The Philippines is home to a diverse and flavourful cuisine, with influences from Malay, Chinese, Spanish, and American cultures. With a range of traditional dishes and modern fusion cuisine, the country offers a unique food and beverage experience.

The food and beverage industry in the Philippines is a growing sector that contributes significantly to the economy. It includes a range of businesses, from small food stalls to multinational corporations. The industry offers various job opportunities, from chefs and waiters to marketing and sales positions.

In this article, we will define food and beverage, food and beverage service, and the different types of services in the industry. We will also provide examples of food and beverage companies in the Philippines.

Further Reading

• 6 Types of Food Business to Start in the Philippines (2023)
• How to Start a Food Cart Business in the Philippines (2023)
• Catering Business – How to Start in The Philippines

What is food and beverage

Food and beverage are any consumable products, such as fruits, vegetables, processed foods, and alcoholic beverages, that are meant for human consumption. The hospitality industry commonly uses this term to refer to the products and services offered in hotels, restaurants, cafes, and other food establishments.

The food and beverage industry is a vital sector of the global economy that creates job opportunities and generates significant revenue. It is subject to various regulations, including food safety laws and alcohol consumption guidelines, to ensure the safety and well-being of consumers.

Food and beverage examples

• Fruits and vegetables: Apples, bananas, carrots, broccoli, etc.
• Meat and poultry: Beef, pork, chicken, etc.
• Seafood: Fish, shrimp, crab, etc.
• Dairy products: Milk, cheese, yoghurt, etc.
• Grains: Rice, bread, pasta, etc.
• Beverages: Coffee, tea, soda, beer, wine, etc.
• Snacks and desserts: Chips, cookies, ice cream, cakes, etc.

These are just a few examples of the countless food and beverage products available in the market. The food and beverage industry is constantly evolving, with new products and trends emerging all the time.

What is food and beverage service

Food and beverage service is the process of preparing, presenting, and serving food and drinks to customers in various settings such as restaurants, hotels, bars, and catering events. It involves a range of tasks, such as taking orders, preparing food and drinks, serving customers, and processing payments.

The quality of food and beverage service directly affects the customer’s dining experience, making it a crucial aspect of the hospitality industry. Providing exceptional service requires attention to detail, effective communication skills, and the ability to work under pressure.

Therefore, understanding the different types of food and beverage services is essential to ensure a positive customer experience and the success of the business.

Further Reading

• How to Set Up Online Food Orders for your Restaurant (2023)
• How to Create Digital Menu for a Restaurant – A guide for 2023

4 types of service in food and beverage

1. Table Service: Table service involves a waiter or waitress taking orders from customers and serving them at their table. This type of service is commonly found in fine dining restaurants.
2. Counter Service: Counter service involves customers ordering and paying for their food and drinks at a counter. This type of service is common in cafes and fast-food restaurants.
3. Self-Service: Self-service involves customers serving themselves from a buffet or display. This type of service is common in hotels and large events.
4. Drive-Thru Service: Drive-thru service involves customers ordering and receiving their food and drinks from a car. This type of service is common in fast-food restaurants.

Food and beverage service examples

• Fine Dining: Fine dining restaurants offer high-end cuisine and a sophisticated dining experience. The service is often formal and requires highly trained staff who can provide personalised attention to each guest.
• Casual Dining: Casual dining service is more relaxed and informal, often featuring a menu of familiar and comforting dishes.
• Buffet: Buffet service involves customers serving themselves from a selection of dishes displayed on a table. This type of service is common in hotels, banquet halls, and large events.
• Café: A café is a casual establishment that serves light meals and drinks. The service is often informal, with customers ordering from a counter or menu and serving themselves.
• Bar: A bar is an establishment that serves alcoholic drinks and light snacks. The service is often informal, with customers ordering from a bartender.

These are just a few examples of the many types of food and beverage services available in the hospitality industry. Each service has its unique features and requirements, and understanding them is crucial to providing excellent service to customers.

Food and beverage companies in the Philippines

The Philippines is home to a thriving food and beverage industry, with many local and international companies operating in the market. Here are some of the top food and beverage companies in the Philippines.

• Jollibee Foods Corporation: Jollibee Foods Corporation is a fast-food chain that operates in the Philippines and other countries. It offers a range of food products, including burgers, chicken, rice meals, and desserts.
• San Miguel Corporation: San Miguel Corporation is a multinational beverage and food company in the Philippines. Its products include beer, hard liquor, and other non-alcoholic beverages.
• Pure Foods Company: This is a subsidiary of San Miguel Corporation that produces meat products such as hotdogs, ham, and canned meat.
• Universal Robina Corporation: Universal Robina Corporation is a leading food and beverage company in the Philippines. Its products include snacks, candies, chocolates, and beverages.
• Max’s Group, Inc.: Max’s Group, Inc. is a holding company that operates a portfolio of restaurant brands in the Philippines. Its brands include Max’s Restaurant, Pancake House, and Yellow Cab Pizza.
• RFM Corporation: RFM is a food and beverage company that produces and distributes various products such as ice cream, bread, and pasta.
• Century Pacific Food, Inc.: This company is involved in the production and distribution of canned meat, seafood, and coconut products.
• Del Monte Philippines, Inc.: Del Monte produces and distributes a range of food products such as canned fruits and vegetables, tomato sauce, and juices.
• Ginebra San Miguel, Inc.: This company produces and distributes various alcoholic beverages such as gin, brandy, and whiskey.
• NutriAsia, Inc.: NutriAsia is a leading food company in the Philippines that produces and distributes various products such as condiments, sauces, and cooking oil.
• Alaska Milk Corporation: Alaska Milk is a company that produces and distributes milk, powdered milk, and other dairy products.

Conclusion

In conclusion, the food and beverage industry in the Philippines is a vibrant and dynamic sector that covers a wide range of products and services. This article has provided a comprehensive overview of the industry, including definitions of food and beverage, food and beverage service, different types of services, and examples of food and beverage companies in the Philippines.

