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Virtual shopping assistants serve as digital representatives that can answer customer questions, make recommendations, process payments, and help buyers navigate online stores through natural language conversations. They emulate human interactions by understanding speech and text to provide interactive shopping experiences for customers. Virtual assistants are integrated across various e-commerce platforms to enhance customer service and sales. With rising internet and smartphone penetration worldwide, online shopping has gained significant popularity in recent years. E-commerce retailers are adopting virtual shopping assistants to cater to the personalized needs of customers and improve conversions.
The global Virtual Shopping Assistant Market is estimated to be valued at US$ 624.7 Mn in 2024 and is expected to exhibit a CAGR of 32.% over the forecast period 2024 to 2031, as highlighted in a new report published by Coherent Market Insights.
Market key trends: One of the key trends in the virtual shopping assistant market is the integration of advanced AI capabilities. Leading players are focusing on integrating technologies like deep learning, natural language processing, computer vision, and conversational AI to develop virtual assistants that can understand consumer behavior, answer complex inquiries, process payments seamlessly, and provide personalized recommendations. For instance, virtual assistants developed by Anthropic and Astute are integrating reinforcement learning to become more efficient in conversations over time by learning from customer interactions. Additionally, virtual assistants are being integrated across various platforms to provide assistance across the entire customer journey from product discovery to post-purchase support.
Key players operating in the Virtual Shopping Assistant market are Anthropic PBC, Synthesia Limited, Observe.AI, Avaamo, Cognigy, SoundHound AI Inc., Luka, Inc. Pypestream Inc,, Mobisoft Infotech, EdgeVerve Systems Limited, Nuance Communications, Inc., Ada, and Kore.ai. The market players are focusing on enhancing their virtual shopping assistant solutions using technologies like artificial intelligence, machine learning and computer vision.
Porter’s Analysis
Threat of new entrants: New players face high entry barriers in the form of large investments required in advanced technologies like artificial intelligence and machine learning.
Bargaining power of buyers: Buyers have moderate bargaining power due to availability of various virtual shopping assistant solutions in the market.
Bargaining power of suppliers: Suppliers have low bargaining power due to presence of various technology companies providing required components and tools.
Threat of new substitutes: Threat of substitutes is low as there are no close substitutes for virtual shopping assistants available currently.
Competitive rivalry: The market is dominated by major technology companies and starups focusing on artificial intelligence.
Regional analysis: The market is expected to be dominated by North America region due to early adoption of advanced technologies and presence of major players in the US and Canada. Asia Pacific region is expected to witness fastest growth due to rising internet penetration, ecommerce adoption and growing technology investments in countries like India and China.
Key Takeaways
The global Virtual Shopping Assistant Market is expected to witness high growth.
*Note:
- Source: Coherent Market Insights, Public sources, Desk research
- We have leveraged AI tools to mine information and compile it
Money Singh is a seasoned content writer with over four years of experience in the market research sector. Her expertise spans various industries, including food and beverages, biotechnology, chemical and materials, defense and aerospace, consumer goods, etc.
