Share this article

31. May 2023

ChatGPT in e-commerce and customer service: mandatory or optional?

Blog
Portrait Daniela Köhler

by Daniela Köhler

Publications officer

Writing poems, summarising texts, developing programming codes, providing answers to (almost) all questions – ChatGPT is a real jack-of-all-trades. What potential chatbots and other AI technologies open up in e-commerce and customer service and where they reach their limits.

What is ChatGPT?

  • Who better to answer this question than ChatGPT itself? The answer: “ChatGPT is a large language model based AI assistant. The programme was developed by the company OpenAI to conduct human-like conversations.” Of course, Siri, Alexa and the like are also based on artificial intelligence (AI). However, ChatGPT is different. Instead of giving pre-programmed answers, the innovative chat software not only understands the context of a conversation, but also reacts to it independently and adapts to the situation.
  • The basis for this is a Deep Learning Model based on transformer architecture. This enables it to understand and generate natural language – in real time. As a user, you simply enter a question, ChatGPT then processes it with the help of a neural network and – before you know it – an answer appears. Would you like another example?

How can ChatGPT be used?

In response to this question, the AI Assistant answers as follows: “ChatGPT can be used in many areas of application. The possibilities are almost endless and depend on the specific needs and requirements of a company or organisation.”

The special feature: ChatGPT learns on a continuous basis. The Large Language Model (LLM), which is already in the development phase, was trained up until 2021 through machine learning with billions of data sets from the internet. But that’s not all: With every question and every input, not only does the AI assistant’s wealth of data and experience grow, you also contribute to improving its abilities so that it generates more and more appropriate answers. The improved Chat-GPT-4 model even recognises pictures.

What can ChatGPT & Co. do for commerce and customer service?

Whether in the form of simple rules or deep learning algorithms, the use of AI in e-commerce and customer service is nothing new. For example, smart text robots based on data-to-text technology contribute to an outstanding product experience. Just like ChatGPT, they can be used to automatically generate texts in a natural language. However, structured data such as a product database combined with rules and logic serve as the base for this. 

Special AI tools then generate thousands of different product descriptions with variable details at the touch of a button. In addition, product data in an online shop can already be automatically enriched and refined by AI and machine learning algorithms. This pays off twofold: Experience shows that intelligent attribute and value mapping speeds up corresponding tasks by around 30 percent on average. High-quality and personalised product information also ensures an inspiring shopping experience and is an indispensable success factor in omnichannel commerce.

Conversational Commerce

But the capabilities of AI Chatbots go even further: In addition to efficient, automated processes, they contribute decisively to an outstanding customer experience – regardless of when or through which channels customers visit your online shop. For example, if they come via a price search engine, the AI could present them with low-priced articles or personalised discounts. If customers need advice, AI Chatbots such as ChatGPT are, with the appropriate adaptations, also competent contacts – around the clock. Instead of tediously clicking through the assortment in search of the right product, customers simply tell the chatbot what they want and immediately receive appropriate recommendations. Keyword: conversational commerce. This dialogue-oriented automated communication is guaranteed to leave a positive impression on your customers.

Conversational AI in customer service

The delivered goods are damaged, the ordered item does not fit, the product looks different in reality to the online shop: these are just a few of the many reasons people contact customer service. But no matter their issue or the channel customers use to contact us, they want one thing above all: not to have to wait ages for an answer. For this reason alone, AI Chatbots are effective for customer service centres of all sizes. The smart helpers select incoming customer messages and answer recurring questions independently, thus giving employees more time to deal with more complex issues.

When used correctly, conversational AI can now do even more: thanks to Natural Language Processing (NLP), some solutions can even automatically recognise the customer’s mood. If a customer writes a complaint, for example, the AI records the emotions expressed and prioritises the request as urgent. Customer service can thus score points with a short response time and quickly win the upset customer back through good service.

Chatbots: The 3 most important benefits at a glance

Nowhere is the competition greater than on the internet. Those who want to score points with their product range here and here alone will rarely be successful. In addition to attractive products and prices, a positive customer experience is also required throughout. AI Chatbots help with this, because:

  • they are available 24/7,
  • they automate many processes and reduce manual effort,
  • they are adaptive and can be perfectly trained for individual requirements.

AI technologies are the best tool for making your online shop stand out from the crowd of countless e-commerce offerings. Nevertheless, you should plan the use of such software carefully.

What are the limitations of ChatGPT?