As the Philippines continues to experience growth and development, the food and beverage industry is expected to play a pivotal role in the country’s future. However, starting a food and beverage business in the Philippines requires careful consideration of various factors, including regulations, market trends, and consumer preferences.

If you are keen to establish a food and beverage company in the Philippines, be sure to read up on these helpful articles to guide you through the process.

• 7 Unique Food Business Ideas to Start in the Philippines
• How to Register Your Online Business in the Philippines with BIR and DTI
• How to Sell Food Online (2023): Step by Step Guide

As evident from our recent articles, incorporating AI technology in ecommerce businesses can yield numerous advantages. AI can streamline operations, offer personalised services, and ultimately increase sales.

Therefore, it is no longer optional but essential for retailers to embrace AI adoption in order to sustain growth and stand out in the market. Ecommerce businesses must leverage AI to devise innovative customer engagement strategies, optimise online checkout processes, and implement cost-effective digital commerce practices.

To gain a deeper insight into utilising AI in ecommerce, this guide offers an overview of the key AI applications in the ecommerce landscape.

AI for Ecommerce Use Cases

There are many advantages that businesses can gain by using AI technology, and for a detailed understanding, you can refer to our article on the subject.

The focus of this article is on the practical applications of AI in ecommerce. To provide better clarity on the utilisation of AI in this field, we have highlighted some use cases.

1. More Targeted Recommendations

A strong customer experience is based on personalised recommendations, targeted product offers, and relevant search results. In order to achieve this, there are three main use cases for AI-powered personalised recommendations:

Search

Search and item discovery are crucial components in enhancing the customer shopping experience by helping them find the right product. AI-powered search engines use natural language processing (NLP) to understand the query and present the most relevant search results.

By utilising AI-powered search relevance, ecommerce teams can gain a better understanding of the customer’s intention behind a search term and display the most relevant results.

Advertise

Retailers can deliver targeted advertising and offers based on a customer’s search history, browsing behaviour, and purchase history through machine learning.

By using a recommender function, which takes into account the customer’s browsing and purchase history, machine learning recommender systems can predict the rating a user will assign to a given product.

Better customer data can aid brands in delivering advertising and offers that are highly targeted and can aid in customer acquisition and cart abandonment.

Promote

Product recommendations play a crucial role in boosting product sales and improving ROI. Machine learning models analyse purchasing history and build lookalike customer audiences to provide personalised product recommendations.

Some common techniques include similar products, cross-sell and upsell. Product recommendations add value to retailers by encouraging repeat purchases and increasing the average order value.

2. Predictive Inventory Management

The integration of AI technology benefits the supply chain management and logistics and significantly boosts the efficiency of global supply chain processes. There are two primary use cases for AI in this field:

Demand Forecasting

Forecasting demand accurately is a major challenge in supply chain management due to demand volatility. AI-powered demand forecasting leverages machine learning algorithms to predict and identify changes in consumer demand.

By using historical data, such as pricing and promotions, and associated data like product features and categories, ML algorithms can identify relationships in large datasets. This enables eCommerce teams to recognize demand patterns and forecast future demand fluctuations, ultimately reducing inventory loss, which is essential in inventory management.

Dynamic Pricing

By leveraging on demand forecasting, online businesses can implement dynamic pricing strategies to increase profit. Dynamic pricing allows teams to move away from traditional, static pricing models to those that change in real-time.

Similarly, AI algorithms use historical sales and price data, market demand, external events, and competitor pricing to generate a model based on the input parameters.

3. Creating Product Images at Scale

Product photography is one challenge most business owners face. One of few key reasons is the costs associated with photoshoots and the scale of product catalogues.

To tackle this problem, business owners can utilise generative AI technology that can quickly produce high-quality product images in a variety of settings while still adhering to brand standards.

4. Detailed Product Description

Apart from product images, accurate and detailed product catalogue data is also essential for successful ecommerce. This includes comprehensive attributes displayed on the product detail page, such as product descriptions, size, colour, brand, material, and product taxonomy.

There are two primary use cases that ecommerce companies can focus on to improve their catalogue data:

Creation

Catalogue creation is an excellent starting point for ecommerce businesses that are building new shopping experiences on platforms like social media. By collecting, enhancing, and refreshing product data from various sources such as seller feeds and the public internet, machine learning infrastructure can offer all available products with their associated attributes.

This is especially useful for social commerce, where shopping is natively built into social media platforms, thus enabling new shopping opportunities for customers on existing digital web applications.

Interactive Media

Ecommerce companies can improve the customer experience by incorporating high-quality product images and interactive media such as 360-degree views, videos, and augmented reality (AR) features.

Providing detailed product information through descriptions and visuals is highly valued by customers, as it helps them make informed purchasing decisions. This, in turn, can increase sales and reduce returns and refunds.

5. Improve Customer Service

Delivering exceptional customer service is critical to keep customers happy and foster positive brand sentiment. However, managing a high volume of customer requests across multiple channels can be a daunting task.

Employing live agents can also be an expensive and time-consuming process. To address these challenges, AI-powered chatbots have become an indispensable tool for customer support. Chatbots are virtual assistants that use NLP and conversational AI to provide prompt responses to customer inquiries.

Here are three ways chatbots can help enhance customer service:

Operate 24/7

Chatbots can provide 24/7 support, offer personalised experiences, and free up human agents to handle more complex issues.

Post-sale Support

Chatbots can assist customers in tracking their orders, processing returns and exchanges, and gathering feedback.

Boost Sales

Chatbots can recommend products and remind customers of the items left in their cart, thus reducing cart abandonment.

Conclusion

This guide has outlined the main applications and use cases of AI in eCommerce. With the retail and eCommerce sector constantly evolving, it’s essential to embrace innovation to meet customer demands.

If you’re interested in learning more about AI in ecommerce, check out our blog. We have more articles on this topic that can help you gain a better understanding of this field and the tools available to achieve your goals.

In the world of ecommerce, AI technology revolves around algorithms and machine learning mechanisms that form the foundation for automation, predictive analytics, and more.

