GS Shop has reduced the event preparation time for its merchandise planners (MDs) by 70% using artificial intelligence (AI).
On November 2, GS Shop officially launched the 'MD Curation System,' developed in collaboration with Amazon Web Services (AWS).
When MDs input event duration and planning intentions, the AI analyzes sales performance and customer behavior data to recommend products and assist with event setup and registration.
According to GS Shop, MDs managing products through the mobile application have previously spent about 40% of their total work hours preparing promotions.
This was due to the significant time required to check product information and sales performance across multiple systems and select items for display.
The new system incorporates four AI agents for product curation, automatic store mapping, trend sensing, and copywriting.
The product curation agent extracts up to 1,000 candidate products based on sales performance and customer behavior data.
MDs can interact with the AI to select products that align with the event's objectives. For instance, if they request products suitable for 'moisturizing and skin barrier care,' the AI analyzes product names and images to recommend relevant items.
Once products are selected, the automatic store mapping agent assists with event organization and product placement. For a cosmetics event, it creates sections for moisturizing care, cleansing, and brand displays, automatically categorizing products.
The trend sensing agent analyzes internal and external data to suggest event themes, while the copywriting agent proposes event names and marketing phrases.
During a pilot operation in October, approximately 40% of all promotions were created using the new system, reducing the time for product selection and event preparation by about 70%. Seventy-two percent of mobile MDs utilized the system, and GS Shop aims to increase this usage rate to over 90% by the end of the year.
Previously, GS Shop had also implemented AI in customer-facing search and recommendation systems, as well as in partner operations. In March, it revamped its partner-exclusive system, 'GS Shop Partners,' enhancing sales data analysis and AI chatbot features. This latest initiative expands AI application to internal MD operations.
Kim Yo-han, head of GS Retail's Home Shopping AX (AI Transformation) division, stated, "We will promote a work culture where practitioners and developers collaboratively find solutions through AI and connect this to tangible business results."
* This article has been translated by AI.
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