Mastercard has unveiled its latest innovation in the world of shopping – “Shopping Muse,” a generative AI shopping tool designed to provide personalized product recommendations. The tool, powered by Dynamic Yield, aims to revolutionize the way customers search for and discover products in the digital catalogues of retailers.
Key Takeaway
Mastercard has introduced “Shopping Muse,” an AI-powered shopping assistant that uses generative AI technology to provide users with personalized product recommendations. With the ability to understand colloquial language and recognize modern trends, Shopping Muse aims to revolutionize the way customers discover and shop for products online. This tool reflects the growing trend of using generative AI to enhance the shopping experience, with other tech giants like Google and Microsoft also introducing similar tools. As technology continues to advance, AI-powered shopping assistants will likely become commonplace in the retail industry.
How Does Shopping Muse Work?
Shopping Muse utilizes advanced generative AI technology to understand and interpret colloquial language and turn it into tailored product recommendations. It is capable of recognizing modern trends and phrases such as “cottagecore” or “beach formal.” Users can ask the tool questions like, “What should I wear for a summer wedding?” or “Can you recommend pieces for a minimalist capsule wardrobe?”
In order to provide personalized recommendations, Shopping Muse takes into account various factors, including the context of the user’s shopping experience, the specific questions asked, and the contents of the conversation. The tool’s algorithms analyze data from the retailer’s product catalog, along with the user’s on-site behavior, such as product clicks and items added to their cart. It also considers real-time and known preferences demonstrated by the consumer.
If a user is logged in, Shopping Muse may also take into consideration their past purchase and browsing history with the retailer, including any purchases made in-store that were linked to their account using their phone number or email address, for example.
More Than Just Fashion
While fashion is the initial focus for Shopping Muse, Mastercard envisions expanding the technology into other categories, such as furniture and groceries.
Ori Bauer, the CEO of Dynamic Yield by Mastercard, emphasized the importance of personalization and AI-driven innovation in creating immersive and tailored online shopping experiences. “By harnessing the power of generative AI in Shopping Muse, we’re meeting consumers’ expectations and making shopping smarter and more seamless than ever,” Bauer said.
The Future of AI in Shopping
Mastercard highlights the need for retailers to adapt to changing consumer demands by embracing technology. Currently, more than one in four retailers use generative AI solutions, with an additional 13% planning to adopt them within the next year.
Shopping Muse joins the growing list of generative AI shopping tools launched over the past year. For example, Google now provides AI-generated gift recommendations on its search platform, while Microsoft’s Bing generates buying guides for queries like “college supplies.” As predicted by Gartner, the use of generative AI technology in customer service and support organizations is expected to reach 80% by 2025.
