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How is data annotation bringing change in the e-commerce industry?

In today’s economy, experiences are equally as valuable as the products being sold by a company. Modern customers aren’t just buying products; they are buying experiences. Let’s look at an example: A customer is looking for a formal shirt, and they visit an e-commerce website to buy it, but they find it hard to navigate on that website. The lack of satisfaction can be due to difficulty filtering the products, complex search mechanisms, extensive loading time, etc. In such a case, the customer will probably leave the site & never return.

With every retailer creating an e-commerce website of its own and massive e-commerce marketplaces such as Amazon being dominant, the competition in this industry is now more than ever. Most products from one brand are listed on multiple e-commerce websites, making the customer experience one of the biggest differentiators for online marketplaces. In this situation, regular targeting & personalization tools aren’t as effective; the latest technology is the only saviour for digital marketplaces. Some common technologies being adopted by the industry giants of e-commerce are artificial intelligence & machine learning. Both technologies require annotated data to function effectively. 

With the help of data annotation & image annotation, the entire customer experience can be improved and improvised. Image annotation can broadly support image searching and AI-AR trails of products. Additionally, the annotated data & images will be so much easier to find when a buyer is looking for something specific. Also, the suggestions for related products are more relevant if the images & data are appropriately annotated. With this help, the customers will be offered relevant suggestions per their tastes & requirements. Some everyday use cases of data annotation in E-commerce are listed below:

Image & Product tagging: Visual representation is one of the most effective ways of grabbing the attention of a customer or a potential customer. This is because digital retail stores are directly competing with physical stores, which can offer tangibility and actual trials of the products. The product description and the images must be aligned and relevant to what the buyer is looking for.

Product review moderation: After using the product, the customers offer reviews of products & services availed from the purchase. No seller can determine or control what a buyer feels and writes about a product. Still, offensive language can be stopped with the help of AI’s natural language processing capabilities.

Visual Search: With the help of image annotation, e-commerce platforms can offer the option of image search. This can be done by uploading an image or by clicking an image right away, which is a very user-friendly search mechanism. This is also very useful when it comes to giving related product suggestions. E.g., if someone uploads an image of a clothing item, an AI-integrated platform can suggest similar items in the same color/design to the buyer.

Some Data Annotation Services that FiveS Digital offers that are useful for E-commerce brands:

Image Annotation: The product images can be annotated with relevant captions & keywords to increase the relevance of search results of the buyers. Annotated image data will ensure that there is a proper categorization of the products.

Video Annotation: Product videos aren’t new in the e-commerce space, and with the annotation of these videos, the efficiency of search can be highly optimized. The video annotation is also highly effective in offering the AI-AR integrated product try-on for the customers, which can speed up customer decision-making.

Text Annotation: With the help of text annotation, the chatbot experience can be optimized, and offensive language can be restricted from the reviews. Chat support & product review are both integral parts of an e-commerce customer service strategy & they cannot be avoided.

The world is getting smarter & devices are getting artificially intelligent with every passing day. In this day & age, businesses must stay caught up with technology. Get in touch with FiveSDigital today and make your e-commerce business artificially intelligent.


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