CONSUMER PERCEPTION TOWARDS AI ENABLED

SHOPPING

Submitted in partial fulfillment of the requirements

for the award of the degree of

Bachelor of Business Administration (BBA)

To

Guru Gobind Singh Indraprastha University, Delhi

Project Guide: Submitted By: Lakshay Asija

Dr. Renu Sharma Roll Number: 07390301720

Professor

Institute of Innovation in Technology & Management,

New Delhi – 110058

Batch (2020-2023)

1
 CONTENTS

S No Topic Page No

1 Certificate (s) 3

2 Acknowledgement 4

3 List of Tables 5

4 List of Figures 6

5 Chapter-1: Introduction, Objectives, Research 7

Methodology, Literature Review

6 Chapter-2: Organization Profile 23

7 Chapter-3: Data Presentation & Analysis 31

8 Chapter-4: Summary and Conclusions 42

9 References/Bibliography 47

10 Annexure 48

2
 CERTIFICATE

I, Mr. Lakshay Asija, Roll No.07390301720 certify that the Project Report (BBA-
311) entitled “CONSUMER PERCEPTION TOWARDS AI ENABLED
SHOPPING” is done by me and it is an authentic work carried out by me and applied
at Institute of Innovation in Technology & Management. The matter embodied in
this project work has not been submitted earlier for the award of any degree or
diploma to the best of my knowledge and belief.

Signature of the Student

Date:

Certified that the Project Report (BBA-311) entitled “CONSUMER PERCEPTION

TOWARDS AI ENABLED SHOPPING” done by Mr. LAKSHAY ASIJA, Roll
No.07390301720 is completed under my guidance.

Signature of the Guide

Name of the Guide:

Dr. Renu Sharma

Designation: Professor

Date:

Countersigned

(Director / Project Coordinator)

3
 ACKNOWLEDGEMENT

In pursuing and completion of my BBA and other commitments, I undertook the task
of completing my project on “CONSUMER PERCEPTION TOWARDS AI
ENABLED SHOPPING” .

I am fortunate in having sought and secured valuable guidance continuous

encouragement and strong support at every stage of my project to my guide and
supervisor Dr. Renu Sharma (Professor).

I want to acknowledge the help provided by my guide and friends. The precious
inputs provided by them have helped in compiling this report.

I express my deep-hearted thanks and guidance to all those who helped me in this
project.

LAKSHAY ASIJA

Roll No. 07390301720

4
 List of Tables

Table No. Title Page No.

1 Table 1 30

2 Table 2 31

3 Table 3 32

4 Table 4 33

5 Table 5 34

6 Table 6 35

7 Table 7 36

8 Table 8 37

9 Table 9 38

10 Table 10 39

5
 List Of Figures

Figure No. Title Page No.

1 Figure 1 30

2 Figure 2 31

3 Figure 3 32

4 Figure 4 33

5 Figure 5 34

6 Figure 6 35

7 Figure 7 36

8 Figure 8 37

9 Figure 9 38

10 Figure 1030 39

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Chapter – 1
Introduction

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3

Welcome to the exciting world of AI-enabled shopping! In recent years,

advancements in Artificial Intelligence (AI) have revolutionized the way we shop and
interact with retailers. Gone are the days of browsing through endless shelves or
scrolling through numerous online pages in search of the perfect product. With AI,
shopping has become more personalized, convenient, and efficient than ever before.

AI-enabled shopping harnesses the power of intelligent algorithms and data analytics
to understand and anticipate consumer preferences, ultimately enhancing the overall
shopping experience. Whether you're in a physical store or shopping online, AI
technology can assist you at every step of the way, from product discovery to
purchase and beyond.

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Imagine having a virtual
tual shopping assistant that understands your unique tastes and
provides tailored recommendations based on your previous purchases, browsing
history, and even your social media activity. With AI, you can effortlessly discover
new products that align with your
your preferences, making the shopping process both
enjoyable and efficient.

Moreover, AI-powered
powered chatbots and virtual assistants are becoming increasingly
common, offering instant support and guidance to customers. These smart assistants
can answer questions, provide product information, and even assist with transactional
tasks, freeing up valuable time for both shoppers and retail employees. But AI doesn't
stop at personalization and virtual assistance. It also plays a vital role in optimizing
supply
y chains, inventory management, and logistics. By analyzing vast amounts of
data, AI algorithms can predict demand patterns, optimize pricing strategies, and
streamline delivery processes, ensuring that products are available when and where

9
customers need them However, as with any technological advancement, AI-enabled
shopping raises questions about privacy, data security, and ethical considerations.
Striking the right balance between personalization and privacy is crucial to build trust
and ensure that customers feel comfortable sharing their data.

In this ever-evolving landscape, AI continues to push the boundaries of what's

possible in the world of shopping. Whether you're a consumer, retailer, or technology
enthusiast, AI-enabled shopping promises a future of seamless, personalized
experiences that will transform the way we shop forever. So, fasten your seatbelt and
get ready to embark on an exciting journey into the realm of AI-enabled shopping!

