Customers want and constantly seek personalized experiences. In an already crowded and competitive market, a large number of small and medium-sized companies and startups have to compete for a share of the enterprise dominated market. Generic messaging, unsolicited advertising, and non-relevant recommendations cannot be used to acquire new potential customers. Instead, the market is turning to personalization, and specifically AI technology, to attract and retain customers.
So if you’re looking to incorporate AI capabilities into your product, now is the perfect time. But, you may wonder: how do I get started? If you already have an in-house team of software engineers, you can start planning your AI project right away. Alternatively, you can hire an external software development company specializing in AI solutions to assist with your project. That said, having AI experts to guide you through the entire process is essential to ensure successful implementations.
From executing similar projects at Trustify Technology, our experience might be useful to you, especially as you explore the possibilities offered by AI-powered solutions.
How AI-Powered Solutions Benefit and Transform Your Business
In business, success is about more than just building brand awareness. Instead, it’s about leaving a lasting impression after customers interact with your product or services for the first time.
AI technologies, along with big data and advanced analytics, facilitate this effort. Let’s say your churn rate is high and you don’t know the reason for it. With AI, you can collect engagement data, analyze it, and extract hidden patterns to improve your retention and your product overall.
But that’s just one of the many benefits of the AI-powered solutions we leverage. Below, we’ll show you how your business can improve when you integrate AI into your products.
Enhance customer loyalty
In the new digital economy, you can’t stand out and compete if your brand is similar or sounds the same like other companies providing similar products and services. Instead, you have a product that doesn’t inspire loyalty. And because of this, customers may likely switch to cheaper products whenever the opportunity arises.
Personalization is one of the many ways to turn customers into loyal fans. With artificial intelligence, it can analyze and anticipate customer needs. By combining tailored messaging and communication, together with personalized engagement, you can make a special impression on your customers.
For example, you can implement the same conversational AI technology across multiple platforms to leverage past conversations. Ultimately, customers know that your brand will always be there for them and you will gain lasting trust.
Improve conversion rates
Even if you have the best product in the market, it won’t convert if it doesn’t address a specific and important need. Additionally, sometimes customers may not purchase because the brand message is tailored to a different customer demographic.
Whatever the reason, low conversion rates are frustrating for business leaders, and AI can help fix them. With AI technologies, you can predict what users want and send them personalized offers. By doing so, you reduce the risk of churn, especially when it’s very close to purchase.
Customer retention
Retaining customers is more cost-effective than acquiring new customers. But in order to achieve it, you need to analyze existing customer data to uncover hidden issues, drive repeat sales, and improve the brand. With AI solutions, these efforts become more integrated.
One common application of AI is to integrate AI-powered solutions to marketing ops to help reduce churn. For example, you can analyze customer behavior and sentiments using machine learning and NLP. This will tell you their propensity to switch to competitors or skip the sales renewal. From these insights, you can take appropriate actions by targeting existing customers with personalized sales and marketing campaigns to retain them.
Tasks Automation
AI, especially generative AI along with RPA (Robotic processing automation), can automate routine tasks such as manual data entry, sending emails, and creating social media content and run reports. Traditionally, companies have hired people to perform these roles and spend long hours doing so.
The effort, and resources required to optimize a marketing strategy can heavily exhaust the resources of small and medium-sized businesses. But by using AI for personalization and related activities, you can reduce redundancy in business operations.
For example, AI can assist you automatically extract insights from customers’ data. AI can do it in minutes and with greater accuracy, instead of you having to spend hours or days manually doing so. This way, you can reduce costs and allocate more budget for strategic activities.
Business Advantage
Ask any business owner about their struggles and they will have somewhat the same answer. When other products crowd the market, it becomes difficult to stand out. But with AI and personalization, you can have a greater chance of success.
Implement AI-based personalization, for example
- Individual recommendations
- Dynamic content
All of these will differentiate your business from competitors. Just look at how Amazon, Spotify, and McDonalds, which personalized customer experiences through its app, have built a strong customer base around the world.
Here’s How AI Personalization & Recommendations Transforms The Market
Before the advent of artificial intelligence, companies relied on traditional marketing techniques which can be limited in the way they communicated with customers. As a result, many marketing experiments that are of one-size-fit-all approach yielded limited results. Through AI-powered personalization, you can transform the way customers perceive, interact with, and respond to your brand.