As we have discussed in our previous articles, AI offers a multitude of advantages to online businesses. These benefits range from enhancing customer service to mitigating credit card fraud risks, and these are just a few of the many benefits AI is able to provide for any ecommerce business.

This article will focus on the practical and effective ways that ecommerce businesses can achieve if they choose to leverage on AI. So, let’s delve into the details.

Significance of AI in Our Daily Lives

AI is rapidly integrating into various aspects of our daily lives. Think of virtual assistants like Siri and Alexa, these AI-powered assistants can perform a variety of tasks, from setting reminders and making phone calls to controlling smart home devices and providing weather updates. As a result, AI is becoming an increasingly integral part of our daily routines and interactions with technology.

In the world of retail, the COVID-19 pandemic has accelerated the growth of ecommerce and made the ecommerce landscape highly competitive. To stay ahead of the competition and thrive in the digital era, business owners are seeking new ways to grow their business online.

AI is proving to be a game-changer in boosting sales, efficiency, and productivity for ecommerce operations. By driving engagement and interaction with digital touchpoints, AI can help ecommerce businesses to improve their customer experience and make more informed business decisions.

5 Ways to Benefit Your Ecommerce Business Using AI

Implementing AI in your ecommerce website can provide you with a competitive edge and pave the way to success. To help you harness the power of AI, we’ve compiled a list of the top five ways it can benefit your eCommerce business.

By optimising various aspects of your business, such as customer experience and operational efficiency, AI has the potential to transform your online business and give you an edge over your competitors.

1. Streamline Operations with Automation

The majority of online stores are now accessible across multiple channels and available 24/7, making automation an essential component of the eCommerce industry. AI has become a valuable asset for eCommerce business owners, particularly in automating customer support.

By delegating basic customer support requirements, such as answering shipping-related queries, to AI, business owners can save precious time, energy, and resources to focus on more complex requests, and ultimately increase productivity and revenue.

Furthermore, automation helps ecommerce businesses manage and streamline both front-end and back-end workflows by handling repetitive tasks. With the use of AI, ecommerce businesses can automate various processes such as featuring new products across multiple channels, synchronising sales, identifying high-risk transactions, and offering discounts to loyal customers. 

2. Enhance Experience with Personalisation

Personalisation has revolutionised the ecommerce industry by providing customers with a shopping experience tailored to their individual needs, preferences, and tastes. From displaying recently viewed products to creating personalised product lists and running automated email campaigns, personalisation has become a crucial strategy for ecommerce businesses.

With personalised product recommendations, ecommerce stores can take advantage of customers’ impulse buying tendencies and even cross-sell or upsell products at checkout based on their preferred brands and categories. AI can analyse large amounts of data, including click-through rates, browsing history, and purchase behaviour, to provide real-time analytics and optimise the customer experience accordingly.

3. Improve Search Experience with Smarter Search Engines

Customers who rely on the search box when browsing ecommerce websites are more likely to make a purchase compared to those who are just browsing. However, finding the exact item they are looking for can be challenging, even when using relevant keywords.

To address this issue, ecommerce websites have implemented smarter search engine techniques such as “searchandizing” and image search.

Searchandizing incorporates various features, such as faceted search, navigation, autocomplete, recommended product listings, recent searches, and other elements, to improve the search experience whereas image search enables customers to perform a search using an image to find the product closest to it.

4. Scale Support Service with Virtual Assistant

Another method to offer more precise search results is the use of ecommerce virtual assistants (VA). Also known as chatbots, it uses language processing and machine learning technologies to understand customer queries and provide appropriate support.

This technology is now commonplace, with well-known examples including Google Assistant, Amazon’s Alexa, and Apple’s Siri. ecommerce businesses prioritise the use of virtual assistants because they are available 24/7 and can handle inquiries effortlessly. This also increases a business’s scalability since virtual assistants can perform various tasks, including product research, listing, and inventory management. For customers, VA provides quick and easy access to information and assistance.

5. Predict Behaviour with Data for More Targeted Remarketing Techniques

Remarketing is a way for ecommerce businesses to remind their target audience of their brand and products. A retargeting strategy focuses on reaching users who are already customers or have previously visited the website. These customers may have already made a purchase or abandoned their buying journey before completing it.

AI can help an ecommerce business identify each customer’s behavioural pattern based on their purchase history and the most popular or frequently viewed items. This data can be used to bring them back to the ecommerce store.

One such technique is push notifications. It is a powerful retargeting strategy as they are brief and straightforward, so customers are unlikely to become annoyed.

Businesses use AI in their remarketing campaigns because it is a cost-effective and effective strategy. Remarketing ensures that the business remains at the forefront of the customer’s mind, so the next time they shop online, the business will be one of the first they consider.

The Future of Ecommerce is with AI

AI is revolutionising the ecommerce industry by transforming how businesses present and sell products to their customers. With the help of virtual buying assistants, AI offers a highly personalised shopping experience that benefits both retailers and shoppers.

Furthermore, AI technology enables eCommerce stores to identify and analyse consumer behaviour and big data to segment and retarget their customers. Personalised customer experiences are crucial to the success of online businesses, and AI applications can provide insights into future purchasing patterns and recommend products based on browsing habits.

The impact of machine learning and AI is already being felt in the present, and it will undoubtedly transform the eCommerce landscape in the years to come. By leveraging AI and data collected from customers and businesses, eCommerce businesses can make informed decisions, forecast future results, and adjust marketing campaigns accordingly.

It’s time to explore the world of AI to reap the benefits of it and be one step closer to achieving greater heights for your business and staying ahead of the competition!

In our previous article, we discussed the rising popularity of artificial intelligence (AI) in the ecommerce industry. Business owners are recognizing the value of using data and automation to streamline their operations and increase their conversion rates.

However, ecommerce businesses that do not incorporate AI tools, such as chatbots, into their operations are likely missing out on the significant benefits that this technology can offer.

If you’re still unsure about the benefits of using AI in ecommerce, keep reading. In this article, we will explore the advantages of utilising AI tools for ecommerce and provide guidance on how to incorporate this technology into your online business.

Our hope is that this information will convince you of the value of AI tools and encourage you to start utilising them for your ecommerce business.