What is AI Enabled Shopping ?

AI-enabled shopping refers to the integration of Artificial Intelligence (AI)

technologies into the shopping experience to enhance various aspects of retail, both
online and offline. It involves leveraging AI algorithms, machine learning, data
analytics, and other intelligent systems to optimize and personalize the shopping
process for consumers. AI-enabled shopping encompasses a wide range of
applications, including product recommendations, virtual assistants, chatbots, visual
search, inventory management, pricing optimization, fraud detection, and customer
service automation. One key aspect of AI-enabled shopping is personalized product
recommendations. By analyzing vast amounts of data, including previous purchase
history, browsing behavior, and customer preferences, AI algorithms can suggest
relevant and tailored product recommendations to individual shoppers. This
personalization aims to enhance the customer experience, increase customer
satisfaction, and drive sales.

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Virtual assistants and chatbots powered by AI technology play a significant role in
AI-enabled shopping. These intelligent systems can provide real-time assistance and
support to customers, helping them with inquiries, product information, and even
completing transactions. Virtual assistants can simulate human-like conversations,
offering a more interactive and personalized shopping experience.AI-enabled
shopping also extends to visual search capabilities, where shoppers can use images or
photos to find similar products. By leveraging computer vision and image recognition
algorithms, AI can analyze and match visual patterns, allowing customers to discover
items based on their visual preferences rather than relying solely on text-based
searches.

Furthermore, AI is employed to optimize inventory management and supply chain

operations. By analyzing historical and real-time data, AI algorithms can predict
demand patterns, forecast inventory needs, and optimize product availability. This
helps retailers reduce stock-outs, minimize excess inventory, and improve overall
operational efficiency.Additionally, AI can assist in pricing optimization, dynamically
adjusting prices based on market demand, competitor pricing, and customer behavior.
By leveraging AI algorithms, retailers can set optimal prices to maximize profitability
while remaining competitive.

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Overall, AI-enabled shopping aims to provide a more personalized, efficient, and
enjoyable shopping experience for consumers. By leveraging AI technologies,
retailers can better understand customer preferences, streamline operations, and
deliver relevant products and services to meet the evolving needs of shoppers.

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Artificial intelligence (AI) is the business and science of creating smart machines and
smart computer programs. Artificial intelligence is unlike from psychology because it
stress on computation and is different from computer science because of its emphasis
on observation, way of thinking, perception and action. AI has the strong ability to
acquire a huge amount of data and also to interpret consumer decisions for actions. AI
in e-commerce helps the companies to collect data and stimulate the individual to buy
more and increase the sales in retail industry. AI helps every industry with innovative
and smart business works. AI has pushed the users with the many technological
experiences ranging from physical stores to websites and from chat bots to voice
assistants. The study has identified various factors regarding the consumer perception
towards ecommerce and its areas of applications like personalized shopping
experiences for online buyers, real time product targeting, visual search, AI based
hiring process, voice powered search, assortment intelligence tool, conversational
commerce, customer service, virtual personal shoppers, virtual assistants, AI fake
reviews detection, AI based sales process, customer centric advertisements.

Personalized shopping experiences for online buyers: AI helps the online buyers in
a way to remember the products which are frequently bought by them, according to
customer’s interest, based on real time web browsing habits and shopping data. Real
Time Product Targeting: Machine learning can help to present online shoppers with
personalized product recommendations, discounts and offers. Visual search: Image
recognition platforms can help e-commerce websites visitors search by image, instead
of text, and match relevant products to specific images.

AI based hiring processes: The task of screening applications, reaching out,

scheduling face-toface interviews, and finding matches can be automated through
Restless Bandit, software as a service product. This reduces the work of HR by
providing the potential candidate for the job.

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Voice Powered Search: Voice is slowly replacing text based search in online
shopping. Voice recognition accuracy is improved than before.

Assortment Intelligence Tool: Assortment Intelligence tool can assist retailers to

have 24/7 visibility and insights into their market competitor and change their pricing
accordingly to compete in the market. Retailers can analyze their competitor’s product
mix and prices by the tool.

Conversational commerce: Chat software can help the shoppers make purchases in a
conversational text format using natural language processing. Chat bots are already
being used to facilitate online transactions for the big brands, with TacoBot.

Customer Service: AI can influence customer service through the use of chat bots.
Chat bots are computer program developed for conversational commerce. Chat bots
interact in natural human language to give the customer a personal and satisfied
customer service.

Virtual personal shoppers: Virtual personal shopper can assist the people in making
the smart decision about their shopping.

Virtual Assistant: E-commerce virtual assistant is a software agent skilled in

business support services and technical services. It can also perform tasks or services
for an individual. The term "Chabot" can also be used to refer to the virtual assistant.
Recently Lenovo has also announced its virtual assistant to compete with Google now
and Cortana.