If you haven’t built your personalization strategy yet, you’re missing out on market share and potential revenue growth. According to McKinsey, “their 2023 survey found that AI adoption did not reach 66 percent in any region; however, in 2024, more than two-thirds of respondents in nearly every region say their organizations are using AI”. Additionally, according Grand View Research to the global artificial intelligence market size was estimated at USD 196.63 billion in 2023 and is projected to grow at a CAGR of 36.6% from 2024 to 2030, indicating a strong demand for AI solutions in the coming years.
Offer Recommendations
Imagine having to showcase the same products brochures to different demographics, you can show the ones that are likely to be relevant to the person instead? For example, the streaming services Netflix is at the forefront of AI-based product recommendations and personalization for customers.
For instance, a user who recently watched a romantic comedy might be shown similar titles in that genre, while another user who enjoys action movies would see recommendations personalized to their tastes. A simple explanation is that Netflix achieves this by analyzing available information to provide a personalized experience, such as:
- Products viewing history
- Ratings and reviews
- Preferences
- Real-time activity.
Previously, these opportunities were limited to only multi-international and large enterprises. However, AI technology has leveled the playing field for startups and SMEs. With AI models, we can help develop software algorithms to analyze customer data at scale and use it to recommend relevant products or services that can lead to sales.
Of course, increase in sales and revenues, while important, aren’t the only outcome of personalized recommendations. Customers will feel valued, satisfied, and loyal when they are treated like the businesses know and understand them. They are not just another visitor that comes and goes.
In addition to product recommendations, you can use the same technology to provide personalized content and real-time recommendations. Let’s say a customer was primarily browsing cooking equipment on your e-commerce store. If you provide them with cooking tips or discounts, they may be more likely to make a purchase.
Predictive analytics
AI technology also enables another type of insight that allows us to make more accurate predictions from massive amounts of data. And it doesn’t take long to do so. This allows e-commerce businesses to identify and anticipate what their customers are looking for.
For instance, let’s say your SaaS service gets potential customers to sign up for a free trial of your product. They know from taking action to sign up for a free trial, that subscribers are to make a purchase to some extent. But artificial intelligence, and specifically predictive analytics, is capable of more than that. Unlike simpler machine learning techniques, Generative AI may predict future events and take into account many other factors.
For example, generative AI can predict the likelihood of signing up turning into a paying customer based on:
- Demographic
- User behavior
- Personal choice
- Market conditions
- And other data.
And when you are properly informed, with likelihood of future events, you can effectively manage and grow your business. In this instance, the SaaS provider can redirect customers to different paths to increase the likelihood of a purchase.
Enable personalized communication
Customers want to be treated like they are special and you know them on a personal level. And if you do, there’s a good chance they’ll stick around and become lifelong customers. On the other hand, customers get frustrated when they receive generic, non-relevant messages from a brand. In fact, customers do expect brands to deliver personalized messages and they are actually frustrated by generic messages.
Whether you’re communicating through email, social media, blog content, website, or chatbots, AI has taken personalization to a new level. With AI content personalization, brands can connect with their customers on a deeper level to create more pleasant experiences.
Imagine a customer has just opened a new savings account with your digital bank. Instead of sending them a standard welcome message via email, you can have a conversational AI assistant to interact with them, directly from your fintech app. The chatbot could provide personalized financial tips, suggest budgeting, and offer investment insights based on their earning and spending habits.
That said, integrating AI chatbots into fintech software involves complying with complex regulations and laws, ensuring customer data security as well as other risks you need to address beforehand.
Information delivery
Simplicity is often better when it comes to creating engaging customer experiences. In recent decades, companies have increased the production of content to the point that it overwhelms customers. And due to being overwhelmed, this has a negative consequence because potential customers tend to ignore future communications. The key lesson is don’t overwhelm users with too many generic messages.
Generative AI, on the contrary, allows you to control the type and amount of information customers need to see in the process. Large language models like ChatGPT, or Claude (by Anthropic), and Google’s Gemini, etc. are great for simplifying and summarizing information for customers. Most importantly, artificial intelligence can determine the types, and styles of content that different customers prefer during their shopping journey.