Benefits of Using AI Tools for Ecommerce

Incorporating AI tools in your ecommerce business can trigger a chain reaction of benefits that work in tandem with one another, resulting in a significant boost to your online store’s profitability and conversion rate.

Here are the following benefits of utilising AI tools in ecommerce:

1. Provide Customised and Engaging Shopping Experience

AI tools can help ecommerce businesses create a personalised shopping experience for customers. By analysing customer data and their behaviour, AI algorithms utilise these insights and provide personalised recommendations such as product suggestions, and customised pricing.

This level of personalisation can help businesses increase customer satisfaction and loyalty, as well as drive sales as it creates a more engaging shopping experience for customers.

2. Optimise Inventory Management

Leveraging AI tools for inventory management optimises the process by analysing sales data, predicting demand, and automating ordering and replenishment processes.

By identifying the products with the highest sales and those that underperform, online store owners can anticipate and pre-plan product demands, increasing efficiency and boosting the store’s performance.

This results in avoiding stock outs, reducing overstocking, and improving overall inventory efficiency, leading to significant time and cost savings for the business.

3. Enhance Customer Service

AI Tools, such as chatbots and virtual assistants, enable ecommerce businesses to offer 24/7 customer support, addressing common questions and resolving issues in real-time. This results in enhanced customer service and reduced response times, leading to increased customer satisfaction and retention rates.

Additionally, replacing human staff with AI for basic tasks helps businesses to save on overhead costs.

4. Manage Credit Card Fraud Risk

With the assistance of AI tools, ecommerce store owners can guarantee secure online payments by utilising machine learning technologies to identify and comprehend potential fraudulent credit card transactions.

5. Offer Best Pricing

Online stores can leverage AI-based pricing tools to optimise their product prices to generate maximum sales. These intelligent tools can also forecast future pricing trends by analysing several key factors such as inventory levels, demand, and supply patterns.

How AI Tools Can Enhance the Functionality of Your Ecommerce Store

Now that you have learned about the benefits of utilising AI tools, it’s essential to understand how they can elevate your ecommerce store’s functionality and enhance overall performance.

And here are some ways in which AI tools can enhance your store’s functionality:

Improve Responsiveness

Smart widgets such as chatbots can improve customer interactions and user experience.

Search Beyond Keywords

Visual search capabilities that enable shoppers to find products or similar items by taking a picture on their phones, with the AI tool analysing colour, texture, shape, and other relevant details. 

Digitalise Try-ons (Fittings)

Virtual try-on features that allow customers to virtually test out products. For instance, an eyewear shop may use an AI tool that allows potential customers to visualise how they would look wearing a specific eye frame they have selected.

AI Tools For Ecommerce Examples

Congratulations on reaching this section of the article. By now, you should be convinced of the significant benefits that AI tools can bring to your ecommerce business.

If you’re wondering what the next steps are after discovering the advantages of AI tools, we have compiled a list of various AI tools that cater to the diverse needs of your ecommerce business. Let’s take a closer look at them.

Personalisation AI Tools

Clerk.io – a personalisation tool that uses a tailored algorithm to meet the needs of ecommerce stores. This tool is able to index the full product range and function and connect these products with people.

Clarifai – This tool is able to optimise product search and discovery to deliver tailored product recommendations to customers. With similar product suggestions, it can help to improve conversion rates, increase basket size and also reduce bounce rates.

Customer Service AI Tools

Inbenta – This AI-powered platform offers natural language processing, machine learning, and chatbot capabilities to enhance customer service. Their patented Neuro-Symbolic AI 4-in-1 platform enables interactions with customers, providing optimal answers to even the most complex questions.

Facebook Messenger – This widget allows ecommerce stores to set up automated replies, product suggestions, order updates, and customer service inquiries. By automating these interactions, ecommerce stores can streamline their communication with customers and improve the overall shopping experience.

Inventory Management AI Tools

Klevu – This tool is designed to connect shoppers with products they intend to buy, enhancing their search and product discovery journey by leveraging customer intent data. By doing so, Klevu’s platform helps to improve conversion rates and increase revenue for ecommerce businesses.

InData Labs – An AI-powered image recognition tool that enables ecommerce businesses to tag and organise their product images, thereby improving search functionality. With the help of custom image recognition, InData Labs can create tailored solutions to detect, recognise, and identify objects from raw images, leading to improved product classification.

Email Marketing AI Tools

Bluecore – This AI platform helps ecommerce businesses to personalise their email campaigns and product recommendations. By leveraging retail data, the platform creates powerful one-to-one campaigns that enable businesses to communicate with shoppers as soon as they land on their site. 

Flowrite – This AI-powered email writer leverages your input (typically a brief sentence or two) to produce custom and personalised messages. Its one-click generator can quickly create emails with the option to develop your own intelligent templates.

Visual Search AI Tool

ViSenze – An AI-powered tool that enhances the product search experience for your ecommerce store. By utilising visual AI and rich catalogue data, it enables customers to easily find their desired product, thus reducing the likelihood of them leaving your store empty-handed.

Competitive Analysis AI Tool

PriSync – A tool that enables eCommerce store owners to discover their competitors’ pricing strategies and profit margins, allowing them to boost their sales and revenue.

Customer Behaviour AI Tool

Namogoo – An AI-powered platform that uses machine learning to gain a deep understanding of customers and deliver personalised promotions. It also manages coupons and price-checking extensions, preventing competitors from diverting customers and other similar activities.

AI Ecommerce Is The Future

There are numerous benefits of AI tools for ecommerce businesses, including improving personalisation, optimising operations, and driving sales. AI can also aid online business owners in making accurate sales predictions to enhance customer support.

By taking advantage of AI, ecommerce businesses can outperform their competitors in a fiercely competitive market, providing their customers with a more efficient and hassle-free shopping experience.

It’s time to integrate AI tools into your ecommerce business and reap the benefits they offer!

In the world of ecommerce, it’s becoming increasingly common for businesses to experiment with AI. With competition at an all-time high, ecommerce owners must continuously seek out new ways to differentiate themselves from the rest of the pack.

