Artificial Intelligence (AI) is changing how companies connect with customers, allowing interactions that feel more personal and custom-fitted to individual likes and habits.
What AI-Powered Personalization Means
AI-powered personalization uses algorithms to study and interpret data from users, which enables companies to adapt their content, suggestions, and services to fit what customers prefer. By looking at past purchases, browsing patterns, and interactions, AI can build a unique experience that encourages user engagement and satisfaction.
Recent Advances in AI Personalization
Google’s Personalized Shopping Experience
In October 2024, Google enhanced its Shopping platform by adding a personalized feed, designed to suggest items based on recent user searches and YouTube viewing history. Available on both mobile and desktop, this feed shows recently viewed products and recommends similar items, some with related videos. Users can provide feedback to further improve future suggestions. Google has also included a tailored deals tab, spotlighting offers that might interest specific users, which enriches the overall shopping experience.
AI in Healthcare: Advancements in Cancer Detection
A study by UCLA, released in July 2024, demonstrated that an AI tool called Unfold AI, developed by Avenda Health, has achieved 84% accuracy in identifying prostate cancer. This rate surpasses the 67% accuracy rate achieved by doctors. The tool uses clinical data to produce a 3D visualization of cancer spread, aiding in targeted treatments and minimizing the need for full-gland removal, which often brings side effects like incontinence and impotence.
AI-Enhanced News Personalization
In June 2024, Yahoo launched an updated news app, integrating AI technology that had originally come from the Artifact app. This app personalizes news recommendations based on user activity and choices, along with a feature that generates quick summaries of articles. Users can pick topics they want to see and block the ones they don’t, providing a customized news feed for each individual.
Practical Uses of AI Personalization
Virtual Flight Attendants
In March 2024, Qatar Airways introduced Sama 2.0, a virtual assistant powered by AI designed to support customers in airports and on flights. Sama provides immediate assistance, answering questions and guiding travelers as needed. Available through the Qatar Airways app and its virtual platform, Qverse, Sama helps improve customer service by delivering interactions that feel almost human.
AI in the Beauty Sector
The beauty industry is utilizing AI to enhance customer experiences with tools for personal diagnostics and virtual try-ons. AI assists with product development and helps make beauty solutions more effective and inclusive. For example, virtual try-on features allow customers to see how products might look on their own skin or face before they decide to buy, improving the online shopping experience.
AI’s Role in Travel Planning
AI is reshaping the travel industry by assisting customers in organizing trips. Companies like Expedia and Booking Holdings are incorporating AI tools to offer highly personalized travel experiences. Expedia’s AI assistant, Romie, helps users by crafting travel schedules and providing group chat tips, making the process of planning a trip easier and more enjoyable.
Challenges and Things to Consider
AI-driven personalization provides a range of benefits but doesn’t come without challenges. Ensuring accurate data and building trust in AI-generated results are key to long-term success. Companies must carefully balance the desire to personalize experiences with the responsibility of protecting user privacy. Implementing these technologies can also be costly, which might be a hurdle, especially for smaller businesses.
Conclusion
AI-powered personalization is making a significant impact across different fields, delivering unique experiences that boost customer engagement and satisfaction. From custom shopping recommendations to healthcare advancements, AI’s applications are expanding rapidly. As more businesses take on these technologies, they need to consider the challenges around privacy, accuracy, and resources to fully harness the potential of AI for personalization.
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