.

Speaker 2 (02:45):
Like a team.

Speaker 1 (02:46):
I like it.

Speaker 2 (02:47):
But AI is doing a lot more behind the scenes too,
Like what like how stores manage all their stuff and
get it to you?

Speaker 1 (02:53):
Okay, yeah, I've always wondered how they keep the right
stuff on the shelves.

Speaker 2 (02:58):
Yeah, it's actually super complicated. It's like, well, AI is
like the conductor of that magic, okay, making sure everything
runs smoothly.

Speaker 1 (03:05):
So instead of guessing, stores are using AI to predict
what people want and get it to them.

Speaker 2 (03:12):
Yeah, that's why they're using all kinds of data like
past sales and even the weather the weather uh huh
to predict what people will buy.

Speaker 1 (03:20):
So that means less waste exactly, And I'm less likely
to see that dreaded out of stock message. Right, so
everyone wins, Yeah, less waste and hopefully lower prices potentially. Okay,
But it doesn't stop there, right Nope. What about those
physical stores?

Speaker 2 (03:36):
Those are changing too, So AI is even coming.

Speaker 1 (03:38):
For brick and mortar stores, you got it? Are there
gonna be like robots roam in the aisles?

Speaker 2 (03:42):
Not quite robots, but something just as cool.

Speaker 1 (03:46):
Okay, I'm intrigued.

Speaker 2 (03:47):
It's called computer vision.

Speaker 1 (03:48):
Computer vision, it's like.

Speaker 2 (03:50):
Giving the store eyes nice yeah, cameras and sensors all
over the place. They can track how people move through
the store, what they look at, and how long they
stay in certain areas.

Speaker 1 (04:01):
So it's watching me shop, well.

Speaker 2 (04:03):
Not you specifically, okay. It's using that info to see
like overall patterns.

Speaker 1 (04:07):
Okay, that makes me feel better.

Speaker 2 (04:09):
It helps them figure out how to make the store better.

Speaker 1 (04:11):
For everyone, So the store is learning from me kind of.
That's kind of trippy, it is. But AI in stores
can also be about convenience, right right, Like those self
checkout things. I have a complicated relationship with those.

Speaker 2 (04:25):
Uh huh, I get it.

Speaker 1 (04:26):
Sometimes they work great, other times it's a disaster.

Speaker 2 (04:29):
Well, AI is making them even smarter.

Speaker 1 (04:31):
Oh good.

Speaker 2 (04:32):
They can recognize the products better and handle different ways
to pay, and even guide you through the process so
I don't look like a fool exactly.

Speaker 1 (04:41):
So it's about choices, right, Yeah, Like I can use
the self checkout if I'm in a hurry.

Speaker 2 (04:45):
Or if you want to avoid people, exactly.

Speaker 1 (04:47):
Or I can go to a cash here if I
need help.

Speaker 2 (04:49):
You got it.

Speaker 1 (04:50):
It's like choosing your own adventure. Okay. But this personalization
stuff goes beyond the store, right.

Speaker 2 (04:56):
You're thinking omni channel.

Speaker 1 (04:57):
Omni channel is that like a fancy word for online shopping.

Speaker 2 (05:01):
It's more than that. Oh, it's like connecting all the
dots okay, your online stuff. Yeah, you're in store purchases
and even when you talk to customer service.

Speaker 1 (05:11):
So it's like one big shopping experience.

Speaker 2 (05:13):
Yeah, all connected.

Speaker 1 (05:14):
Give me an example.

Speaker 2 (05:15):
Okay, say you're looking at shoes online. Yeah, and then
your phone buzzes. Oh, and it's a notification that those
shoes are on sale okay at a store near you.

Speaker 1 (05:25):
Wow, that's pretty cool.

Speaker 2 (05:27):
It's like the store knows what you want and where
I am exactly.

Speaker 1 (05:30):
That's wild. That's ai My mind is blown.

Speaker 2 (05:33):
We've only just begun.

Speaker 1 (05:35):
I can't wait to hear more.

Speaker 2 (05:36):
We'll pick it up in part two.

Speaker 1 (05:37):
This AI stuff is really changing the game, it is,
and we're just getting started.

Speaker 2 (05:41):
That's right, So welcome back.

Speaker 1 (05:43):
I'm still thinking about all the ways AI is changing shopping.

Speaker 2 (05:46):
Yeah, it's wild, right, but there's more right, Oh yeah,
way more?

Speaker 1 (05:50):
Okay, hit me with it.

Speaker 2 (05:51):
Have you heard of dynamic pricing?

Speaker 1 (05:54):
Yeah? Is it like when prices change all the time.

Speaker 2 (05:56):
Yeah, like airline tickets or concert ticket.

Speaker 1 (05:58):
Yeah, it's like they're messing with me.

Speaker 2 (06:00):
Well, AI is often behind that, really. Yeah. It lets
stores change prices constantly based on all sorts of things
like what like how much stuff they have left? Okay,
what the competitors are doing, so.

