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How GenAI is Reshaping eCommerce and Consumer Trust

Author

Akhil Nair
July 17, 2024

How GenAI is Reshaping eCommerce and Consumer Trust

Today, we’ll be exploring the exciting world of Generative AI (GenAI) and how it’s shaking up eCommerce and consumer trust. The online marketplaces are adopting AI fast, and GenAI is leading the charge. Let’s see what this means for you as an ecommerce seller.

Gen AI: The New Kid on the Block

GenAI is revolutionizing content creation. From product images to reviews and marketing campaigns, AI-generated content is popping up everywhere. This tech is a game-changer, especially for small businesses looking to create professional-quality materials without breaking the bank.

The Good and the Bad

While GenAI offers some awesome tools, it also comes with a few headaches. A recent study by Google researchers (still under review) highlights a big downside:

The flood of AI-generated content is making consumers skeptical about what they see online.

This skepticism can hurt trust, which means fewer sales and less loyal customers.

🔭What to Watch Out For

Fake Reviews and Misleading Content

GenAI can churn out fake product reviews and tweak images to mislead shoppers. This makes it tough for people to trust what they read and see.

Scams and Fraud

A lot of GenAI content is used for shady stuff like scams and manipulating opinions. The ease of creating convincing fake content is only making things worse.

Consumer Skepticism

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As AI-generated content becomes more common, people are struggling to tell what’s real and what’s not. This “skepticism overload” can lead to them either disengaging or falling for misinformation.

Adapting to New Shopping Habits

Consumers are turning more to trusted influencers and personal networks for recommendations. Here’s how you can adapt:

Engage with Influencers

Partner with influencers who can genuinely endorse your products.


Build a Community

Create a loyal customer base that can share honest reviews and recommendations.

👀Looking Ahead

As we move forward, GenAI will play a bigger role in the digital economy. Balancing the benefits of AI with the need for authenticity will be key. The businesses that get this balance right will thrive in the new era of eCommerce.

Check out this blog to learn all the differences between UPC and SKU codes.

UPC Vs SKU Codes: The Complete Guide For Ecommerce Sellers

https://xenaintelligence.com/blog/upc-vs-sku-codes-complete-guide

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🌱 Learn how an eco-friendly home essentials brand used XENA 360 to achieve 6.3x YoY sales growth. Click here to read the case study.

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