One technique that has recently gained popularity is the use of chatbots. It’s predicted that ecommerce transactions conducted via chatbots will reach a staggering $112 billion by 2023. By utilising AI and natural language processing (NLP), chatbots can interact with customers in real-time, providing immediate assistance that’s proven to be vital in boosting sales and improving customer experience.

In this article, we’ll delve into what AI chatbots are, and how they can benefit ecommerce businesses by driving sales and keeping customers coming back for more.

What is Ecommerce Chatbots

Ecommerce chatbots are computer programs or technology that can engage with online users in real-time. These chatbots can provide a range of services, including customer support, product recommendations and gathering feedback.

Essentially, there are three types of ecommerce chatbot platforms available in the market today:

AI-driven Chatbots

This type of chatbot uses NLP as well as conversational AI to replicate human behaviour and speech patterns.

Rule-based Chatbots

A rule-based chatbot is able to provide predefined answers to common user questions such as “are your prices inclusive of tax”

Hybrid Chatbots

A hybrid chatbot is basically a combination of AI and rule-based.

A common example of ecommerce chatbots are your messenger bots, that are integrated with social media platforms such as Facebook Messenger and WhatsApp. This enables retailers to provide omnichannel shopping experiences for their customers.

Why Ecommerce Chatbot is Beneficial for Your Online Business

Ecommerce chatbots are a valuable tool for improving website functionality and enhancing user experience. The specific benefits of chatbots depend on how they’re implemented and utilised.

For instance, ecommerce chatbots can streamline the ordering process for customers and address basic troubleshooting issues, which can save business owners valuable time and money.

By automating tasks that were once handled exclusively by human staff, ecommerce chatbots powered by AI can be a game changer for businesses. To gain a deeper understanding of how AI technology can benefit your business, be sure to read this article.

Apart from streamlining the ordering process, here are some other ways an ecommerce chatbot can improve your online business.

1. Respond to User Queries

Ecommerce chatbots are your best employee because they operate 24/7 and with their wealth of data and knowledge, they are capable of addressing customers’ questions almost instantly while also guiding them through the user journey if necessary.

By outsourcing basic routine tasks such as answering FAQs to chatbots, business owners  can focus on delivering personalised customer service for more complex requests. This is greatly appreciated by customers, boosting customer satisfaction and loyalty. 

Not only that, having a chatbot readily available at all times eliminates the need for customers to wait for assistance, thus improving their overall experience.

2. Increase Customer Engagement

Ecommerce chatbots provide customers with an interactive experience since they can answer questions, offer information, and recommend new products or services, at any given time of the day.

In the fast-paced ecommerce world, being available with instant replies is crucial for success because customers expect quick responses. This is especially important for businesses serving customers from different parts of the world, where time zones can be an issue.

For instance, a customer may have a question about shipping before making a purchase, but if your business is in a different time zone and lacks live support, the customer may turn to a competitor who can address their query instantly.

Not just giving instant replies, ecommerce chatbots can also do the following to increase customer engagement to boost sales:

• Ping customers asking if they need any help
• Make suggestions based on historical data
• Assist them on the purchase journey
• Recommend similar products or upsell/cross-sell

3. Retargeting

Cart abandonment is a persistent issue in online shopping with a staggering rate of 69.77%, as reported by Baymard Institute. This is a major concern for e-commerce businesses, and one of the contributing factors is the delay in addressing customer queries as discussed above.

Thankfully, ecommerce chatbots can be a solution to this problem by providing quick responses to customer product queries and assisting in informed purchasing decisions. Furthermore, chatbots can send reminders to returning customers who left items in their cart, increasing the chances of a sale.

To further entice customers to complete their purchase, ecommerce chatbots can be programmed to offer discount codes for abandoned items in the shopping cart, boosting sales and reducing cart abandonment rates.

4. After Sales Support

Providing after sales support is essential for building trust and loyalty with customers, which can lead to repeat purchases and increased lifetime value (LTV).

Ecommerce chatbots excel in this area, as they are always available to assist customers and address a wide range of after-sales queries, such as order problems, shipping delays, refunds, and returns.

5. Collect Customer Data and Feedback

Finally, ecommerce chatbots are not only great at answering customer queries (instantly) but are also able to collect a wealth of data

With this data, they are able to analyse customer behaviour, engagement, and interactions to provide valuable insights into what customers value and what they really want. 

Business owners can use these insights to improve their website and customer experience, which is key to improving conversion rates.

3 Uses Cases for Ecommerce Chabots

In a nutshell, ecommerce chatbots can be used for three different purposes:

1. Support

Ecommerce chatbots provide efficient customer support and are crucial for building a lasting relationship with customers, boosting conversion rates, and increasing repeat purchases.

Traditional customer support channels like email and phone can be time-consuming, causing frustration for customers who have to wait to speak to a representative. However, ecommerce chatbots are available 24/7 and can quickly address customer queries and issues without the need for long wait times.

With ecommerce chatbots, there are no operating hours, meaning customers can receive timely and effective post-sales support whenever they need it, resulting in increased satisfaction and loyalty.

2. Transact

Ecommerce chatbots engage with customers to understand their requirements and offer relevant product recommendations. They provide answers to customer queries, FAQs, and user reviews, and can actively persuade customers to make a purchase.

Additionally, ecommerce chatbots can be programmed to upsell and cross-sell by suggesting other relevant products, while also offering discount codes to returning customers to encourage them to make a purchase.

3. Obtain

Ecommerce chatbots can help to generate leads. By using intelligent prompts and acquiring data through it, they are able to engage customers who are passive and convert them into potential customers on the online webstore, app, or other digital touchpoints.

Many customers tend to look for deals and discounts while shopping online. This is where ecommerce chatbots come into play. They can alert potential customers about any available discounts or promotional offers, provide them with discount codes or coupons, or redirect them to relevant sections of the website.

You Snooze, You Lose

With that much potential, it is without a doubt that ecommerce businesses that fail to utilise chatbots in their operations will miss out on the numerous benefits that come with this technology.