The current hype surrounding ChatGPT and the like is for good reason. After all, intelligent speech robots are revolutionising many areas of our lives. But even if the technology already seems very mature, it still has its weaknesses. Scientists and AI experts are currently cautioning against:

  • Privacy and data security vulnerabilities: All information fed to ChatGPT belongs to OpenAI. You should exercise caution, especially when it comes to the collection of personal data or external information.
  • False results: It is difficult to distinguish between false and correct information in the generated texts.
  • Poor code quality: Generated code may be insecure and contain already known vulnerabilities.
  • Compliance violations: Sometimes the texts generated by ChatGPT contain offensive and discriminatory statements.

ChatGPT and novomind

You want to implement ChatGPT in your company? The novomind team first analyzes your requirements for the integration of ChatGPT and weighs up the pros and cons together with you. Which scenarios make sense? Then it’s time for implementation.

Thanks to our OpenAI interface, both ChatGPT and the current ChatGPT-4 can be easily integrated into the novomind product range – without high development costs and complex integration. This opens up a multitude of advantages for users:

novomind iSHOP

  • Automated translation

novomind iPIM

  • Recognition of attributes and attribute values from product descriptions
  • Automated generation of texts on the basis of attributes and attribute values

novomind iMARKET

  • Automated enrichment of texts

novomind iAGENT

  • Automated summary of texts
  • Automated generation of texts

Do you want to learn more about the use of ChatGPT in e-commerce and customer service, and about the potential of conversational AI? Then contact our professional service. The technology specialists in our AI Competence Centre will support you in the integration and use of our AI-supported software products in the areas of e-commerce and customer service – from analysis and brainstorming to implementation. This is because novomind’s products are able to easily integrate with technologies such as ChatGPT.

Share this article

Let’s get in touch

Select your region

region
  • Americas
  • Australia/ New Zealand
  • Asia-Pacific
  • Europe
  • Middle East/ Africa
  • South Africa

Do you have any questions? Are you interested in our company and services? The novomind team is available to assist you through the channel of your choice.

Back

Message

We look forward to your email!

We look forward to your email!
WhatsApp

We look forward to your WhatsApp message!

WhatsApp
Contact us via WhatsApp – simply scan the QR code with your mobile, or open WhatsApp.
Telephone

We look forward to your call!

Just pick up the phone!
Want to speak directly to our experts? Here you’ll find the right contact person to answer your query. The novomind team looks forward to hearing from you!

Back

Message

We look forward to your email!

We look forward to your email!
*Required
WhatsApp

We look forward to your WhatsApp message!

WhatsApp
Contact us via WhatsApp – simply scan the QR code with your mobile, or open WhatsApp.
QR Code WhatsApp
Telephone

We look forward to your call!

Just pick up the phone!
Want to speak directly to our experts? Here you’ll find the right contact person to answer your query. The novomind team looks forward to hearing from you!

Back

Message

We look forward to your email!

We look forward to your email!
*Required
WhatsApp

We look forward to your WhatsApp message!

WhatsApp
Contact us via WhatsApp – simply scan the QR code with your mobile, or open WhatsApp.
QR Code WhatsApp
Telephone

We look forward to your call!

Just pick up the phone!
Want to speak directly to our experts? Here you’ll find the right contact person to answer your query. The novomind team looks forward to hearing from you!

Back

Message

We look forward to your email!

We look forward to your email!
WhatsApp

We look forward to your WhatsApp message!

WhatsApp
Contact us via WhatsApp – simply scan the QR code with your mobile, or open WhatsApp.
Telephone

We look forward to your call!

Just pick up the phone!
Want to speak directly to our experts? Here you’ll find the right contact person to answer your query. The novomind team looks forward to hearing from you!

Back

Message

We look forward to your email!

We look forward to your email!
*Required
WhatsApp

We look forward to your WhatsApp message!

WhatsApp
Contact us via WhatsApp – simply scan the QR code with your mobile, or open WhatsApp.
QR Code WhatsApp
Telephone

We look forward to your call!

Just pick up the phone!
Want to speak directly to our experts? Here you’ll find the right contact person to answer your query. The novomind team looks forward to hearing from you!

Back

Message

We look forward to your email!

We look forward to your email!
*Required
WhatsApp

We look forward to your WhatsApp message!

WhatsApp
Contact us via WhatsApp – simply scan the QR code with your mobile, or open WhatsApp.
QR Code WhatsApp
Telephone

We look forward to your call!

Just pick up the phone!
Want to speak directly to our experts? Here you’ll find the right contact person to answer your query. The novomind team looks forward to hearing from you!

How can we help?

Subscribe to our newsletter