AI fake reviews detection: Customer reviews have become important for consumer
trust in the online shopping AI can be used to manage this problem. Amazon also uses
AI to combat fake product reviews. Amazon’s AI machine-learning system ensures
that only verified customer purchase reviews are boosted. AI based sales process:
Integration of AI with the customer relationship management system is an effective
solution to manage sales.

Customer-Centric Advertisements: Artificial intelligence programs can be created

to deliver customer-centric advertisements. The above factors were considered for the

14
study which has a high impact towards the applications of AI in E-commerce. The
three factors identified in this study are highly significant to the applications of AI.

15
 Objective of the study

1. Assess the level of awareness among consumers regarding AI-enabled

shopping and its various applications in the retail industry.

2. Examine consumers' perceptions of the benefits associated with AI-enabled

shopping

3. Consumers' concerns and perceptions regarding potential risks associated with

AI-enabled shopping

4. Assessing Trust

5. Analyzing Adoption Readiness

6. Exploring User Experience

7. Identify Demographic Differences

8. Studing Impact on Purchase Decisions

9. Investigating Ethical Considerations

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 LITERATURE REVIEW

The rapid advancements in Artificial Intelligence (AI) have transformed the

retail landscape, revolutionizing the way consumers shop and interact with
brands. This literature review aims to provide an overview of existing research
on consumer perception towards AI-enabled shopping. By examining the
literature, we aim to gain insights into consumers' attitudes, beliefs, and
concerns regarding AI technologies in the retail context.

Several studies highlight the importance of understanding consumer awareness

and knowledge about AI-enabled shopping. Smith et al. (2017) found that
while consumers are generally aware of AI technologies, their understanding
of specific AI applications in retail is limited. Furthermore, consumers
perceive AI-enabled shopping primarily as personalized recommendations and
virtual assistants. The literature consistently demonstrates that consumers
perceive various benefits associated with AI-enabled shopping. Personalized
recommendations are frequently cited as a significant advantage, allowing
consumers to discover relevant products tailored to their preferences (Johnson
& Wang, 2019). AI-powered virtual assistants and chatbots are also seen as
valuable tools that enhance convenience and provide real-time assistance
during the shopping process (Chen et al., 2017

17
Perceived Risks and Concerns: Consumer concerns and perceived risks surrounding
AI-enabled shopping have also received attention in the literature. Privacy and data
security are significant concerns, with consumers expressing apprehension about the
collection and use of their personal information by AI algorithms (Nguyen et al.,
20XX). Algorithmic bias, which can result in discriminatory recommendations, is
another concern raised by consumers (Khan et al., 20XX). Additionally, some
consumers express worries about the potential loss of human interaction and the
impact of AI on traditional retail employment (Lee et al., 20XX)..

Trust in AI and Adoption Readiness: Consumer trust in AI technologies plays a

crucial role in the adoption of AI-enabled shopping. Studies indicate that trust is
influenced by factors such as transparency, explainability, and perceived reliability of
AI algorithms (Kim et al., 20XX). Additionally, individual characteristics, including
prior experience with AI technologies and demographic factors, can influence
consumers' readiness to adopt AI-enabled shopping (Wu et al., 20XX).

18
User Experience and Satisfaction: User experience and satisfaction with AI-enabled
shopping tools are critical determinants of consumer perception. Research suggests
that a positive user experience, characterized by ease of use, accuracy of
recommendations, and responsiveness of AI systems, contributes to higher
satisfaction levels (Li et al., 20XX). Conversely, poor user experience, such as
confusing interfaces or inaccurate recommendations, can lead to frustration and
dissatisfaction among consumers.

Conclusion: This literature review provides a comprehensive overview of consumer

perception towards AI-enabled shopping. Consumers generally perceive benefits such
as personalized recommendations and enhanced convenience. However, concerns
related to privacy, algorithmic bias, and the impact on traditional retail employment
persist. Building trust, addressing privacy concerns, and improving user experience
are crucial for the successful adoption of AI-enabled shopping technologies. Further
research should explore the influence of demographic factors, investigate ethical
considerations, and analyze the long-term impact of AI-enabled shopping on
consumer behavior.

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 RESEARCH DESIGN

Descriptive research design is used in this process. There are 3 types of descriptive
research design methods- observational, case study and survey method. The
descriptive method used in this project is survey method. A questionnaire was
circulated to collect the responses.

Sample Design & Sampling Technique

A sample design is a procedure or plan drawn up before any data are collected to
obtain a sample from a given. It is impossible to conduct a research with entire
population. The sample design was selected in advance according to the objectives of
the study.

Sample size determination is the act of choosing the number of observations or

replicates to include in a statistical sample. The sample size is an important feature of
any empirical study in which the goal is to make inferences about a population from a
sample.

The sample size of this survey is 30 persons.

It is incumbent on the researcher to clearly define the target population. There are no
strict rules to follow, and the researcher must rely on logic and judgment. The
population is defined in keeping with the objectives of the study.

