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AI in e-commerce: Redefining personalisation in the age of predictive intelligence

Smartifai's Taha Kazmi shares how AI is transforming the future of e-commerce — moving beyond conventional recommendation engines to predictive, emotion-aware systems that personalise every shopper’s journey.

Taha Kazmi, Co-Founder at Total Media Ventures & GrowthnityTaha Kazmi, Co-Founder at Total Media Ventures & Growthnity

The e-commerce landscape has evolved far beyond its early days of static recommendations and simple cross-sell logic.  What was once a transactional environment — customers search, brands respond — has transformed into a deeply intelligent, predictive ecosystem where AI understands human behaviour, emotion, and context with remarkable precision.

The shift isn’t just technological. It’s philosophical.  Today, the question isn’t how do we sell more? But how do we understand people better? 

The personalisation paradox 

For years, brands labeled almost everything as “personalisation” — whether it was showing related products or sending a discount code because a shopper abandoned their cart.

These tactics worked, but only to a point. Consumers grew smarter and their expectations rose far beyond “You might like this…” 

McKinsey’s research reflects this shift clearly: 

  • 71 per cent of consumers expect personalised interactions 
  • 76 per cent get frustrated when they don’t receive them 

This isn’t surprising. Customers want experiences that mirror how they shop in real life — nuanced, responsive, and contextual.

They want brands to know the difference between their casual browsing behaviour and moments of high purchase intent. They want platforms that evolve with their tastes, not ones that repeat yesterday’s insights. 

AI bridges this gap through predictive intelligence, giving brands the ability to anticipate rather than merely react. This is the true meaning of modern personalisation: delivering exactly what customers need, often before they articulate it. 

 Predictive AI in action 

The world’s most advanced e-commerce ecosystems — Amazon, Alibaba, JD.com — have already moved beyond simple logic-based recommendations. They deploy neural networks that analyse: 

  • Click patterns 
  • Dwell time 
  • Scroll behavior 
  • Session length 
  • Product comparison habits 
  • Time of day usage 
  • Visual preference signals 

These insights help forecast purchase intent with stunning accuracy. 

Even more compelling, Accenture notes on its site that AI-driven predictive commerce can increase conversion rates by up to 25 per cent of AI-led personalisation / context-aware experiences. 

Predictive commerce is quickly evolving beyond click patterns. Emotion-recognition technologies are adding a new layer of intelligence to customer journeys.

In beauty retail, tools such as Sephora’s Virtual Artist already use advanced computer vision to analyze facial features and deliver highly personalized try-ons — a step toward experiences that feel more natural, responsive and human. 

Predictive commerce is evolving beyond clicks and browsing patterns. Emotion-aware AI is pushing digital shopping toward more intuitive, human-like experiences. 

Agentic commerce: The next frontier 

As impressive as predictive AI is, the next revolution is already taking shape: agentic AI. 

Instead of waiting for customer actions, AI agents act on behalf of the customer. 

Imagine a world where: 

  • Your AI shopping agent compares prices across platforms 
  • Tracks upcoming sales and promotions 
  • Applies the best discount automatically 
  • Places repeat orders before items run out 
  • Selects the best-value option based on your past preferences 
  • Returns or exchanges items proactively if they don’t match your fit or usage patterns 

We’re already seeing early prototypes: 

  • Shopify Sidekick — an AI assistant that helps merchants and buyers with queries, comparisons, and task automation 
  • Amazon’s generative search — AI is being used to summarize reviews and answer shopper questions. 

This is agentic commerce: a world where shoppers don’t browse for products—their agents do it for them.
And brands that build AI-ready experiences will become the preferred destinations for these agents. 

In this new model, shopping becomes a continuous dialogue between user intent, AI reasoning, and context-aware action. 

The takeaway: Empathy + predictive intelligence wins 

AI isn’t replacing human decision-making — it’s elevating it. 

Customers don’t want cold automation. They want experiences that feel thoughtful, intuitive, and personal. AI delivers the intelligence; brands must deliver the empathy. 

The future of e-commerce will be shaped by brands that can: 

  • Sense emotional cues 
  • Predict intent 
  • Adapt dynamically 
  • Personalise deeply 
  • Act proactively through AI agents 
  • Preserve the human essence of trust and connection 

E-commerce is no longer about selling products.  It’s about designing personal moments at a scale, shaped by algorithms but grounded in human understanding.  

The brands that master this balance will define the next decade of digital commerce—not just as retailers, but as intelligent partners in every customer’s shopping journey. 

By Taha Kazmi, Co-Founder at Total Media Ventures & Growthnity