At Shopboxo, our platform makes it easy to set up Facebook Messenger Automation, providing round-the-clock customer service. If you’re an online store owner on Shopboxo and want to learn how to set up Facebook Messenger Automation, our step-by-step guide is here to help.

Artificial Intelligence (AI) may bring to mind science fiction and futuristic robots, but the truth is that most people encounter AI technology on a daily basis (ChatGPT is a good example of AI in action).

Over the past few years, AI has been changing the face of business, particularly in the realm of ecommerce. An increasing number of businesses, regardless of their size, are adopting AI-powered ecommerce platforms to streamline their operations. 

According to Gartner, the implementation of AI has grown by a remarkable 270 percent among enterprises over the past four years. This data demonstrates that AI ecommerce is poised to revolutionise the online shopping industry.

To understand the impact it can have on your storefront, let’s explore what AI ecommerce is, as well as its potential benefits and impact on your ecommerce business.

What is AI Ecommerce

The term AI encompasses a broad range of technologies, including data mining, natural language processing, and machine learning. When applied to ecommerce, AI is used to streamline operations through automation and personalised communication with potential customers.

For example, data mining is a technique used to collect and analyse vast amounts of data, such as customer behaviour, sales patterns, and product information. This information can then be leveraged to create personalised recommendations, which is considered a shopping experience enhancement that can improve customer service.

By embracing AI ecommerce, businesses of all sizes can gain a competitive edge, increase sales, and provide top-notch customer service to their customers.

Advantages of AI Ecommerce

Speed

AI is capable of executing the same tasks performed by humans, but better and faster.

No Human Error

Apart from speed, AI is immune to fatigue, sleepiness or distraction, making it highly effective when handling vast amounts of data. This minimises the occurrence of errors, which are inevitable in human-led operations.

How Can AI Ecommerce Benefit your Business

Enhanced Targeting in Marketing and Advertising

Utilising big data, such as purchase histories and buying patterns, allows you to pinpoint and identify what your customers really want. This knowledge enables you to deliver tailored messaging that will strongly resonate with them, setting your business apart from competitors.

Furthermore, implementing personalised user experiences can significantly increase conversion rates, providing a positive impact on your business.

Improved Customer Engagement and Retention

A 5% increase in customer retention can increase company revenue by 25-95%. By implementing personalised messaging, you can improve customer retention rates, leading to a substantial increase in revenue for your business.

Streamlined Operations with Automation

Leveraging AI can prove to be a valuable asset for automating repetitive tasks that are essential to the operations of your online store. AI can automate tasks like email campaigns and providing basic customer support, freeing up your time to concentrate on other crucial aspects of your business.

Usage of AI Ecommerce Examples

There are numerous applications of AI in ecommerce, and you may already be familiar with several of them but here are six of the most prevalent examples:

1. Personalisation

As mentioned previously, AI is becoming increasingly important in providing personalised product recommendations that are based on customer behaviour.

Business owners can gather data, including purchase histories, and use it to customise the shopping experience for their customers. For example, automated emails can be sent to customers who have abandoned items in their cart.

2. Chatbots

Automated emails are not the only way to improve customer service. AI offers various features that can enhance the overall customer experience.

For instance, virtual assistants like chatbots can handle basic requests and troubleshooting, while live support agents can tackle more complex issues. This leads to greater efficiency for both the customer and the business, resulting in a better shopping experience overall.

3. Predictive Logistics

AI is a powerful tool in the field of logistics too. By gathering real-time information, the technology can accurately predict transit times, demand levels, and potential shipment delays.

For instance, when customers receive a tracking number for their order, an estimated date of arrival can be provided based on historical data. This gives customers a rough idea of when they can expect their package, which is often greatly appreciated.

4. Demand Forecasting

While forecasting is not a new concept, AI allows businesses to make more accurate predictions based on collected data. Additionally, AI can offer inventory advice and procurement recommendations, while also providing insights on industry trends.

This enables businesses to adjust their plans accordingly to achieve optimal performance that can minimise losses while maximising profits.

5. Dynamic Pricing

Again with data, AI is capable of offering pricing suggestions based on supply and demand. It can even predict when and which products should be discounted, while also determining the minimum discount needed to close a sale.

AI Ecommerce is the Future

AI in ecommerce can not only improve the efficiency of your business operations but also increase conversions.

To deliver the best shopping experience on your ecommerce website, consider exploring the many benefits of  AI and machine learning. By leveraging customer and business data, these tools can help you create a successful plan for the future that will set your online business ahead of competitors.

Setting up an online store in the Philippines has never been more tempting than it is today. With more and more Filipinos turning to online shopping to buy and sell goods (thanks to COVID-19 pandemic), the country’s ecommerce industry is growing at a rapid pace. According to Statista, revenue in the ecommerce market is projected to reach US$18.16bn in 2023.

With such a lucrative market, it only entices more businesses to venture into the online space. And that can only mean one thing – competition. So to help you stand out against competition, we have a guide on how to sell online in the Philippines.

But in this article, we’ll walk you through everything you need to know to set up your own online store in the Philippines. By following our guide, you can ensure that you take the correct initial steps to prevent wasting time and money in the early stages.

Step 1: Choose a platform

The initial step towards launching an online store is to pick a platform that can either host your website or enable you to upload your inventory of products for sale. Without a platform, there’s no way to showcase your merchandise online.

There are various types of platforms to choose from, such as ecommerce platforms like Magento, website builders like Shopify, or social media accounts like Instagram. These platforms entail costs in different ways, so selecting the appropriate platform primarily depends on your budget.

And if you decide to utilise the website builder option, there are free platforms available on the market such as Shopboxo, which allows you to create an online store without any cost.

Each platform has its own advantages and disadvantages, so it’s important to do your research and choose the one that best suits your online business plans and goals.

Step 2: Register your business

This second step is an important step and should not be overlooked. To operate a legitimate online store in the Philippines, you need to register your business with the appropriate government agencies.