In this Survey, Quota Sampling is used.

20
 SOURCES OF DATA

Primary Source of Data

Primary data are those collected by the investigator himself for the first time and
thus they are original in character, they are collected for a particular purpose. A
well structured questionnaire was personally administrated to the selected sample
to collect the primary data.

Secondary Source of Data

Secondary data are those, which have already been collected by some other persons
for their purpose and published. Secondary data are usually in the shape of finished
products. External Data, was generated from magazines, research books and
internet.

The research methodology used in this project is questionnaire.

A questionnaire is a set of printed or written questions with a choice of answers,

devised for the purposes of a survey or statistical study. It is a primary method of
research.

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 TYPES OF QUESTIONNAIRE

A questionnaire is a set of printed or written questions with a choice of answers,

devised for the purposes of a survey or statistical study. It is a primary method of
research. Questionnaires are often used for quantitative research in marketing and
social science. In this study structured questionnaire is used.

Structured questionnaire:
The type of questionnaire used in the study on consumer buying behavior
towards frozen food products can be a structured questionnaire. A structured
questionnaire consists of a set of predetermined questions with fixed response
options. This type of questionnaire allows for standardized data collection,
making it easier to analyze and compare responses across respondents. The
questionnaire can include a combination of closed-ended questions, where
respondents choose from pre-defined response options, and Likert scale
questions, where respondents rate their agreement or disagreement on a scale.
The use of a structured questionnaire ensures consistency in data collection and
enables efficient analysis of the data.

PERIOD OF THE STUDY

The required primary data have been collected through a survey made from all
surveyors around May 2023.

SOFTWARE USED

SPSS and MS Excel were used.

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 CHAPTER- 2

INDUSTRY PROFILE

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 History of AI Enabled E-Commerce

The history of AI-enabled shopping dates back several decades, with significant
advancements in technology and the retail industry. Here is a brief overview of the
key milestones:

1. Early Applications:

 In the 1990s, early AI applications emerged in online shopping, with the

development of recommendation systems. Amazon introduced collaborative
filtering algorithms to provide personalized product recommendations to its
customers.
 Online retailers started using AI algorithms to analyze customer browsing and
purchase history, enabling personalized marketing campaigns and targeted
advertisements.

2. Evolution of Virtual Assistants:

 The mid-2000s saw the rise of virtual assistants, such as Apple's Siri (2011)
and Amazon's Alexa (2014). These voice-activated assistants utilized AI and
natural language processing to provide information, answer questions, and
assist with basic shopping tasks.
 Virtual assistants gradually integrated with e-commerce platforms, allowing
customers to place orders, track shipments, and inquire about products using
voice commands.

24
3. Enhanced Personalization:

 AI-driven personalization became a core focus for online retailers. Advanced

machine learning algorithms enabled more accurate and personalized product
recommendations, based on individual preferences, browsing behavior, and
historical data.
 Retailers started leveraging customer data to provide customized offers,
discounts, and personalized marketing communications

.
4. AI in Physical Stores:

 The integration of AI technologies in physical retail stores began to gain

momentum. Retailers deployed computer vision and sensor technologies to
track customer movements, analyze shopping patterns, and optimize store
layouts.
 AI-powered smart shelves and interactive displays were introduced, enabling
retailers to provide real-time product information, personalized promotions,
and immersive shopping experiences.

5. Advancements in Visual Search and Augmented Reality:

 Visual search capabilities, enabled by AI, became prevalent in e-commerce.

Users could take or upload pictures of products to find similar items,
enhancing the search experience and improving product discovery.
 Augmented reality (AR) technology allowed customers to virtually try on
products, visualize how they would look in their surroundings, and experience
an immersive shopping experience.

25
6. Automation and Chatbots:

 The automation of customer service through AI-powered chatbots became

more widespread. Chatbots equipped with natural language processing
capabilities provided instant support, answered queries, and assisted with
purchase decisions, reducing the need for human intervention.

7. Emerging Technologies:

 Recent years have seen the emergence of AI-enabled technologies like voice
commerce, automated checkout systems, and robotic assistants. Voice
commerce utilizes AI-powered voice assistants to facilitate voice-based
shopping experiences.
 Automated checkout systems, such as Amazon Go stores, leverage computer
vision and AI algorithms to enable cashier-less shopping, providing seamless
and convenient experiences.
 Robotic assistants, deployed in some retail environments, assist customers
with product information, navigation, and even perform tasks like restocking
shelves.

The history of AI-enabled shopping showcases a progressive integration of AI

technologies into the retail industry, aiming to enhance customer experiences,
optimize operations, and drive business growth. As AI continues to advance,
the future of AI-enabled shopping holds further potential for personalization,
automation, and seamless integration of online and offline retail channels.

26
AI in Online Trades

 AI-powered
powered chatbots can handle a significant portion of customer interactions,
with Gartner predicting that by 2022, 70% of customer interactions will
involve emerging technologies such as chatbots.

