Tap into the Power of GenAI to Enhance Consumer Experience: Accenture Report

Retail, consumer goods, and travel companies have a significant opportunity to leverage generative AI to enhance the purchasing journey of consumers according to a recent  Accenture research report titled "The Empowered Consumer".

The study is based on a survey of 19,000 consumers across 12 countries, including India.

Key Findings of the Report

• High Abandonment Rates

76% of consumers in India feel inundated by too many choices, and 74% are overwhelmed by advertising, leading to 88% abandoning purchases in the last three months of 2023.

• Decision-Making Stress

The report, titled “The Empowered Consumer,” emphasizes the difficulty consumers face in decision-making across retail, travel, and consumer goods industries. A significant portion of consumers in India (67%) perceive no improvement or even an increase in the time and effort required to make purchase decisions.

• Comparative Difficulty

The challenges span across various categories, from buying snacks to booking travel, highlighting that even simple purchases can be as complex as more significant buying decisions.

Generative AI can be A Solution for Consumer Overload

Vineet R Ahuja, Managing Director and Lead of Strategy & Consulting at Accenture in India emphasized the importance of leveraging generative AI to reduce decision stress. “Our survey shows that Indian shoppers are experiencing greater ‘decision stress’ at every stage of the buying journey. Consumer-facing companies will need to rethink how products and services are branded and marketed, making it easier for shoppers to navigate through the noise and make confident purchase decisions.”

The report suggests that generative AI and other technologies can fundamentally shift decision-making. Companies have the potential to make significant changes across discovery, conversion, and loyalty to reinvent their relationships with consumers.

Amneet Singh, Managing Director and Lead of Products at Accenture in India, noted, “The use of generative AI and AI-powered advisors in retail and consumer goods can enable companies to better understand their customers, deliver relevant and engaging experiences, and drive business growth.”
Consumers are increasingly open to using generative AI-powered advisors, with 82% of survey respondents in India expressing willingness to use such solutions for shopping-related advice and support. The report emphasizes that companies must look holistically at their core operational processes to unlock value at scale using generative AI.

Deepening Consumer Relationships

The research underscores the importance of getting the basics right in delivering shopping experiences that retain consumers. While 79% of consumers in India find some parts of shopping fun or exciting, 74% are frustrated by out-of-stock products. Generative AI tools and assistants present an opportunity to enhance consumer trust and loyalty.

Accenture research reveals that leveraging generative AI can address the pressing issue of information overload, helping companies enhance consumer engagement, reduce decision stress, and drive revenue growth. Early adoption of these technologies will be crucial for consumer-facing companies aiming to capture value swiftly and at scale.