Composable commerce for maximizing value from AI applications

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Composable commerce for maximizing value from AI applications

We can hear the word AI everywhere nowadays, yet realizing its full potential in ecommerce largely depends on the successful integration with your existing stack. Composable commerce allows you to do just that and more. So for an unparalleled ecommerce experience in 2024, I’d suggest starting with going composable :) 

Traditional monolithic ecommerce platforms often struggle to keep up with advancements in AI. Efforts to integrate artificial intelligence with traditional platforms often result in time-consuming and costly processes without a guaranteed successful result. 

In contrast, composable commerce is a technology that embraces a best-of-breed philosophy, allowing you to handpick and combine different applications (components) to get you exactly where you need to be. 

Particularly so, if you want to join the AI race that’s leading the industry right now. So, how do you bring AI and composable together, exactly?

Overcoming integration challenges with composable commerce

One of the hardest parts of incorporating AI solutions into your current stuck is ensuring a consistent data flow. It needs to run smoothly across your desired AI solution, your ecom platform, and all the other components, otherwise, you’re facing a monolithic disaster. As composable commerce uses standardized APIs, it immediately simplifies this step. As a result, you can facilitate integrations hassle-free and ensure interoperability among disparate systems.

Taking personalization to the next level 

According to Statista , in 2021, the global revenue of the customer experience personalization and optimization software and services industry was estimated at USD 7.6 billion, and the source projected that it would increase to USD 11.6 billion dollars by 2026. But you don’t need me to tell you that personalization is the cornerstone of ecommerce operations these days, and AI is the best tool to get it just right.

After all, to tailor a personalized experience for every customer you need to be able to process large quantities of user behavioral data with sophisticated algorithms. Even after having all that, the time required to process and analyze all of this is substantial. When compared to the quickly changing trends and customer needs, we might find ourselves unable to keep up. 

Machine learning, generative AI, and large language models (LLMs) can help you with more than just drastically cutting the time. Dynamically generating personalized product descriptions, buying guides, and other content assets tailored to specific customer preferences and behavior – all these are invaluable in creating meaningful experiences with your store.  

Enhancing customer support with conversational AI

AI tools are perfect for customer support, but only as long as they are aligned with the customer experience. Implementing support solutions into monolithic stacks is troublesome and requires a lot of time and resources, so going composable allows you to react to such changes faster.

By integrating conversational AI solutions into your composable architectures, ecommerce businesses can provide real-time assistance, address inquiries accurately, and even guide customers through the purchasing process. 

Rapid iteration and experimentation

With a composable approach, you can easily swap out or integrate new AI components, run A/B testing, and validate the impact your experiments have on KPIs. This can prove to be a real game-changer in terms of staying ahead of the game. 

Additionally, the marriage between composable commerce and AI allows ecommerce business owners to optimize their AI investments, maximizing the ROI even further.

Preparing for the future – composable commerce and AI

Precedence Research states that the global AI in ecommerce market size is projected to hit around USD 22.60 billion by 2032, registering a CAGR of 14.60% during the forecast period 2023 to 2032. I think it’s safe to say that the AI adoption process is only going to take up the pace from now on.

When we look to the future of ecommerce, it’s not just the question of which tech stack to choose, what platform to pick, or whether or not to transition from monolithic platforms. The sheer benefits of AI are almost overwhelming. 

However, it’s crucial to approach the AI integration question with a clear understanding of business objectives and a well-defined strategy to ensure the proper use of AI and everything it brings to the table.

Implementing AI solutions through the composable approach mitigates some of the most serious risks and gives you the flexibility to experiment further without affecting the core of your operations, while also delivering your customers what they crave the most – the future.



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