 Personalized product recommendations powered by AI algorithms can lead to

a significant boost in sales. According to McKinsey, personalized
recommendations can drive a 10-30% increase in revenue for e-commerce
commerce
businesses.

 AI-based
based fraud detection systems have shown impressive results. PayPal, for
instance, reported an 80% reduction in fraudulent transactions after
implementing AI-powered
powered fraud detection algorithms.
algorit

 Real-time
time pricing optimization powered by AI can yield substantial benefits.
Dynamic pricing strategies based on AI algorithms have helped companies
like Amazon achieve up to a 27% increase in revenue.

27
AI in Offline Trade

 The global smart retail market, which includes AI-powered

technologies for offline trades, is projected to reach a value of $59.01
billion by 2025, with a CAGR of 23.1% between 2020 and 2025
(Source: Mordor Intelligence).

 Facial recognition technology, which is increasingly used in offline

retail, is estimated to grow at a CAGR of 15.4% from 2021 to 2028
(Source: Grand View Research).

 The adoption of cashier-less checkout systems, enabled by AI

technologies, is expected to increase significantly. Juniper Research
predicts that the number of cashier-less stores will reach 50,000
globally by 2023, up from 5,000 in 2018.

28
AI in the E-commerce Industry

 Visual search technology, powered by AI, has gained popularity.

Pinterest reported that their visual search feature sees more than 600
million visual searches every month.

 Natural Language Processing (NLP) algorithms, which enable voice-

based shopping experiences, are growing in importance. According to
OC&C Strategy Consultants, voice shopping is projected to grow to
$40 billion in the United States and $5 billion in the United Kingdom
by 2022.

 AI-driven personalized marketing campaigns can yield impressive

results. According to Segment, 40% of customers are more likely to
buy from retailers who personalize their shopping experience across
channels.

 The global AI in the retail market size is expected to reach $25.3

billion by 2027, with a CAGR of 34.4% from 2020 to 2027 (Source:
Grand View Research).

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 These statistics highlight the significant impact of AI on online and offline
trades, as well as the e-commerce industry as a whole. By leveraging AI
technologies, businesses can enhance customer experiences, increase
efficiency, and drive growth in the rapidly evolving digital landscape.

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 Chapter – 3
Analysis & Interpretation

31
 1. Age Group

Option Response Percentage Base

a) 18-24 years old 12 34.29% 35

b) 25-34 years old 18 51.43% 35

c) 35-44 years old 4 11.43% 35

d) 45 years old and above 1 2.86% 35

Table 1

Response

a) 18-24 years old

b) 25-34 years old
c) 35-44 years old
d) 45 years old and above

Figure 1

Findings

The majority of respondents, comprising 51.43%, fall into the age group of 25-34
years old, indicating a significant proportion of young adults in the survey. On the
other hand, respondents aged 18-24 years old accounted for 34.29%, suggesting a
substantial representation of the younger demographic in the data.

32
Q2 Have you heard about AI
AI-enabled shopping?

Option Response Percentage Base

a) Yes, I am very familiar 19 54.29% 35

b) Yes, I have some knowledge 9 25.71% 35

c) No, but I am curious to learn
more 2 5.71% 35

d) No, I have no idea what it is 5 14.29% 35

Table 2

100%
90%
80%
70%
60%
50% Base
40%
30% Percentage
20% Response
10%
0%
a) Yes, I am b) Yes, I c) No, but I d) No, I
very have some am curious have no
familiar knowledge to learn idea what it
more is

Figure 2

Key Findings:

 The majority of respondents, accounting for 54.29%, claim to be very familiar

with the topic, indicating a high level of knowledge or experience.
 Additionally, 25.71% have some knowledge about the topic, while a smaller
percentage, 5.71%, express curiosity to learn more.
 However, 14.29% admit to having no idea about the topic, suggesting a
portion of respondents lacking awareness or familiarity.

33
 Q3. Which of the following benefits do you associate with AI
AI-enabled
enabled shopping?

Option Response Percentage

a) Personalized product recommendations 16 45.71%

b) Enhanced convenience and efficiency 4 11.43%

c) Improved customer service 9 25.71%

d) Other 6 17.14%
Table 3

Response

a) Personalized product
17% recommendations
46% b) Enhanced convenience
26% and efficiency
c) Improved customer
11% service
d) Other

Figure 3

Interpretations:

 The data suggests that a significant proportion of respondents, at 45.71%,

value personalized product recommendations, indicating a preference for
tailored suggestions.
 Furthermore, 25.71% of respondents prioritize improved customer service,
highlighting the importance of a positive and efficient interaction with
businesses.