So before launching your online business, you need to ensure that it is legally permissible to operate and that you also possess the necessary permits and licences. Otherwise, your online business will be in a vulnerable position and at risk of facing potential sanctions including fines, penalties and business closure.

To help you save time on researching the requirements, here’s the list of government offices you need to register with:  

• Department of Trade and Industry (DTI) – For sole proprietors, registering the business name at any DTI office is mandatory.

   

• Securities and Exchange Commission (SEC) – Partnerships and corporations must register at the SEC Building in EDSA Greenhills.

   

• Local government – You also require a mayor’s permit or municipal licence from the city hall or municipal hall in your location.

   

• Bureau of Internal Revenue (BIR) – Regardless of whether all your business dealings are online, BIR registration is still mandatory. After registration, you’ll receive a business tax identification number (TIN) and authorization to issue official receipts and invoices.

   

• Pag-IBIG, PhilHealth, and SSS – If you hire employees for your online business, you must also register as an employer with these government agencies.

Step 3: Set up payment methods

Anything that revolves around selling involves payment, including online. Hence, before you can accept payments from customers, you’ll need to first set up payment methods on your website. Popular options in the Philippines include credit cards, PayPal, E-wallets and online banking.

When choosing your payment methods, consider these two key factors:

• Convenience – Way of paying and receiving payments should be in the most convenient manner for both your customers and your business.

   

• Security – All modes of payment should be secure. Without encryption, you are putting both your customers and your online business at risk and that can significantly impact your sales conversion.

There is good news if you are using Shopboxo as your ecommerce platform. The platform comes pre-integrated with e-wallets like GrabPay, GCash and PayMaya. Simply choose your preferred payment gateway and your store is ready to process payments. Visit our payment page to learn more.

Step 4: Establish your delivery methods

Choosing the right delivery method is crucial for any online business. Depending on the scale of your operations, you can opt for meet-ups or engage a courier service or third-party logistics (3PL) provider.

For small, home-based businesses, arranging for a common collection point may be more practical. But if you’re managing a larger volume of orders, outsourcing fulfilment to a 3PL can help you focus on your core business activities.

If you’re using Shopboxo to set up your online store, the platform is pre-integrated with delivery partners like NinjaVan. This simplifies the entire process, allowing you to manage everything from one platform.

Regardless of the delivery method you choose, timely delivery should always be a top priority. In the fiercely competitive e-commerce landscape, delays can hurt your bottom line and your reputation. Customers expect speedy and reliable shipping, so it’s important to choose the most efficient and cost-effective options available.

Step 5: Create product listings

Once your ecommerce website is fully operational, including integrated payment and delivery methods, (and with your business registered), you can begin creating product listings for your online store.

Provide your potential customers with detailed descriptions and pricing information to ensure they understand what they are purchasing. Additionally, use high-quality images to showcase your products in great detail. If you plan on starting an online food business, we have valuable tips on food photography that can help you improve your business.

If your product inventory includes multiple variants or different types, make sure to categorise them accordingly. This will simplify the search process for customers and help them locate what they are searching for.

One benefit of using Shopboxo is its ability to facilitate mass product uploads and edits, which saves valuable time in managing your product inventory. The platform also allows you to quickly add or categorise variants with just a few clicks.

Step 6: Market your online store

After successfully uploading all your products to your online store, it’s time to shift your focus to marketing and attract customers to your website.

There are various marketing strategies to explore, but at the initial stage of your business, when you are looking to limit your expenses, you can opt for cheaper alternatives such as social media marketing, email marketing, and potentially paid advertising as well.

To maximise your marketing efforts, start by identifying your target audience so that you can create more targeted marketing campaigns that resonate with them. This will help you achieve better results and increase your chances of success.

Conclusion

To set up an online store in the Philippines, it is essential to plan and execute the process with caution. Adhering to these six steps can help you mitigate any unnecessary risks to your online website and prevent wasting time and money.

For those who have already registered with Shopboxo and wish to create their online store, our quick guide outlines three straightforward steps to assist you in the setup process.

As a new member of Shopboxo, you may be eager to know how to proceed with the next step, which is to create and configure your online storefront. The process of setting up your online store on Shopboxo is uncomplicated and can be completed within minutes. Here’s a brief guide on how to do it in three quick steps.

Step 1: Add all your products to Shopboxo App

To enhance your likelihood of receiving more orders from customers, we recommend that you expand your online store’s product offerings by adding additional items.

Step 2: Fill out your Business details and Contact information

Click on the Store tab and select Business Details.

In this section, you can include your Shop name, choose your Shop’s industry, and provide your address and email by accessing the editing feature. Your email address will be used for account verification purposes.

Moreover, we recommend including contact information and social media links, which will be displayed on the Home page for easy accessibility.

Step 3: Design your website

To access the design options for your store, click on the Store tab and choose Design. For more detailed guidance on designing your store, kindly refer to our comprehensive design guide.

Your online store is now set up and ready to go! You may copy the store’s URL and share it with others. To do so, simply navigate to the Home tab and click on the Share button.

For additional information on configuring your payment and delivery methods and preparing to sell your first product on Shopboxo, please visit our help centre.

In the competitive world of ecommerce, increasing sales is crucial for business success. There are many levers that you can pull and one of it is through cross-selling.

According to Hubspot, 74% of salespeople who engage in cross-selling claim that it has the potential to increase their revenue by up to 30%.

But before we dive into the topic, it’s important to first understand the terminology of it.

What is cross-selling and how does it work?

Cross-selling refers to the practice of encouraging the purchase of additional products in conjunction with the primary product. For example, if a customer buys a new camera, a cross-sell offer could be a camera bag or memory card.

The goal of cross-selling is to increase the overall value or average order value (AOV) of the customer’s purchase and improve customer satisfaction.

Cross-selling examples

Cross-selling is a common practice that occurs on a daily basis, often without customers even realising it. Other than the camera selling example cited above, here are a few more examples.

Example 1: Telecom Shop

The selections of an online mobile phone shop includes not only mobile phone devices but also mobile phone accessories such as phone cases, wireless headphones and screen protectors, which will be offered to the customer as part of the cross-selling journey.

