If you’ve ever stood in front of the mirror and wondered what your clothes are missing, you might find your answer at Macy’s. The company recently launched Ask Macy’s, an AI chatbot powered by Google’s Gemini AI assistant, to shocking success.
The chatbot was launched across all of the company’s digital platforms on Monday and was tested over several weeks with about half of Macy’s website visitors, the company told Bloomberg. Shoppers who use chatbots spend approximately 4.75 times more than those who do not use chatbots, Bloomberg Reported.
The bot’s short-term success comes as Macy’s is making a comeback after a decade of sales decline.
The company reported earlier this month that net sales fell 2.4% last year, but have returned to comparable sales growth of 1.5%. Macy’s expects net sales to be between $21.4 billion and $21.65 billion this year, slightly lower than last year’s $21.76 billion, but expects comp sales to be flat at the midpoint of its guidance.
According to Bloomberg, Max Mani, chief customer and digital officer, explained that customers may be more likely to spend more because they are looking for a specific item, such as an outfit for an upcoming event, rather than just browsing. Reported. He suspects the bot also attracts a younger customer base.
The most popular features are the “Complete the Look” option, where the bot suggests accessories to match an outfit, and the virtual try-on feature, which allows shoppers to see how an item would look on them. If customers don’t have time to see if an item fits, they can also take advantage of an in-store virtual try-on feature, Chief Store Office Barbie Cameron told Bloomberg..
More AI shopping assistants are emerging as businesses and startups bet on making online shopping more seamless. For example, Bill Gates’ daughter Phoebe Gates founded Phia, a browser extension that compares prices on the Internet.
And Marc Lore and Melissa Bridgeford officially launched shopping agent Wizard in February after more than four years in beta.
“Every retailer is trying to figure it out one step at a time,” Mani told Bloomberg. “This is someone else’s game. No one has cracked the code.”
Magni said the Macy’s bot required some tweaking and input from thousands of employees before making it available to customers. Initially, it wasn’t taken into account that shoppers in different climates might not want to see the same products.
There were also some tone issues, Mani added. When he asked for a T-shirt suggestion for his son, Bott coldly presented him with a list and wrote, “Here’s a T-shirt for a 10-year-old.”
Bots are now more friendly. When asked again, the bot answered, “’10-year-olds really enjoy color. Do you want brighter color choices or more subdued color choices?'” Magni said. “Machines keep learning.”
