Retail sector has been in a constant process of embracing new technologies and bringing in Artificial Intelligence (AI) in retail to enhance customer experience.
Implementing facial recognition technologies will open new avenues for this sector, creating real-time data analyzed to create better business decisions enhancing better customer support. Where or why facial recognition is used? If this is a question, retail sector is one where facial recognition could be used effectively, and AI in Retail could be beneficial in number of ways as mentioned below.
According to Statista.com,
In India 67% of consumers would likely to visit a store using facial recognition technology in retail store, for better customer service.
Real-time demographics
Primarily receiving updates about the actual demographics of customers visiting the store at any given point, is a major challenge for any retail store management. Implementing facial recognition technology or AI in Retail, will help store authorities to access the demographics of the footfall entering the store on hourly basis and create business decisions based on that. Additionally, facial recognition can be used to monitor customer movement and behavior. This can help retailers to better understand customer flow and the effectiveness of their store layout.
Customer Dwelling Time
Customer came in, customer went, but how much time did he or she spent time within the store? This question has always been a pain point for any retailer. Until or unless, an individual customer is tracked, a very specific data is never handy. Face recognition technology can effectively track this factor. From the time he or she enters the premises to the time he or she leaves, the entire time journey of the customer could be mapped. Thus this will help management to decide how effectively a customer is dealt before one leaves the store. Also, if any special discount zone is there, whether customer spending time there or how much time is being spent can also be tracked.
Personalized Offers
Facial recognition in retail is the ability to personalize the shopping experience for customers. For example, AI in retail, through facial recognition technology can identify loyal or VIP customer as they enter the store, and then display personalized recommendations or offers on digital displays throughout the store. This can help to increase customer engagement and potentially boost sales.
Tailored Service to Loyal Customers
Facial Recognition can help identifying loyal customers the moment entering the store. This will enable store management to welcome the customer personally and create unique shopping experience by assigning personal shoppers or opening separate cash counters to process bills faster post-purchase.
Effective Queue Management
Managing queues during high traffic times in store is a major challenge faced by any store. Facial recognition technology will come handy managing these situations. Whenever a queue crosses a predefined threshold, an alert could be created, which will help in timely intervention by floor managers or store managers to manage the queues effectively by deploying more manpower or opening cash tills.
Workforce Productivity
A major challenge is often faced by store management in tracking manpower during high traffic times; this problem is valid, especially for large format stores. It restricts entries in unauthorized areas and creates alerts when it is breached. Moreover, a large part of labour is involved in maintaining registers for the movements of staff to back office, warehouse, and restrooms. Implementation of facial recognition technology will help tracking these movements effectively, getting rid of the recurring costs of purchasing various types of registers.
Shoplifter Alerts
Another benefit of facial recognition in retail is improved security. Retailers can use the technology to identify known shoplifters or individuals who have been banned from the store, and can also use it to monitor the store for suspicious activity. This can help to deter theft and reduce losses.
So we can conclude, facial recognition technology in retail can bring many benefits such as personalizing customer experience, improving security, and deterring theft. We at Softweb Technologies have been developing unique facial recognition solution for retail, TORK-Retail helping a number of industries to take the full benefits of this technology. Our solutions have been steering labour-intensive industries towards paperless work culture with digital enhancements
Reach out to us, to know how Softweb Technologies can help your organization with modern technological solutions, especially bringing AI in retail.
