Last year, Lazada launched the first ChatGPT-powered chatbot for e-commerce in Southeast Asia. If you haven’t heard of this, try going to your Lazada app. Pull down from the top of the screen and then release once you see a cute-looking lion winking at you. That’s LazzieChat.
Pauline Castro, Lazada Philippines’ head of user product operations, said that Lazada is standing at the forefront of the AI revolution.
With 60% of e-commerce companies in Southeast Asia adopting some form of AI into their business models, Castro said that they have leveraged on its potential to the “extra mile.”
“So, why is AI important for us? The answer really lies in our relationship with our users,” Castro said during PhilSTAR Next’s AI Summit last October 11 at The Space – One Ayala in Makati City.
And from that talk, we listed down five ways Lazada has turned AI into an online shopper’s trusted shopping buddy.
1. Real-time assistance
LazzieChat can act as a personal shopping assistant. It helps users with product searches, offers recommendations, and even provides real-time support.
The chatbot can tailor its assistance based on the user’s budget, preferences, and shopping patterns, streamlining decision-making for customers.
“It’s always ready to guide, assist, and inspire,” Castro said.
2. Curated catalogs for fashion and beauty
Lazada uses AI to dynamically curate fashion and beauty catalogs for users, reflecting their unique style and preferences.
“Our AI is also able to dynamically curate millions and millions of catalogs for our shoppers,” the head of user product operations said.
The catalogs evolve with every purchase and interaction, learning from users’ preferences to make sure that the products match their specific tastes and needs.
3. Community-driven product reviews
Castro said that Lazada knows that trust is built through shared experiences. So, Lazada’s AI-powered Ask The Buyer tool helps users generate and access real, meaningful product reviews and experiences.
This technology analyzes and summarizes millions of reviews. This way, shoppers can get valuable insights from other buyers when making purchasing decisions.
“What we are seeing is that the power of community—that sense of community and trust is really within our app and ecosystem.”
4. AI-powered search and augmented reality integration
Lazada has introduced AI-powered search to enhance user experience, allowing customers to find products more easily.
Additionally, AI is integrated into augmented reality features, particularly in beauty and skincare shopping, enabling users to capture their skin profile and visualize products through virtual try-ons before purchasing.
“It’s your unique style curated by AI. Tailor your fashion persona and your beauty profile,” Castro said.
5. Tailor deals, vouchers, and discounts according to user’s shopping behavior
AI also enables Lazada to offer personalized deals and vouchers from analyzing users’ shopping habits and preferences, so the platform can deliver discounts that feel more relevant, making shoppers feel rewarded and valued as they shop.
By analyzing user spending patterns, Lazada’s AI points out opportunities for discounts and promotional offers. It suggests timely offers based on a user’s purchase history as well as consideration for special occasions, like birthdays.
Bonus: LazzieChat can tell jokes and help you on your next date
Aside from being an AI-powered search engine, if you scroll down the search bar, you’ll find that LazzieChat can even socialize with the user.
It can give you ways to win someone’s heart on a dating app, make ice-breaker topics, and make birthday messages. It has a lot of weirdly specific things for you to explore while you shop.
Castro said that Lazada values every visit and interaction they have with its users.
“Every click is an opportunity for us to unlock a deeper connection and lasting relationships with our users.”