Lotte ON has improved its AI chatbot service named ‘Charlotte’ which was primarily rolled out in April 2020. The focus of this revamp has been on increasing the sophistication of the bot’s shopping assistance capabilities and generally enhancing user engagement.
Starting from this month, the entire suite of services offered by Charlotte is getting a fresh unveiling. Charlotte is set to provide proactive suggestions and reinforce communication with customers through the entirety of the shopping experience, surpassing its previous role as merely a customer service substitute.
A notable addition in this update is the introduction of the ‘AI Review Recommendation’ service that uses generative AI. Aimed at boosting purchase conversion rates, the AI analyzes the reviews on products and summarizes key phrases that could influence buying decisions. This feature has been applied to beauty and grocery shopping items since February and will soon be expanded to include top-selling products and generate summaries for new products without reviews.
Further enhancing the customer experience is the newly incorporated AI image recognition style recommendation service. By using Charlotte’s camera function to upload desired product images, the AI technology can identify and suggest items with high likeness to the uploaded image; a feature that’s currently operational for fashion items and will further broaden to other categories.
Customers will also receive guidance on additional benefits applicable to the products they are interested in. Through the ‘Buy More, Save More’ feature, Charlotte informs customers of bulk purchase discounts and 1+1 offers on selected items, and also delivers details on major events and applicable discount opportunities in an alert format.
In an effort to reduce the chances of customer queries going unanswered, generative AI capabilities have been infused into the customer support process. Where the previous natural language processing AI was limited and could lead to a dead-end in customer interaction, the upgraded system classifies the customer’s intent and guides them accordingly even when initial queries are not properly recognized. Furthermore, the integration of AI Quick Inquiry service intelligently personalizes and segments customer inquiries for efficient handling.
The team leader in charge of Lotte ON’s Data Service, emphasized the transformation of Charlotte by incorporating generative AI into an intelligent shopping assistant, aiming to make Lotte ON a more inviting and compelling destination for persistent visits and long engagements.
Important Questions and Answers:
Q: What is Lotte ON?
A: Lotte ON is the integrated online shopping platform of the South Korean Lotte Group, which combines products and services from across the company’s various businesses such as department stores, supermarkets, and more.
Q: What were the main improvements made to Charlotte?
A: Improvements to the AI chatbot Charlotte include an AI Review Recommendation service, AI image recognition style recommendation service, expanded proactive engagement with customers, a feature to inform on bulk purchase discounts and special offers, and an enhanced customer support process with generative AI capabilities.
Key Challenges or Controversies:
– One challenge in implementing AI chatbots in retail is ensuring the accuracy and relevance of the recommendations and responses provided to users. Misinterpretation or inaccuracies can lead to customer dissatisfaction.
– There may also be concerns about data privacy and security, as chatbots collect and analyze large amounts of customer data to personalize engagements and suggestions.
– Adoption resistance from customers who prefer human interaction over chatting with bots can also be a challenge for technology acceptance.
Advantages:
– AI chatbots like Charlotte can provide customers with quick, personalized assistance at any time of the day, improving user experience, and customer service.
– AI technology can help in driving sales by making personalized product recommendations and informing customers about discounts and events, leading to higher conversion rates.
– Efficiency in customer interaction can be improved due to the bot’s ability to handle multiple inquiries simultaneously and route complex issues to human agents.
Disadvantages:
– AI chatbots may not handle complex customer queries as well as a human customer service representative, potentially leading to frustration.
– There may be initial setup costs and ongoing training requirements for the AI chatbot to continuously learn and improve from interaction data.
– Reliance on an AI system could have implications for employment, as businesses may require fewer human customer service agents.
If you’re interested in learning more about Lotte, its businesses, or potentially its online platform Lotte ON, you can visit their main website with the following link:
Lotte.
Please note that the URL provided leads to the main Lotte Group webpage, which may contain further information directly or indirectly related to Lotte ON and the AI chatbot Charlotte.
The source of the article is from the blog toumai.es