If you are an SMEs or newly established startup, it might be difficult to integrate chatGPT into your product if you do not have the necessary skills and knowledge to do so. This requires access to the OpenAI API and modifications to existing applications. We’ve written a complete guide explaining how to integrate ChatGPT into your app.
Features for Boosting Brand Engagement Using AI Solutions
In the previous section, we discussed the various ways to increase customer engagement and brand loyalty. Now a critical question is: what does it take to get started with AI? Artificial intelligence, and generative AI in particular, is still unknown to many companies.
Trustify Technology, as a leading generative AI development company, can help you. We know the technology stack or AI features you need to achieve your product’s specific business goals.
- AI Personalization
- Predictive Analytics
One of the biggest benefits of AI and big data analytics is its ability to analyze complex patterns in large volumes of data. This translates to the capabilities of AI to predict likely outcomes with high accuracy. For companies, predictive analytics can mean the difference between informed decisions or bad decisions.
Instead of reacting to market trends and customer preferences passively, you can leverage predictive analytics to predict future events. For example, a fintech startup can assess an applicant’s financial data to predict their future creditworthiness, enabling dynamic adjustment of loan interest rates or credit limits based on predicted income and spending habits.
At Trustify Technology, we understand that the accuracy of predictions depends on the model and the data set. We are experienced and able to help you train deep learning models to identify complex patterns and make reasonably accurate predictions.
That’s why we take great care in preparing the data, selecting the right predictive analytics model, and training it.
Live recommendations
Before AI and ML gained popularity, personalization was still somewhat limited. In the past, to simply describe, companies would need to collect data, and perform analysis separately, and manually personalize the customer’s journey. The entire process is slow and inefficient.
Thanks to AI, personalization has become much faster and more accurate. Let’s say you’re shopping for fishing gears on Amazon. Locations, pricing preference, browsing time, and other data are processed in real time. From there, Amazon suggests other fishing equipment that you might be interested in.
Now imagine this seamless personalization and recommendations in your product. Wouldn’t that keep customers engaged, connected, and making more purchases? Of course, and you need to know where to start, which AI model to use, etc.
Chatbots and virtual assistants
As mentioned before and in previous blogs, ChatGPT, Claude themselves are chatbots where you can carry out conversations with, like real humans. When integrated into the application, AI chatbots can interact with customers and help them find the solutions they need. While many chatbots are text-based, there are also those that can use verbal communication.
Thanks to chatbots or virtual chat assistants, businesses can:
- Provides 24/7 customer services support
- Answer frequently-asked-questions quickly and accurately
- Omnipresent on multi channels
- Identify differences in requests that customers may not be aware of
The business advantages are endless. Learn more about the benefits of chatbots and virtual assistants.
Real-time feedback analysis
If you don’t know how your customers feel, you can’t improve their experience. Generative AI has somehow made it easier to analyze feedback. Using deep learning and natural language processing (NLP) models, you can collect publicly available data on reviews platforms like App Store, Google Play Store, G2, etc. to perform sentiment analysis based on customer feedback.
From there, you can discover what customers think about their experience with your product. The best part is that AI can deliver this kind of information in real time, allowing your business to resolve issues quickly.
Our extensive experience with NLP, machine learning, and sentiment analysis helps you understand your customers better and faster. Naturally, users become more engaged, resulting in higher conversions and sales.
Automated response generation
In the past, businesses spent valuable time and resources responding to customer emails, feedback, and complaints. Generative AI and marketing automation software can take these manual tasks and replace them with consistent, accurate, and automated processes.
Thanks to artificial intelligence with AI-powered chatbots, customers no longer have to wait long for customer services. Large language models understand customer questions and generate helpful answers. Of course, this requires adapting the AI model to your company’s product knowledge.
By replacing resource-intensive and low-value repetitive manual tasks with automation based on AI technologies, business leaders can now approach their work more strategically. With deep expertise spanning multiple projects, we can help you integrate the right generative AI model to reduce inefficiencies and accelerate workflows in your business.
AI Solutions Benefits All Industries – Here’s How
No matter what industry you’re in, AI can change the way you work. Market leaders, SMBs, and startups are already implementing AI to personalize the customer journey.
