The global luxury fashion brand, Burberry has integrated artificial intelligence (AI) in its online shopping experience to create personalized, interactive, and immersive shopping experiences for its customers.
In this blog, we take a look at Burberry’s AI shopping experience, the many ways in which the brand leverages AI, and how you can apply some of these AI strategies in your Shopify store.
TL; DR
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Burberry’s AI shopping experience includes AR, social integration, gamification, AI chatbots, and QR codes, among others.
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The features include visual search, predictive analytics, virtual styling assistants, AI-powered loyalty program, dynamic content, and fraud detection.
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The AI capabilities lead to increased engagement, reduced returns, improved customer satisfaction, and highly personalized shopping experiences across digital and physical channels.
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Shopify brands can implement AI-powered capabilities with the help of AI retainer agencies.
Burberry’s AI and technology: An overview
For years, Burberry has been at the forefront of technology and AI. In 2006, the British luxury brand started reinventing itself as an end-to-end digital enterprise, using AI and data to increase sales and customer satisfaction.
From using Snapchat’s Snapcode feature to launching a dedicated channel on Apple Music, to using AI for product development and production, too, Burberry has always been a tech-led luxury brand.
Burberry’s AI shopping experience: A breakdown of AI strategies
From machine learning (ML) to automation, and augmented reality (AR) to virtual image recognition, AI technologies offer various ways to enhance online shopping for customers. Alongside, AI also helps brands improve performance, drive conversions, and stay ahead in the competitive digital commerce market. Here are 11 lessons from Burberry’s AI shopping experience.
1. Augmented reality
Burberry has implemented augmented reality (AR) in its shopping experience. Customers can visualize products in 3D format before making purchases. This not only makes the online shopping experience more interesting and interactive, it also removes doubts and uncertainty that are often a part of online shopping.
For example, with the AR technology, customers can see how a Burberry blazer looks on them or view the details of a handbag’s buckle.
How has this helped the brand?
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Increased engagement metrics
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Reduced product returns
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Customers make decisions easily
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Reduced environmental impact because of fewer returns
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Improved customer satisfaction
2. Social features
Burberry has partnered with WeChat for its social retail strategy. The app helps the brand create integrated online and offline shopping experiences. The brand uses WeChat programs for marketing, loyalty rewards, and in-store interactions, such as providing product information, booking appointments, access exclusive content personalized for them, and accessing limited-edition collections.
This feature transforms transactional experiences into engaging shopping journeys. Moreover, AI algorithms continuously improve its understanding of customers to deliver more personalized and relevant content.
3. Gamification
Burberry has implemented an intelligent social currency system, a rewards framework. It tracks customers’ engagement online and offline (in store). For example, it tracks when customers are engaging with the brand on Instagram, on the website, or visiting their store.
The AI-powered system collects all the data, and creates a unified customer profile that helps with personalization based on individual customer behavior patterns. This feature drives ongoing engagement.
Here’s what the AI-based system does:
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Recognizes loyalty customers based on their purchase patterns
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Identifies frequent browsers
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Observes customers’ style preferences
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Automatically adjusts rewards
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Creates personalized experiences
4. Conversational commerce
Burberry’s AI chatbots on its social platforms, particularly on Facebook Messenger. This helps the brand constantly stay in touch with customers. The AI chatbot uses natural language processing and machine learning (ML) to provide personalized assistance to customers.
Here’s how it helps Burberry’s AI shopping experience:
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Sends notification about new arrivals that match their style preferences
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Offer styling advice based on previous purchases
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Schedule appointments at Burberry stores
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Answer queries about products, etc.
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Help with transactions and payment related queries
5. QR codes
Burberry uses QR codes for contactless interaction and sharing information about their products. Products in Burberry physical stores have QR codes. Customers can scan these codes and read product information.
The AI system syncs information from customers exploring QR codes and browsing online and influences what customers see, product recommendations based on this information. This seamless data sync provides a highly personalized experience to customers.
QR codes help Burberry’s AI shopping experience:
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Share detailed product information
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Styling suggestions
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User-generated content
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Virtual try-on experiences
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Behind-the-scenes content
6. Predictive analytics for inventory management
Burberry optimizes inventory management using AI-powered predictive analytics. It helps the brand predict demand based on ML algorithms that analyze sales patterns, social media trends, seasonal sales patterns, etc.
This also helps the brand’s online storefront. AI determines which products to highlight for individual users, optimizes pricing strategies, highlights products that are trending, and allocates limited-edition pieces based on market patterns.
How does this help?
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Improves supply chain efficiency
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Reduces waste
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Customers find products matching their style
7. Visual search and image recognition
AI-based visual search makes product discovery easy for customers. And that’s what Burberry’s AI shopping experience offers. Burberry has integrated visual search into its website. Customers can upload images and find matching products from Burberry. For example, if a person sees a Burberry product somewhere, they can simply photograph it and AI suggests similar products.
Using computer vision and deep learning, the AI system recognizes patterns, colors, textures, and styles. For instance, this AI technology is useful for customers searching for Burberry’s signature check pattern and trench coats.
8. ML-powered digital loyalty programs
Burberry takes its loyalty program beyond traditional points structure. The brand uses ML algorithms to create personalized reward structures.
Burberry’s AI system analyzes customer data beyond the basic purchase history, including factors such as, social media advocacy, brand mentions, event attendance and engagement, etc.
The ML system also collects data about content interaction, product reviews, feedback, referrals and community building. These insights help the brand provide personalized rewards, such as early access to collections, behind-the-scenes content, and personal shopping experiences.
9. Virtual styling assistants
For luxury shoppers, fit and styling are essential factors, and more so when shopping online. That’s where Burberry’s AI-powered virtual styling assistants come in. The feature provides personalized recommendations to customers based on their body measurements, styling preferences, and occasion.
So how does the AI system work? The fit prediction system uses ML that provides results based on thousands of data points. It suggests sizes, and reduces guesswork. For instance, customers input their measurements once and the AI systems remember the information, and automatically suggest appropriate sizes.
10. Fraud detection and security
Burberry’s AI shopping experience is not just about product discovery and easy transactions. Burberry also integrates AI-powered fraud detection systems to protect the brand and its customers. Its ML systems analyze purchasing patterns, flag suspicious activity in real-time, and ensure there’s no disruption to other customers shopping online.
11. Dynamic content generation
Burberry has implemented AI-powered dynamic content generation and A/B testing. The system tests different layouts, product presentations, and messaging. The AI system conducts A/B testing to understand which format has better results.
For example, different sets of customers visiting Burberry’s website at the same time might see completely different layouts. One might highlight heritage pieces and the other contemporary pieces based on what AI predicts for the customer.
12. Tech collaborations
Burberry collaborates with technology partners, such as Apple, Google, and Tencent to create real-time emotional connections with customers. These technology partners provide access to AI tools that support the brand’s strategies.
For instance, sentimental analysis of customer feedback across platforms, real-time adjustment of marketing messages based on cultural moments, personalized video content that adapts to viewer preferences, and voice commerce through smart speakers and virtual assistants.
Wrapping up: How to implement Burberry-like AI shopping experience in your Shopify store?
Burberry’s AI implementation across processes, both customer-facing, and in the backend, truly transforms the way customers shop luxury products. Blending AR, VR, automation, and personalization, Burberry’s digital channels offer many lessons that Shopify brands can adopt and implement.
If you’re looking to implement AI capabilities in your Shopify store, the best way to get started is to hire a Shopify retainer agency.
Reach out to XgenTech’s AI experts to help you get started. From initial assessment to implementation to managing your AI systems, our AI teams are here to help.