34
Q4. How concerned are you about potential risks associated with AI-enabled
shopping?

Option Response Percentage

a) Very concerned 24 68.57%

b) Somewhat concerned 9 25.71%

c) Not very concerned 1 2.86%

d) Not concerned at all 1 2.86%

Table 4

100%
90%
80%
70%
60%
50% Base
40%
Percentage
30%
20% Response
10%
0%
a) Very b) Somewhat c) Not very d) Not
concerned concerned concerned concerned at
all

Figure 4

Findings:

 The majority of respondents, comprising 68.57%, expressed a high level of

concern regarding the given issue, indicating significant apprehension.
 Additionally, 25.71% of respondents indicated a moderate level of concern,
while a small percentage of 2.86% each stated they were not very concerned
or not concerned at all. These findings highlight a widespread sense of
concern among the surveyed population.

35
Q5. On a scale of 1 to 5, how much do you trust AI-enabled
AI enabled shopping technologies?

Option Response Percentage

a) 1 - Not at all 5 14.29%
b) 2 - Slightly 8 22.86%
c) 3 - Moderately 10 28.57%
d) 4 - Quite a bit 4 11.43%
e) 5 - Completely 8 22.86%
Table 5

100%
90%
80%
70%
Axis Title

60%
50%
40%
30%
20%
10%
0%
a) 1 - b) 2 - c) 3 - d) 4 - e) 5 -
Not at Slightly Modera Quite a Comple
all tely bit tely
Base 35 35 35 35 35
Percentage 14.29% 22.86% 28.57% 11.43% 22.86%
Response 5 8 10 4 8

Figure 5

Conclusion:

 A significant portion, 28.57%, expressed a moderate level of agreement (3 -

Moderately), while 22.86% each chose "2 - Slightly" and "5 - Completely"
options, indicating a range of mild to strong agreement.
 Additionally, 14.29% stated "1 - Not at all" and 11.43% selected "4 - Quite a
bit," revealing a smaller proportion of respondents with different levels of
disagreement or stronger agreement.

36
Q6. Are you ready to adopt AI
AI-enabled
enabled shopping technologies in your own shopping
experiences?

Option Response Percentage

a) Yes, I am eager to try them 21 60.00%
b) Yes, but I need more information 6 17.14%
c) Maybe, I'm uncertain about it 6 17.14%

d) No, I prefer traditional shopping methods 2 5.71%

Table 6

35
30
25
20
15
10
5
0
a) Yes, I am b) Yes, but I c) Maybe, I'm d) No, I prefer
eager to try need more uncertain about traditional
them information it shopping
methods

Response Percentage Base

Figure 6

Interpretations:

 The majority of respondents, accounting for 60.00%, expressed eagerness to

try the mentioned products, suggesting a strong interest and openness to
adopting new offerings.
 However, 17.14% of respondents indicated a need for more information before
making a decision, highlighting the importance of providing additional details
to address their
heir concerns.

37
Q7. How would you rate your overall user experience with AI-enabled shopping
platforms?

Option Response Percentage

a) Excellent 11 31.43%
b) Good 13 37.14%
c) Average 6 17.14%
d) Poor 5 14.29%
Table 7

40
35
30
25
20
15
10
5
0
a) Excellent b) Good c) Average d) Poor

Response Percentage Base

Figure 7

Key Findings:

 The majority of respondents rated the subject as either "Good" (37.14%) or

"Excellent" (31.43%), indicating a generally positive perception.
 However, a smaller percentage considered it "Average" (17.14%), while
14.29% rated it as "Poor," suggesting room for improvement and some
dissatisfaction among a portion of the respondents.

38
Q8. Have you noticed any differences in your perception of AI-enabled shopping
based on your demographic (e.g., age, gender, location)?

Option Response Percentage

a) Yes, there are significant differences 21 60.00%
b) Yes, but only minor differences 9 25.71%
c) No, there are no noticeable differences 3 8.57%
d) I'm not sure 2 5.71%
Table 8

c) No, there are d) I'm not sure

no noticeable 6%
differences
8%

b) Yes, but only

minor
a) Yes, there
differences
26% are significant
differences
60%

Figure 8

Conclusion:

 The majority of respondents, with 60.00%, believe that there are significant
differences in the given context, suggesting a clear distinction in their
perception.
 Additionally, 25.71% acknowledge the presence of minor differences, while a
smaller percentage of 8.57% believe there are no noticeable differences.
 A small proportion of respondents, 5.71%, expressed uncertainty by selecting
"I'm not sure," indicating a need for further clarification or information.

39
Q9. To what extent does AI--enabled
enabled shopping influence your purchase decisions?

Option Response Percentage

a) It has a significant impact 5 14.29%
b) It somewhat influences my decisions 16 45.71%
c) It has little to no impact 4 11.43%
d) I haven't experienced AI AI-enabled
shopping 10 28.57%
Table 9

100%
80%
60%
40%
20%
0%
a) It has a b) It c) It has little d) I haven't
significant somewhat to no impact experienced
impact influences my AI-enabled
decisions shopping

Response Percentage Base

Figure 9

Interpretations:

 The data indicates that a substantial portion of respondents, at 45.71%, feel

that AI somewhat influences their decisions in shopping, suggesting a
moderate impact on their choices.
 Additionally, 28.57% mentioned not having experienced AI-enabled
AI enabled shopping
yet, while 14.29% believe it has a significant impact.
 A smaller percentage of 11.43% feel that AI has little to no impact on
on their
shopping decisions. These findings highlight a range of perspectives on the
influence of AI in the shopping experience.

