What was the impact of the AI customization for Cdiscount?
What is Kameleoon?
In the physical world, shoppers have different expectations and behaviors that come in different situations. These behaviors and situations correspond to a certain number of elements of profile and personality. Kameleoon reproduces in the digital world what a salesman knows how to do in store, in other words listen and observe to adapt his advice, his messengers and his offers according to the intentions of conversion.
The value of a technology is the value of its uses. Two years ago, Cdiscount asked Kameleoon with the ambition to individualize the relationship of the brand with all visitors to the website. The Kameleoon solution was chosen for the potential of its technology and the company's ability to take a non-monolithic approach. In other words, his ability to adopt a consistent AI customization strategy, together with Cdiscount teams.
The platform aims to identify the optimal target of all actions performed on the site. It natively captures all intent data, and Kameleoon teams are also able to integrate all the data that exists in their customer's ecosystem.
Cdiscount is the French leader in e-commerce, whose business volume last year was more than 3.6 billion euros. By 2018, the site had 20 million unique visitors and nearly 9 million customers. It’s these volumes that allow him to access the potential of these technologies.
The company moved from a classic retailer model to a platform model by opening a marketplace in 2011, moving it from an offering of a few thousand to nearly 40 million products. This change in scale has led the company to consider Kameleoon technology to provide more relevance to users.
These 40 million products represent the assortment of 1,000 supermarkets. It was therefore important to present the right product to the right person, by initiating a strong innovation policy internally in order to develop the use of data. It was also worth externally, with partners like Kameleoon to pilot the personalization of the experience on the site.
Some use cases
The use of AI customization is based on several axes:
- It allows to be more relevant in the offers and contents offered to customers. IA customization refers to the order of the selected offers so that each customer first sees the offers with which it’s most appealing. It's about satisfying the customer and offering him more diversity.
- AI customization can also detect purchase intent with a promotion. The artificial intelligence of Kameleoon technology offers the opportunity to identify the customer's likelihood of purchase by defining categories of cold, warm or hot customers. Promotions are offered to lukewarm customers to maximize the return on investment (ROI) of the transaction. So we went from a massive campaign world to segmented marketing, and then to individualized campaigns in real time.
- IA customization can also be used to reduce the "noise" experienced by the customer during their experience. Rather than practicing the marketing of stress or social proof urgency, the messages are personalized according to the sensitivity of each one. For example, we want to know whether customers are more sensitive to price stress or the social proof logic, namely whether the products have already been approved by other consumers.
- When launching new services, retailers have less information about customer interest. IA customization is then "cold", trying to guide customers from what is known of them and avoiding "noise" the message to those for whom it’s less relevant.
- The challenge for Cdiscount is to develop the subscription to its loyalty programs. It’s important to understand the journey of the client integrating these programs and to detect the interests by crossing qualified "arrival in the program" behaviors. This should allow to offer it to the right person, at the right time and with the right price.
For Simon Berthet-Bondet (Cdiscount), "the solution allows to be very agile in the activation of use cases. [...] At Cdiscount, we have to react very quickly on the figures [...] and the Kameleoon platform gives us access to this level of responsiveness ".
Cdiscount is one of the world's leading retailers, but Kameleoon has other clients in other industries. In absolute terms, it’s possible to imagine that all sectors will eventually adopt IA customization. For example, the Army today uses artificial intelligence to identify the true intent of people who come forward for recruitment.
Speakers : Jean-René BOIDRON, KAMELOON et Simon BERTHET-BONDET, CDISCOUNT
The objective of this one-to-one Monaco conference is to explain why the company Criteo, leader of the retargeting, speaks now of animation of audience. This company worked with La Redoute to segment the audience and thus support its marketing objectives.