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Lazada - AI in ECommerce
  • By: LazBeat Staff
  • Nov 6, 2024

Lazada Launches New AI Upgrades and Whitepaper to Enhance ECommerce Experience

At its recent Lazada Convergence Forum, Southeast Asia eCommerce pioneer Lazada unveiled a suite of generative artificial intelligence (AI) upgrades as well as a whitepaper that delves into the adoption and integration of AI in online shopping.

Jointly developed with Kantar Profiles, the inaugural Artificial Intelligence Adoption in ECommerce in Southeast Asia whitepaper surveyed 6,000 shoppers across six regional markets to better understand consumer awareness, trust and preferences, shopping behaviors and pain points in relation to AI technology in digital commerce.

Notably, 88% of respondents said they make purchasing decisions using AI-generated content and product recommendations, and 80% of shoppers said they use AI features in eCommerce apps at least once a week.

The whitepaper also revealed the exceedingly high level of trust that consumers have toward AI-powered platforms, with 92% of respondents saying they rely on AI for personalized recommendations while 90% said the same for product summaries.

While respondents expressed positive attitudes toward AI, the whitepaper revealed that actual adoption of this technology in eCommerce remains lower than perceived, indicating a significant opportunity for industry players to further leverage AI and data-driven insights to elevate shopping experiences to meet consumer expectations. In fact, a huge majority of shoppers (83%) expressed a willingness to pay more for AI-powered shopping experiences, with many believing that AI improves the product discovery process, customer service and the overall enjoyment of online shopping.

“The launch of our inaugural whitepaper marks a pivotal moment in understanding how AI is shaping the future of eCommerce,” said James Dong, chief executive officer of Lazada Group. “As technology evolves, so do consumer expectations. This whitepaper explores the transformative potential of AI and provides insights into how businesses in Southeast Asia can harness it to create personalized, seamless and smart shopping experiences. At Lazada, we are committed to staying at the forefront of innovation, ensuring that AI drives both efficiency and enhanced customer engagement across all touchpoints.”

Dong also shared that Lazada would continue to invest in AI and cutting-edge technologies to revolutionize the eCommerce ecosystem. Reflecting this commitment, the company rolled out a suite of new GenAI in-app features designed to enhance shopper and seller experiences across its platform. The upgrades include a personal shopping assistant named AI Lazzie, smart recommendations, AI-generated product information and AI-generated models. Lazada is also leveraging the newly launched and improved iteration of Alibaba’s AI translation tool to support language localization needs across Southeast Asia.

“AI has become an integral part of the eCommerce landscape, enabling smarter decision-making and more tailored customer experiences at scale. As we dive deep into how we can enhance AI algorithms to personalize product recommendations, optimize supply chains and enhance customer service interactions, it is clear that AI will remain a key enabler in pushing the boundaries of what eCommerce can achieve. What excites me most is how we are building robust AI systems to solve complex technical problems in ways that directly improve the shopping experience for our customers,” said Howard Wang, Lazada Group’s chief technology officer.

“As Lazada implements AI at scale, we strive to create win-win scenarios for all eCommerce players while maintaining the human touch that remains essential in fostering authentic, lasting relationships with our shoppers, sellers, and partners in the ecosystem,” Dong added. “By embracing GenAI, we aim to create a more accessible, inclusive and personalized shopping experience for all.”

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