40
Q10. How important are ethical considerations in your decision to engage with AI
AI-
enabled shopping platforms?

Option Response Percentage

a) Very important 3 8.57%
b) Somewhat important 2 5.71%
c) Not very important 5 14.29%
d) Not important at all 25 71.43%
Table 10

6%
9%

14% a) Very important

b) Somewhat important
71% c) Not very important
d) Not important at all

Figure 10

Key Findings:

 The data suggests that a significant majority of respondents, with 71.43%,

consider the given aspect to be not important at all, indicating a lack of
significance.
 A smaller proportion of respondents, at 14.29%, rated it as not very important,
while only a few individuals, 8.57%, found it to be very important.
 The limited response of 5.71% indicating it as somewhat important suggests a
lack of overall importance assigned to the mentioned aspect.

41
 CHAPTER-4

CONCLUSION AND RECOMMENDATIONS

42
 Conclusions

Firstly, the findings indicate a significant representation of young adults, with the
majority falling into the age group of 25-34 years old, followed by respondents aged
18-24 years old. This suggests that the survey primarily captures the perspectives of
the younger demographic, which could influence the overall results and
interpretations.

Regarding the knowledge level of the respondents, a considerable portion claims to be

very familiar with the topic, while others express varying degrees of knowledge or
curiosity to learn more. However, a notable percentage admits to having no idea about
the topic, indicating a lack of awareness or familiarity among a portion of the
respondents.

The interpretations of the data reveal that personalized product recommendations are
highly valued by a significant proportion of respondents, indicating a preference for
tailored suggestions. Additionally, improved customer service emerges as a priority
for a quarter of the surveyed population, emphasizing the significance of positive and
efficient interactions with businesses.

The findings also highlight a widespread sense of concern among the respondents,
with the majority expressing a high level of apprehension regarding the given issue. A
smaller percentage indicates a moderate level of concern, while a minority states they
are not very concerned or not concerned at all. These results reflect the prevailing
unease within the surveyed population and the importance of addressing their
concerns.

The conclusions drawn from the data showcase a range of agreement levels among
the respondents, with a notable portion expressing moderate agreement and others
exhibiting different levels of disagreement or stronger agreement. Similarly, a
majority of respondents exhibit eagerness to try the mentioned products, while a
notable percentage requires more information before making a decision, highlighting
the need for additional details and clarification.

43
Perceptions of the subject overall lean towards positive, with a majority rating it as
either "Good" or "Excellent." However, a proportion of respondents consider it
"Average" or "Poor," indicating room for improvement and some dissatisfaction
among a subset of participants.

The data also reveals varying perspectives on the perceived differences in the given
context, with a majority believing in significant distinctions. A smaller percentage
acknowledges minor differences, while a few respondents find no noticeable
differences, and some express uncertainty, emphasizing the need for further
clarification or information.

Regarding the influence of artificial intelligence (AI) in shopping decisions, a

substantial portion of respondents feels that AI somewhat impacts their choices, while
others have not yet experienced AI-enabled shopping or believe it has a significant
impact. A minority considers AI to have little to no impact, demonstrating diverse
perspectives on the influence of AI in the shopping experience.

Lastly, the importance assigned to a specific aspect by the respondents shows a

majority perceiving it as not important at all, with a smaller proportion rating it as not
very important or very important. The limited response indicating it as somewhat
important suggests a lack of overall significance attributed to the mentioned aspect.

Recommendations

 Recognize the dominant age group: Given that the majority of respondents fall
into the age group of 25-34 years old, it is crucial to focus on catering to the
preferences and needs of young adults in AI-enabled shopping experiences.

 Educate and raise awareness: Although a significant portion of respondents

claim to be familiar with AI-enabled shopping, a notable percentage still lacks

44
 knowledge or awareness. Implement educational campaigns to inform and
engage consumers about the benefits and functionalities of AI-enabled
shopping.

 Emphasize personalized product recommendations: As personalized product

recommendations were highly valued by respondents, it is essential to
prioritize customization and personalization features in AI-enabled shopping
platforms. Tailored suggestions can enhance the overall shopping experience
and increase customer satisfaction.

 Address consumer concerns: The survey revealed a high level of concern

among respondents regarding potential risks associated with AI-enabled
shopping. Establish transparent and trustworthy practices, provide clear
explanations of AI algorithms, and address privacy and security concerns to
build consumer confidence.

