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As we see AI become an integral part of online shopping experiences, New Zealand’s reaction to this shift is taking an interesting turn.
Salesforce recently announced results from its detailed survey, State of the AI Connected Customer Research, highlighting the diverse array of Kiwi consumer reactions to AI in shopping.
Results from the study reveal that while local consumers expect greater personalization and better experiences on the one hand, they are showing lower levels of trust and loyalty on the other. Let’s have a closer look at the survey’s results and what they could mean for the future of AI in shopping.
For starters, the report highlights the rising consumer willingness to incorporate AI into their online shopping scenario. This is especially true for younger generations, with 33 percentof Gen Z consumers saying they’d be comfortable having an AI assistant shop for them.
Integrating such AI assistants or agents can help businesses streamline shopping experiences, attract consumers, and drive higher margins as they go. For instance, these tools can enable companies to attend to consumers 24x7, fix clunky sales processes, and establish lasting customer relationships.
However, along with the advancements in AI, 71 percent of Kiwi consumers believe that prioritizing trust has become even more important for businesses. This could be a cause of concern for most NZ businesses, as the nation’s trust in AI has been depleting over the years. 73 per cent of Kiwi consumers trust less than they did a year ago, while 58 percent feel companies are irresponsible with their sensitive data.
This state of affairs calls for a safe, secure, and responsible usage of AI in shopping. Along with this, consumers also have high expectations from the technology’s integration. Almost 65 percent of consumers expect fewer touchpoints to get information, and 57 per cent say a poor experience will stop them from making repeat purchases from the brand.
Despite the high consumer expectations and widespread AI functionalities, the gap in trust still exists. However, most of this lack of trust is simply based on the looming uncertainty and a lack of awareness.
In fact, almost half of NZ consumers feel a mix of suspicion and curiosity about the future of AI. This points towards a ripe opportunity for companies to help consumers understand the benefits of AI in shopping. It all boils down to increasing transparency and building more confidence around the use of AI agents in businesses.
Results from the survey also point toward a similar tangent, with 78 percent of consumers claiming they would prefer to know if they’re communicating with an AI agent. Moreover, 50% of users said they would be more likely to interact with AI agents if they were given a clear escalation path.
Commenting on the results of the survey, Hamish Miles, Country Leader, New Zealand, Salesforce, said, “This research shows that there’s a clear way to build trust with New Zealand consumers; focus on delivering high-quality customer service, with consistent interactions and as few touch points as possible. If they can do that, they’ll go a long way to building positive, lasting relationships with local consumers”.
The divide between consumer trust and AI integration presents an opportunity for brands to redefine their strategies. Companies that prioritise transparency and customer-centric design are more likely to succeed in earning trust.
“We know that trust is an important consideration for all consumers when it comes to how technology will affect and influence how they experience their favorite brands, and clearly New Zealanders are no different”, said Miles.
Fisher and Paykel is one such example of a company following the road of trust and transparency in AI integration.
Rudi Khoury, Chief Digital Officer, Fisher & Paykel Appliances stated, “Our focus at Fisher & Paykel is to meet these customer expectations head-on in a trusted way. We want to give them an experience where they can use our agents to get the support they need – quickly, easily, and accurately”.
More than USD200 billion in global online sales are projected to be influenced by AI this year. With this fact and the upcoming holiday shopping season, businesses need to use AI to its full capacity, without sabotaging their consumer trust and market reputation.
The road to the same is quite clear from Salesforce’s survey—highlighting an unwavering focus on transparency and a customer-first approach. Brands that can effectively communicate how their AI systems work, ensure data security, and offer clear pathways to human support will be better positioned to win consumer trust and loyalty.