Speaker 1 (06:11):
They're watching each other yep, and even like how many
people want something at a certain time exactly. So it's
not just supply and demand anymore.

Speaker 2 (06:19):
It's like AI is playing this game with prices.

Speaker 1 (06:23):
Trying to figure out how to make the most money.

Speaker 2 (06:24):
That's a good way to put it.

Speaker 1 (06:26):
So for shoppers, it means.

Speaker 2 (06:28):
You might get a good deal if you're lucky, if
I'm lucky, or if you're a loyal customer.

Speaker 1 (06:32):
So it's like a gamble kind of. But could AI
like charge some people more than others. That's a worry
for sure, Yeah, doesn't seem fair.

Speaker 2 (06:41):
The key is transparency.

Speaker 1 (06:43):
Okay.

Speaker 2 (06:43):
If stores are using AI for pricing, yeah, they should tell.

Speaker 1 (06:47):
Us so we know what's going on. We've talked a
lot about the customer. Yeah, but what about the people
who work in these stores?

Speaker 2 (06:54):
Oh? AI's changing things for them too, how So like
scheduling employees, Oh yeah.

Speaker 1 (06:59):
That's always a nightmare, right, too many people one day,
not enough the next.

Speaker 2 (07:03):
Well, AI can help with that really. Yeah. It can
look at sales trends and stuff, and even local events.

Speaker 1 (07:09):
Local events uh huh.

Speaker 2 (07:10):
Like is there a big game that day? Okay, and
predict how many employees they'll need, so.

Speaker 1 (07:15):
No more calling people in at the last minute.

Speaker 2 (07:18):
Exactly, Like AI is the manager kind of. It can
even help with training what really? Yeah, it can give
feedback to employees and see where they need help.

Speaker 1 (07:28):
So AI is taking over a lot of the manager's job.

Speaker 2 (07:31):
It's freeing up those managers to focus on other things
like what like working with employees and talking to customers.

Speaker 1 (07:39):
So the human stuff exactly. I'm sensing a theme here.
What's that AI is good at the stuff that involves
a lot of data, and that frees up humans to
do what we're good at.

Speaker 2 (07:51):
Yeah, like being creative and connecting with people.

Speaker 1 (07:53):
This is happening in other industries too, right, definitely? Yeah. Okay,
back to retail. Okay, we've talked about how AI is
making things more efficient, but can it make shopping more fun?

Speaker 2 (08:05):
I think so?

Speaker 1 (08:06):
Okay, I like fun.

Speaker 2 (08:07):
Remember that feeling when you find something awesome you didn't
know you needed.

Speaker 1 (08:10):
Oh yeah, like that perfect pair of shoes.

Speaker 2 (08:12):
AI can help you find more of those moments. It
can be like a digital concierge. Concierge guiding you to
things you'll love.

Speaker 1 (08:19):
It's like having a personal shopper in my phone. Yeah.

Speaker 2 (08:22):
Imagine an app that knows what you like okay, and
considers your mood. My mood and even the weather.

Speaker 1 (08:28):
So if it's raining, it'll recommend a good book. Maybe
I love it.

Speaker 2 (08:31):
It's like AI is your lifestyle guru.

Speaker 1 (08:34):
It knows me so well that's the goal. But are
any stores actually doing this? Oh?

Speaker 2 (08:39):
Yeah, for sure. Like Sphor is a good example.

Speaker 1 (08:42):
Sephora, the makeup store.

Speaker 2 (08:44):
Yep, they have this app that uses augmented reality. Oh wow,
so you can try on different makeup lits.

Speaker 1 (08:50):
Without actually putting it on. Yeah, that's pretty cool.

Speaker 2 (08:52):
It's fun and it helps you find the right products.

Speaker 1 (08:55):
What about other stores.

Speaker 2 (08:56):
Nike is doing some cool stuff too.

Speaker 1 (08:58):
Okay.

Speaker 2 (08:58):
They're using AI to make their stores really interactive.

Speaker 1 (09:02):
Okay, are there robots selling shoes?

Speaker 2 (09:05):
Not robots, but they have these displays ok that react
to your touch.

Speaker 1 (09:09):
Oh wow.

Speaker 2 (09:10):
And they have this thing called Nike Fit. Nike Fit
it scans your feet to find the perfect shoe size.

Speaker 1 (09:16):
That's awesome. No more guessing, right, Okay. What about Starbucks.

Speaker 2 (09:20):
They're using AI for their loyalty program.

Speaker 1 (09:22):
I love Starbars.

Speaker 2 (09:23):
Well, their AI knows what you like. That's a little scary,
and it sends you special offers.

Speaker 1 (09:28):
Oh okay, that's nice.

Speaker 2 (09:29):
And it can even predict what you'll order.

Speaker 1 (09:31):
So they'll have my latte ready when I walk in exactly.
That's both impressive and creepy.

