APAC AI in Retail Market size is expected to reach USD 7 billion by 2027, according to a latest forecast report by Graphical Research.
The Asia Pacific market growth is driven by improvements in the retail industry and growth in e-commerce in countries such as India and China. Around 30% of CIOs have already made investments in AI and more than 20% will be investing in the next three years. Asia Pacific is estimated to be the most lucrative region for the AI market. The industry growth is attributed to growing investments in AI technology and increasing digitalization in the region. Prominent market players are deploying AI to enhance customer experience, reduce retail shrinkage, increase employee productivity, and improve ROI.
The chatbot segment is set to showcase around 45% CAGR over the forecast period due to the extensive penetration of conversational AI platforms and chatbots. The usage of chatbots has reduced the expenditure of retailers as they require very small investments in their development and maintenance. Chatbots can cater to many customer bases, providing customers with immediate support, eliminating long calling queues, and increasing customer engagement & satisfaction levels.
The professional service segment is anticipated to support the market growth. Retailers are rapidly embracing AI solutions as it becomes critical for them to select a professional service partner that can offer expert consulting, maintenance, integration & deployment services and custom offerings including software implementation, test plans, and product testing in labs. These service providers help companies to solve problems in infrastructure integration and development.
The machine learning technology segment dominated over 35% market share in 2020 credited to the need to provide a personalized shopping experience through analyzing large volumes of customer information. The technology has transformed the retail & e-commerce industry landscape to be more real and accessible than ever before. It has simplified online shopping with advanced algorithms, refined search queries, and better search results.
Browse detailed statistical insights from the report, “Asia Pacific Artificial Intelligence in Retail Market Forecast 2027 By Component (Solution [Chatbot, Customer Behavior Tracking, Customer Relationship Management (CRM), Inventory Management, Price Optimization, Recommendation Engine, Supply Chain Management, Visual Search], Service [Professional Service, Managed Service]), By Technology (Machine Learning, Natural Language Processing (NLP), Computer Vision), By Application (Automated Merchandising, Programmatic Advertising, Market Forecasting, In-store AI & Location Optimization, Data Science), Research Report, Country Outlook (China, India, Japan, South Korea, Australia, Singapore), COVID-19 Impact Statistics, Price Trends, Historic Data, Growth Prospects, Competitive Industry Share” along with the table of contents (ToC) @
The automated merchandising application segment is projected to record a CAGR of 40% from 2021 to 2027 driven by a 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 relevant information of the user during the online shopping process to provide a personalized shopping experience.
China AI in retail industry is poised to grow exponentially during the forecast timeframe. Retail companies in China are focused on the development of smart supply chains that will accelerate natural language processing, image recognition, AI & ML to achieve consumer needs and provide an efficient solution by using technology. Leading companies are focusing on investments to strengthen their position in the market. For instance, in September 2020, Investcorp invested in Terminus Technologies, a Chinese AI and smart service provider. This investment helped the company to develop its AI capabilities and provide a sustainable solution across the country.
The APAC AI in Retail Market research report includes in-depth coverage of the industry with estimates & forecast in terms of revenue in USD million from 2016 to 2027 for the following segments:
Asia Pacific Market, By Component
- Customer Behavior Tracking
- Customer Relationship Management (CRM)
- Inventory Management
- Price Optimization
- Recommendation Engine
- Supply Chain Management
- Visual Search
- Professional Service
- Managed Service
Asia Pacific Market, By Technology
- Machine Learning
- Natural Language Processing (NLP)
- Computer Vision
Asia Pacific Market, By Application
- Automated Merchandising
- Programmatic Advertising
- Market Forecasting
- In-store AI & Location Optimization
- Data Science
The above information has been provided for the following countries:
- Asia Pacific
- South Korea