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Black Friday: AI Drives Record Spending Despite Rising Prices

by Priya Shah – Business Editor

AI powers‍ Record Black Friday Spending as US Consumers Drop Nearly⁣ $12 Billion Online

NEW YORK American shoppers unleashed a record $11.8 billion online during Black ⁣Friday, a 9.1% increase from⁤ 2023, fueled in ​part by a surge in ⁤the use of artificial intelligence-powered shopping tools. The data, tracked by⁤ Adobe Analytics across ‍a trillion visits too retail websites, signals a meaningful shift in how consumers navigate the annual shopping frenzy.

The influence of AI ⁢was especially striking, with ‍searches ‌for deals⁣ utilizing AI assistance skyrocketing ‍805% compared to the previous year, according to Adobe. This marks the first Black Friday where consumers widely leveraged tools like Amazon’s Rufus,wich debuted after ⁤last ‌year’s shopping season.

“Consumers are ⁣using new tools to get⁣ what they need faster,” explained⁤ Suzy Davidkhanian, an‍ analyst at‌ eMarketer. “Looking for gifts can be stressful, and Large⁢ Language Models (LLMs) make the revelation ⁣process seem quicker and more guided.” An Adobe survey corroborates this trend, revealing that nearly half of ⁣all respondents have either used ‍or are interested in utilizing AI during this holiday‍ shopping season.

Beyond simply finding deals,⁤ AI appears to be​ significantly impacting sales volume. Salesforce estimates ‌that AI bots influenced a⁢ staggering $14.2 billion in online sales globally on Black Friday, ​including ‌$3 billion within the United States.

However, ‌the increased spending wasn’t necessarily reflected ​in a surge ‍in items purchased. Despite the overall increase in dollars spent, consumers actually ​bought fewer products this year. Salesforce data shows order volume decreased by 1%, while average ‍sales prices climbed 7%. This suggests that while shoppers were willing ‌to spend, rising prices tempered the number of items they added to‍ their carts.

The rise of AI-assisted shopping represents a growing trend in retail, offering consumers personalized recommendations and streamlined deal-hunting experiences. as AI technology continues to evolve, its role in ​shaping the future of online commerce ‍is likely to ⁢become even more pronounced, possibly‍ reshaping how retailers approach marketing and customer engagement in the years to come.

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