Europe Artificial Intelligence in Retail Market size crossed USD 500 million in 2020 and is anticipated to exhibit a CAGR of 30% between 2021 and 2027. The market growth is attributed to the growing adoption of AI technology across retailers to improve customer satisfaction.
Get more details on this report - Request Free Sample PDF
The rising adoption of machine learning and NLP technologies across the retail companies in the region is also fueling the market expansion. The integration of the IoT, augmented reality, virtual reality, 3D printing, blockchain, and digital traceability is supporting the retail sector by offering unprecedented opportunities.
Europe Market, By Component
Solution segment will observe around 30% growth rate during the forecast timeframe, due to the wide adoption of analytics solutions by online retailers to increase their customer base and offer better customer experience.
Retailers are increasingly leveraging the technologies to understand the customer behavior and the requirement to fulfill their demand. Also, the high intensity of competition among the retailers is encouraging them to adopt advanced technologies. Retailers and e-commerce companies are leveraging various AI-based solutions, such as chatbots, customer relationship management, and data analytics & visualization solution, to extract actionable insights and improve the customer experience.
Europe Market, By Technology
The NLP technology segment is projected to account for a market share of 35% by 2027. The increasing adoption of NLP technology among retail companies is to analyze customers and improve their experience in stores. NLP technology complies with customer information, analyzes this information, and uses it to improve the overall shopping experience of customers.
Europe Market, By Application
The automated merchandising segment is anticipated to significantly expand till 2027, driven by the growing demand for customer behavior tracking solutions among retailers. Automated merchandising solutions assist companies in analyzing the purchasing behavior and provide relevant suggestions to increase their sales. The solution collects all the relevant information of the user during the online shopping process to provide a personalized shopping experience.
Europe Market, By Country
UK is poised to dominate the Europe AI in retail market through 2027. It has a competitive edge in artificial intelligence owing to many AI-based companies and a rich ecosystem of investors, clients, and skilled professionals. Increasing research & development activities and growing commercial investments by major players in the country will foster the market growth.
Competitive Industry Landscape
Key companies involved in the market include Amazon Web Services, Baidu Inc., BloomReach Inc., CognitiveScale Inc., Google Inc., IBM Corporation, Microsoft Corporation, Nvidia Corporation, Oracle Corporation, RetailNext Inc., Salesforce.com Inc., and SAP SE.