E-commerce
The e-commerce industry was one of the first to adopt AI technology. Ecommerce businesses have been using AI personalization and recommendations to improve customer experiences and enhance retention, as well as lowering cart abandonment, and optimize marketing campaigns, etc. One example of AI personalization in e-commerce is how Amazon places customers on its sites with relevant, targeted products recommendations. But that’s not all.
AI solutions for e-commerce apps goes beyond with advanced capabilities such as:
- AI allows customers to virtually try on products like clothing, glasses, or makeup using augmented reality (AR) before they make purchase decisions.
- AI-powered voice assistants let customers search for products, check deals, and place orders through voice commands.
- Personalized search results display products based on a customer’s interests and purchase history, rather than a generic list of results.
Fintech
Fintech companies operate in highly regulated environments. They need to make quick decisions, each of which must be complied with legal and financial regulations. By enabling AI solutions, they can make complex decisions with greater transparency.
If you run a fintech company, these solutions can be highly effective:
- An AI-enabled credit scoring solution that analyzes each applicant’s financial profile to assess their credit risk.
- With a personalized financial plan, fintech startups can offer customized financial products that meet the client’s needs, risk appetite, and financial goals.
- Fraud alerts – Artificial intelligence and Machine Learning solutions can analyze individual transaction patterns and send alerts when irregularities are detected.
Logistics
Logistics companies focus on on-time delivery, resource allocation, and operational efficiency. To ensure that customers receive their items on time, they rely heavily on fleet management systems and delivery personnel. AI is helping logistics companies reduce operational costs and coordinate complex delivery routes.
These capabilities help logistics companies stay competitive:
- Dynamic route planning helps drivers adjust routes based on real-time signals like weather and road conditions.
- Predictive maintenance: by leveraging AI with IoT sensors, logistic companies can predict potential breakdowns, in order to prevent delivery disruptions and maintain customer trust.
- Customize delivery options so customers can schedule pickup times and real-time updates.
The Ethical Considerations of Using AI-Powered Solutions
AI Solution is very useful and beneficial for small and medium-sized businesses that leverage them strategically. That said, enabling personalized AI features is not without risks. At the time being, generative AI is still being developed rapidly. So if you are planning to integrate AI solutions in your products, you need to address these concerns.
Data privacy
To train and run an AI model, the prerequisite is to have a lot of data. This massive volume of data may contain sensitive information, the leakage of which would jeopardize user privacy. In addition, data protection laws such as GDPR, CCPA, and HIPAA require companies to protect data from potential exposure.
To ensure data security, at Trustify Technology, we incorporate data security measures such as encryption, authentication, and multi-factor authentication when developing AI solutions.
Transparency
Today, customers want to know upfront how their data is collected, stored, and used in the AI solution they have signed up to. Thus, it’s important to consider users’ sensitivity to how their data is collected and used. During development, we work closely with customers to inform users of their rights, including creating privacy policies, disclosures, and disclaimers at the appropriate points of contact.
In addition, companies operating in the EU region must comply with the EU’s AI legislation to protect users’ rights. This means that SMEs offering AI-based services need to bear the responsibility for complying with all the necessary compliance.
Bias and fairness
AI models are trained to make decisions based on the underlying algorithm and the data they learn from. As a result, they may generate inaccurate results if any of the key components are compromised. A biased AI model can result in businesses making unfair decisions that negatively impact the customers who use their services.
Thus, to avoid biased results, make sure to collect data that fairly represents your audience and check your model for the risk of bias.
Final-Words
AI solutions are a catalyst for better brand engagement. Whether you want to provide personalized recommendations or automate interactions, integrating AI solutions can help. SMBs and startups can take advantage of the benefits that generative AI offers. But that’s not all. Whether it’s predictive analytics, adaptive learning or other personalized AI capabilities, we expect wider adoption across key industries.
This means you’ll need a balance of technical, legal and business skills to seamlessly integrate AI into your products. As a result, when you adapt digital solutions with AI, customers in particular will be happy with their journey with brands.
Our team is no stranger to generative AI. We’ve been observing, testing and developing this technology since it became popular. Many startups and SMEs have benefited from our experience in strengthening their brands. We’re ready to help you with your business.