AI already impacts many of the interactions that businesses have with customers and each other, and its applications keep expanding every day.
The analytics and forecasting applications alone have enabled companies to have a giant reputation by having market and customer data at their fingertips.
As the world recovers from the after-effects of the pandemic, AI is likely to assume an even bigger role in our lives, and certain key trends are expected to take off in a big way in 2021. Here is how AI applications can benefit your business this year:
1. Emphasis on advanced and ethical data processing
The amount of data currently stored on devices, and the cloud worldwide is immense, and it will only increase as more devices come online every day.
To take advantage of this data, businesses need to incorporate machine learning algorithms to mine this data and draw insights from it.
One obvious application of data is hyper-personalization, where tailored marketing messages can be sent to each customer based on what they have browsed for before, where they are based, what income level they belong to, and so on.
Another aspect of data processing in 2021 will be data collection that navigates the privacy and legal connotations of using a customer’s identity and online activity for marketing purposes.
2. Rise in augmented and virtual reality applications
Thus far, augmented and virtual reality (AR/VR) have been regarded as something of a novelty, more for recreational applications (like gaming headsets or apps such as Pokemon Go) than anything else.
In 2021, however, more companies will be incorporating AR and/or VR into their marketing strategies. For instance, IKEA’s Place application allows customers to preview what a piece of furniture will look like in their own homes.
Several fashion brands, such as Nykaa and MAC Cosmetics, also create this kind of immersive experience, allowing customers to try lipstick shades virtually and determine the best color for themselves.
This helps customers make better choices and makes the shopping experience more fun, both of which contribute to more sales. With COVID-19 and social distancing norms in place, more and more people will be looking for virtual shopping options, and AR/VR technologies make this possible.
3. Website optimization for voice-based searches
Over the last decade or so, the use of AI-powered voice assistants like Apple‘s Siri, Microsoft‘s Cortana, Amazon‘s Alexa, and the Google Assistant has gone up.
People often prefer to say what they would like done ”from smartphone activities to managing home appliances ”rather than type it out.
Major advances in machine learning that allow search engines to pick up natural language speech patterns have contributed to this popularity in voice search.
According to Statista, 8.4 billion voice-based assistants will be in use by 2024. Imagine how easy it would be for people living with physical disabilities to use voice-based devices and search for specific keywords and easily navigate websites.
Thus, one way for websites to adapt to the voice search trend is by ranking for keywords and phrases that people are likely to use while talking. Other strategies include optimizing local content and providing clear, immediate assistance in response to the search queries (rather than merely redirecting them to your website).
A significant component of this is conversational search, such as which restaurant near me is open now’ rather than restaurants open now.’ For content ideas on what natural language phrases people use in search queries, try this social listening tool called Answer The Public.
Once the site is optimized, test its accessibility quotient using an ADA compliance tester to ensure everyone can access and consume the web content.
4. Increased use of chatbots for customer support
Chatbots have taken off massively over the last decade. They have developed into sophisticated bots that can answer a wide variety of customer queries with ease in conversation language that makes them hard to distinguish from a human executive.
On the business side, chatbots significantly bring down operational costs (as companies no longer need to have large support teams) and bring invaluable data about their target audiences.
On the other hand, customers are also willing and welcome to use chatbots, as they can get instant query resolution 24×7 without having to wait in line for a support executive to be free. Ecommerce transactions via chatbot are projected to go up to $112 billion by 2023.
Businesses new to chatbots can easily set one up with various tools available online, many of which do not even require coding skills.
5. Real-time cyber threat detection and mitigation
The hyperconnectivity the world has today allows for countless new opportunities – however, it also makes data more vulnerable to cyber-attacks. AI’s powerful predictive algorithms can play a significant role in ramping up a business’ cybersecurity.
AI can detect cyber-weaknesses much faster and detect the pre-conditions that could lead to a weakness in the near future, thereby allowing for preventive measures to be implemented before any cyber-attacks.
AI will enable companies to respond much faster to any security breaches and thus minimize the damage. Finally, AI and the Internet of Things [IoT] can allow for easy monitoring of cyber-activity in real-time so that any deviations or malicious activities can be spotted and contained instantly.
6. Introduction of AI-powered chips in various industries
Applications and products that did not traditionally function on AI can do so now, thanks to AI-powered chips that will enable facial recognition, object detection, computer vision, and Natural Language Processing (NLP).
This has significant applications in industries such as healthcare, gaming, manufacturing, and finance. In gaming, AI-powered chips like Qualcomm‘s new Snapdragon 732G can create an unprecedented immersion level in the game.
In manufacturing, such chips can allow for automated product checks and even product assemblies to happen in a fraction of the time it took before (as BMW does for its Germany factory). By 2025, the market for AI-powered chips is projected to hit over $91 billion.
Wrapping it up
The applications of AI in business are manifold. Regardless of which industry you operate in, AI can boost your profitability, bring you more customers, and help you design better products and experiences.
Therefore, it is essential to stay in constant touch with which way the wind is blowing so that you can be the first to spot new opportunities for AI in your business. The sooner you embrace these new trends and invest in them, the sooner you can reap the rewards.
