AI Revolution: Amazon CEO on Ecommerce Transformation

Nashville (US), Oct 9 (PTI) Artificial Intelligence is leading to a "remarkable transformation" and the transition appears bigger and faster that defining shifts in the past in areas of mobile and social, according to Doug Herrington, CEO, Worldwide Amazon Stores.

Speaking at the 'Delivering the Future 2024' event where Amazon announced a major AI push into multiple areas of ecommerce for the US markets, Herrington said AI infusion and enhancement is not just enabling lower costs and improved quality, but also leading to innovative experiences.

"This is just a remarkable transformation that we are going through...this technology shift...we have been through some before...I would certainly say that the shift to mobile was big and the shift to social was certainly interesting as well but neither one of those came on as big or as fast as the transition to AI," he said during the keynote session.

Amazon on Wednesday made a slew of announcements - ranging from new AI Shopping Guides that make researching products easier for informed purchase decisions, to an AI-powered solution in Amazon vans that simplifies the delivery process for drivers.

Making a strong AI pitch at its flagship `Delivering the Future' event, Amazon said that by early 2025, it will deploy 1,000 electric delivery vans with Vision Assisted Package Retrieval that would assist delivery drivers by automatically identifying items during inventory stow or pick operations.

With Vision Assisted Package Retrieval (VAPR), delivery drivers would no longer have to spend the time they usually take to organise packages by stops, reading labels or manually checking identifiers like customers' name or address - all they would have to do is look for green light projected on the packages, grab the item and go.

Once the van arrives at a delivery location, VAPR will automatically project an illuminated green 'O' on all packages that will be delivered at that stop and a red 'X' on all other packages.

Through an audio and visual cue, VAPR will prompt the driver, confirming it has found the right packages, before the driver needs to enter the cargo area. The technology also removes the need for drivers to use a mobile device throughout the process, an Amazon release said.

The solution cuts down the time and effort for drivers significantly as they go about delivering hundreds of packages to Amazon customers each day.

"VAPR simplifies the delivery process and enables drivers to focus more deeply on providing a great customer experience '? with more accurate deliveries," it said.

Amazon has also simplified product research for buyers, by leveraging generative AI to bring together shopping guidance and product recommendations on multiple product type. `AI Shopping Guide' is rolling out to all US customers across 100 types of products, and more products would be included in coming weeks and months, the company said.

At the event, Amazon also spotlighted next generation of fulfilment centres (smart warehouses) powered by advanced AI and more robotics.

Amazon has introduced technology solutions in all key production areas at Shreveport, Louisiana fulfilment centre site, meaning its employees will work alongside its growing fleet of robotic systems seamlessly in a way that wasn't possible up until now, the company said. PTI MBI

(The PTI journalist was in Nashville at the invitation of Amazon)