Speaker 2 (09:37):
It's like they know you better than you know yourself.

Speaker 1 (09:41):
Maybe they do.

Speaker 2 (09:41):
It's all about making you feel like a special customer.

Speaker 1 (09:45):
I'm starting to see the appeal of AI.

Speaker 2 (09:47):
It's not all bad.

Speaker 1 (09:48):
It can be really helpful and fun, but We have
to be careful.

Speaker 2 (09:52):
Right, Absolutely, we need to make sure AI is used responsibly.

Speaker 1 (09:56):
It's a powerful tool.

Speaker 2 (09:57):
And like any tool, it can be used in the
wrong way, so.

Speaker 1 (09:59):
We need to be smart about it. Yes, this has
been an incredible journey, I know, right, We've learned so
much about AI and retail.

Speaker 2 (10:06):
And we're just getting started.

Speaker 1 (10:08):
What's next?

Speaker 2 (10:09):
In part three, we'll look into the future, the future
of AI and shopping. Buckle up, it's gonna be wild, definitely.

Speaker 1 (10:17):
So we're back and my brain is still buzzing from
everything we've talked about.

Speaker 2 (10:21):
You know right, AI is already changing so much.

Speaker 1 (10:24):
Well, we're not done yet.

Speaker 2 (10:25):
Nope, We're going to the future, the.

Speaker 1 (10:26):
Future of shopping.

Speaker 2 (10:27):
Yeah, what's it going to be like?

Speaker 1 (10:28):
Okay, I'm ready, give me the inside scoop.

Speaker 2 (10:31):
Imagine this, Your fridge orders groceries for you. My fridge
it knows when you're running low on stuff.

Speaker 1 (10:39):
So I never run out of milk again, exactly. And
what about clothes.

Speaker 2 (10:43):
Your smart mirror could suggest outfits my mirror based on
the weather and what you're doing.

Speaker 1 (10:49):
That day, So no more staring at my closet for
an hour exactly.

Speaker 2 (10:53):
AI takes care of the boring stuff. I love it
and think about this. Okay, you walk into a store, yeah,
and hologram greets you.

Speaker 1 (11:02):
Whoa hold on a hologram.

Speaker 2 (11:03):
Yeah, like a virtual assistant, and it knows like my style.
It knows everything you've ever bought. Wow, and even how
you're feeling that day.

Speaker 1 (11:10):
So we'll be like, hey, you've seen stress today, here's
some comfy clothes.

Speaker 2 (11:13):
Maybe it could even offer you a cup of tea.

Speaker 1 (11:16):
That's amazing.

Speaker 2 (11:17):
This is all possible with AI.

Speaker 1 (11:18):
So the store of the future is like a personalized
experience exactly.

Speaker 2 (11:22):
It's all about you.

Speaker 1 (11:23):
So online shopping and in store shopping are merging.

Speaker 2 (11:27):
Exactly. You could be browsing online and then use AR
to see how that couch would look in your living room.

Speaker 1 (11:33):
Oh yeah, we talked about AR before.

Speaker 2 (11:34):
It's going to be everywhere.

Speaker 1 (11:36):
But what about jobs, right?

Speaker 2 (11:38):
People are worried about that.

Speaker 1 (11:39):
Will robots take over all the jobs?

Speaker 2 (11:41):
I don't think so oh okay, good, Hey, I will
definitely change some jobs, but it's more likely to work
with people, so like a team. Exactly. AI can do
the repetitive stuff and.

Speaker 1 (11:52):
People can do the things that need creativity, right or empathy,
So there will still be a need for people in retail.
Oh yeah, that's good to be here.

Speaker 2 (12:01):
But we need to be aware of the potential downsides too.
Oh yeah, like what, well, AI can be biased biased
if the data it learns from is biased. Oh okay,
I see, then the AI might make biased decisions.

Speaker 1 (12:13):
That's not good.

Speaker 2 (12:14):
We have to be careful about that.

Speaker 1 (12:15):
And what about privacy, right.

Speaker 2 (12:16):
All that data AI collects, Yeah, we need rules to
protect our privacy so.

Speaker 1 (12:21):
Companies can't just do whatever they want with my data exactly.

Speaker 2 (12:24):
Transparency is key.

Speaker 1 (12:25):
We need to know what's happening.

Speaker 2 (12:26):
And have control over our own data.

Speaker 1 (12:28):
Well, this has been a whirlwind, it has. AI in
retail is a big.

Speaker 2 (12:32):
Topic and it's constantly evolving.

Speaker 1 (12:34):
But it's exciting to think about the possibilities it is.

Speaker 2 (12:37):
We're just scratching the surface.

Speaker 1 (12:39):
I can't wait to see what the future holds me too.
Thanks for joining us on this deep dive into AI
in retail.

Speaker 2 (12:45):
It's been a pleasure.

Speaker 1 (12:46):
Until next time, keep exploring