Example 2: Fast Food Restaurant

When ordering a burger online, there will be add-ons such as fries and drinks to complete the meal. This is considered cross-selling too that can help your customers to enjoy a more satisfying meal and experience.

Example 3: Electronics Retailer

When you are suggesting your buyers to opt in for an insurance plan in addition to their laptop purchase.

Example of cross-selling strategies

Now that you understand how cross-selling works, you need to also know how to integrate it into your ecommerce selling strategy. There are several ways to cross-sell products on your ecommerce website.

Related Products

Show customers related products that complement the item they are viewing. For example, if a customer is looking at a shirt, you could show them pants or shoes that match to complete the outfit.

Accessories

Offer customers accessories that complement the product they are interested in. For example, if a customer is interested in buying a new phone, you could offer them a phone case or screen protector.

Bundles

Create bundles of products that work well together and offer them at a discounted price. For example, you could offer a camera and lens bundle at a lower price than buying them separately.

Cross-selling vs. Up-selling: What’s the difference?

Cross-selling is often confused with up-selling, but they are different strategies. Up-selling involves offering customers a more expensive and upgraded version of the product they are interested in. 

In contrast, cross-selling involves offering additional products that complement the customer’s original purchase.

Referring back to the aforementioned cross-selling examples. The selling products would be different if we were to up-sell instead.

Example 1: Telecom Shop

Offers a better version of the mobile device. For example, offering iPhone 14 Pro Max instead of an iPhone 14 Pro.

Example 2: Fast Food Restaurant

Take up-selling here is to enhance the burger. Instead of adding fries and drinks to complement the burger, upselling will involve adding cheese or extra patty to the burger.

Example 3: Electronics Retailer

Apart from selling a better laptop model, upgrading the specs such as increasing RAM memory can be considered part of the up-sell.

Why is cross-selling important?

If you’re looking to increase your online business’s revenue, cross-selling is a highly effective strategy to consider. For example, recommending a $5 add-on product for every $10 item added to a cart could increase monthly revenue by $1,750 if the campaign achieves a 35% success rate.

By contrast, focusing on expensive optimisation campaigns for new customer acquisition can be time-consuming and costly. In the same scenario, after a lengthy optimisation campaign, you might only see a 10% lift in overall sales, or an extra $1000 per month.

While cross-selling can be highly effective, it’s not as simple as merely offering more products to your customers. It requires a thoughtful strategy and implementation to achieve success.

What are the benefits of cross-selling

Cross-selling can provide several benefits for your ecommerce business.

Increased Revenue: Increase the total value of a customer’s purchase, leading to increased revenue for your business.

Improved Customer Satisfaction: By offering additional products that enhance the customer’s original purchase, you can improve their overall satisfaction with their shopping experience.

Better Inventory Management: Cross-selling allows you to move inventory that might otherwise be difficult to sell on its own.

How to implement cross-selling in your ecommerce business

To successfully implement cross-selling on your ecommerce website, you should take the following steps.

Analyse Your Data: Look at your sales data to identify products that are frequently purchased together. This can help you identify which products to cross-sell and which customers to target.

Segment Your Customers: Segment your customers based on their buying habits, preferences, and demographics. This will help you offer personalised cross-sell recommendations that are relevant to their interests.

Offer Relevant Products: Only offer cross-sell products that are relevant to the customer’s original purchase. If the products are not related, the customer may feel overwhelmed and be less likely to make an additional purchase.

Optimise Your Website: Optimise your website to make cross-selling recommendations more visible and attractive to customers. Use eye-catching images and descriptions to highlight the benefits of each product.

Conclusion

Cross-selling is an effective strategy for increasing revenue and improving customer satisfaction in the competitive world of ecommerce. By offering additional products that complement the customer’s original purchase, businesses can increase the total value of a customer’s purchase and move inventory that might be difficult to sell on its own. 

Implementing cross-selling requires a thoughtful strategy, including analysing sales data, segmenting customers, offering relevant products, and optimising the website. So, if you’re looking to boost your ecommerce sales, consider implementing cross-selling as a part of your selling strategy.

For online restaurant owners, maximise your orders with Shopboxo’s cross-selling feature. To learn how to implement cross-selling groups into your online restaurant and boost your revenue, visit our support page for more information.

As an online store owner, you know that it’s essential to find ways to stand out from the crowd and engage with your customers. One powerful tool that can help you achieve this is Facebook Messenger automation.

Why Facebook Messenger Automation

Facebook Messenger automation allows you to be available to your customers 24/7. This is a significant advantage over traditional customer service channels, as Messenger is always accessible, meaning you can respond to customer queries and concerns quickly and efficiently.

By using a chatbot, you can provide customers with instant responses to their queries, while also helping them find the products they’re looking for. This improves both your customer service and users’ shopping experience.

Personalisation is another essential aspect of Facebook Messenger automation. With customer data and preferences, you can tailor your responses to meet your customers’ needs and provide them with a more personalised experience. This can help you stand out from your competitors and create a strong brand identity.

Finally, Facebook Messenger automation can help to increase sales by streamlining the checkout process. Chatbots can guide customers throughout the purchasing flow, which potentially assist in achieving a higher conversion rate and ultimately increase your revenue.

So if you’re eager to implement Facebook Messenger automation and want to set up instant replies for your online store but aren’t sure how to get started, Shopboxo is here to assist. Keep reading for a comprehensive step-by-step guide on configuring instant replies using Facebook Messenger automation on your e-commerce site.

Facebook Messenger Automation Set Up

To set up Instant reply, please open your Facebook Business Suite > navigate to Inbox > select Automations

Click on Create Automation

Then select Frequently Asked Questions and click Edit automation

Click on Add another question and proceed

Now you need add your first question and answer for the question.
For example:

ProTip: click on this button to personalize your message. Include customer name or your website.

Add all your question options and hit Save changes

Now your Facebook page have automated responses. Just make sure the status is active.

You can also use this for your Instagram

This Facebook Messenger Automation Guide is also available in our Help Center, where you can find more guides to help you set up your online store.