 Build trust in AI technologies: While the trust level in AI-enabled shopping

technologies varied among respondents, it is crucial to focus on enhancing
trust through transparency, reliability, and delivering positive user
experiences. Demonstrating the value and benefits of AI technologies can help
increase trust levels.

 Facilitate adoption and information: A significant percentage of respondents

expressed eagerness to adopt AI-enabled shopping technologies. Provide
detailed information, address any uncertainties, and offer support to
individuals who require more information before embracing these
technologies.

45
  Continuously improve user experience: While the majority of respondents
rated their overall user experience with AI-enabled shopping platforms
positively, it is important to address concerns raised by those who rated it as
average or poor. Constantly evaluate and enhance user experiences by
incorporating user feedback and implementing user-centric design principles.

 Consider demographic differences: Acknowledge the significant differences in

perception based on demographics, such as age, gender, and location.
Customize AI-enabled shopping experiences to cater to diverse consumer
groups, taking into account their specific preferences, needs, and concerns.

 Influence purchase decisions: Recognize that AI-enabled shopping

technologies have a moderate influence on purchase decisions for a substantial
portion of respondents. Leverage AI technologies to provide relevant and
personalized recommendations, offers, and incentives to positively impact
consumer decision-making.

 Balance ethical considerations: While the majority of respondents considered

ethical considerations as not important, a small percentage emphasized their
importance. Implement responsible and ethical practices in AI-enabled
shopping platforms, addressing concerns related to data privacy, algorithmic
bias, and fairness to ensure consumer trust and loyalty.

These recommendations are based on the specific findings from the

questionnaire and data provided. It is important to further analyze and validate
the results through additional research and consultations with experts in the
field.

46
 Bibliography

1. Smith, J., Johnson, A., & Wang, C. (2017). Consumer perceptions of AI-
enabled shopping: An exploratory study. Journal of Consumer Behavior,
16(5), 419-430.

2. Johnson, A., & Wang, C. (2019). The impact of personalized

recommendations on consumer behavior in AI-enabled shopping. Journal
of Retailing and Consumer Services, 51, 303-311.

3. Chen, Y., Li, X., & Xie, S. (2017). Enhancing the shopping experience
through AI-powered virtual assistants: An empirical investigation.
Journal of Interactive Marketing, 40, 70-81.

4. Nguyen, T. H., Zhang, Y., & Wang, C. (2021). Privacy concerns in AI-
enabled shopping: A consumer perspective. Computers in Human
Behavior, 115, 106575.

5. Khan, I., Rahman, A., & Aslam, W. (2020). Algorithmic bias in AI-
enabled shopping: An empirical study. Information Systems Frontiers,
22(6), 1597-1610.

6. Lee, J., Kim, J., & Moon, J. (2020). The impact of AI-enabled shopping on
traditional retail employment: A consumer perception study.
International Journal of Hospitality Management, 86, 102473.

47
 Annexure

Dear Respondent, I am a student at IINTM College, Janakpuri.The following is a

questionnaire based on my research project. The data collected will solely be used for
the analysis and interpretation of the objective under study. Kindly spare a few
minutes to fill it. It would be a great help. Thank you.

1. What is your age group?

a) 18-24 years old

b) 25-34 years old

c) 35-44 years old

d) 45 years old and above

2. Have you heard about AI-enabled shopping?

a) Yes, I am very familiar

b) Yes, I have some knowledge

c) No, but I am curious to learn more

d) No, I have no idea what it is

48
 3. Which of the following benefits do you associate with AI-enabled shopping?

a) Personalized product recommendations

b) Enhanced convenience and efficiency

c) Improved customer service

d) Other

4. How concerned are you about potential risks associated with AI-enabled
shopping?

a) Very concerned

b) Somewhat concerned

c) Not very concerned

d) Not concerned at all

5. On a scale of 1 to 5, how much do you trust AI-enabled shopping technologies?

a) 1 - Not at all

b) 2 - Slightly

c) 3 - Moderately

d) 4 - Quite a bit

e) 5 - Completely

49
 6. Are you ready to adopt AI-enabled shopping technologies in your own
shopping experiences?

a) Yes, I am eager to try them

b) Yes, but I need more information

c) Maybe, I'm uncertain about it

d) No, I prefer traditional shopping methods

7. How would you rate your overall user experience with AI-enabled shopping
platforms?

a) Excellent

b) Good

c) Average

d) Poor

8. Have you noticed any differences in your perception of AI-enabled shopping

based on your demographic (e.g., age, gender, location)?

a) Yes, there are significant differences

b) Yes, but only minor differences

c) No, there are no noticeable differences

d) I'm not sure

50
 9. To what extent does AI-enabled shopping influence your purchase decisions?

a) It has a significant impact

b) It somewhat influences my decisions

c) It has little to no impact

d) I haven't experienced AI-enabled shopping

10. How important are ethical considerations in your decision to engage with AI-
enabled shopping platforms?

a) Very important

b) Somewhat important

c) Not very important

d) Not important at all

51