Shopify Inc and Google Cloud have announced an integration that allows retailers using Commerce Components such as Shopify’s enterprise retail solution to leverage Google-quality search capabilities and artificial intelligence (AI) innovations.

New research from a Google Cloud-commissioned Harris Poll survey found that when a shopper searches for a product on a retailer’s website or mobile app but doesn’t find what they are looking for and leaves the site, known as search abandonment, it costs the retail industry over US$2 trillion annually globally. This new integration with Google Cloud and Shopify aims to solve the search abandonment problem with AI innovations. [1]

Figure 1. Shopify and Google Cloud AI improves e-commerce capabilities

Shopify and Google Cloud AI improves e-commerce capabilities is shown in figure 1. Shopify and Google Cloud's new integration equips enterprise brands with artificial intelligence (AI)-driven product discovery capabilities that address real-world business challenges, including:

• Google Cloud Retail Search, which provides advanced query understanding that can produce better results from even broad queries, including non-product and semantic searches, to effectively match product attributes with website content for fast, relevant product discovery.
• An AI-powered browse feature that uses machine learning to select the optimal ordering of products on a retailer's ecommerce site once shoppers choose a category, like "women's jackets" or "kitchenware." Over time, the AI learns the preferred product ordering for each page on an ecommerce site using historical data, optimizing how and what products are shown for accuracy, relevance, and likelihood of making a sale.
• An AI-driven personalization capability that customizes the results customers get when they search and browse retailers' websites. The AI underpinning the personalization capability uses a customer's behavior on an ecommerce site, such as their clicks, cart, purchases, and other information, to determine shopper taste and preferences.
• A Google Cloud Recommendations AI solution that helps retailers deliver personalized recommendations at scale. Recent upgrades to Recommendations AI can make a retailer's ecommerce properties even more personalized, dynamic and helpful for individual customers.
• Advanced security and privacy practices that help ensure retailer data is isolated with strong access controls and is only used to deliver relevant search results on their own properties.[2]

Shopify’s integration with Google Cloud AI to help merchants address search abandonment and poor product discovery experiences has the potential of propelling the adoption of AI technology in the Shopify world. It creates awareness about new revenue growth opportunities which will drive more demand for AI-driven applications and agency integration services. [3]

References:

1. https://www.itworldcanada.com/article/shopify-and-google-cloud-ai-integration-offers-advanced-ecommerce-capabilities-to-retailers/534224
2. https://www.prnewswire.com/news-releases/new-shopify-and-google-cloud-ai-integration-brings-advanced-ecommerce-capabilities-to-retailers-and-merchants-worldwide-301779249.html
3. https://ecommercefastlane.com/search-abandonment-the-impact-of-shopify-partnership-with-google-cloud-ai/

Cite this article:

Gokula Nandhini K (2023), The combination of Shopify and Google Cloud AI improves e-commerce capabilities, Anatechmaz, pp.97