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How E-commerce websites are using generative-AI in India?

How ecommerce firms use AI

Big e-commerce players in India such as Amazon, Flipkart, & Myntra have quickly adopted generative AI in their business and this is how the tech had helped their users.

When it comes to e-commerce, increased engagement with the customers is essential for the operations and new techs like generative-AI assist a lot. By interacting with customers via a chatbot, personalizing the feed based on user’s history, and improvements in product descriptions, AI has a huge potential in the modern-day online shopping.

To drop in more, I’ve aggregated how four e-commerce companies in India (Amazon, Flipkart, Myntra, Nykaa) use generative-AI in their stream of operations which would possibly give an insight of application and potential of AI for the new players, future entrepreneurs and readers.

Amazon – ‘Rufus’

Rufus AI. Pic Credits: Amazon

Amazon introduced a generative-AI expert shopping assistant named “Rufus” in the early 2024. The AI is trained on Amazon’s extensive product catalogue, customer reviews, community Q&As and information from across the web. Rufus can answer to customer questions on a variety of shopping needs and products, provide comparisons, and make recommendations based on conversational context.

Rufus helps customers in their shopping experience in number of ways.

Amazon also uses AI to write convincing product descriptions and review summaries.

Flipkart – ‘Flippi’, ‘Immerse’

Flipkart’s Flippi AI assistant

Flipkart, the second-biggest e-commerce company in India, uses artificial intelligence in both assisting the customers’ shopping and in enhancing the business operations. Flipkart blends AI in different notions – as AI assistant (Flippi), AI search (Immerse) and a SLM for its operations and supply chain.

Flipkart unveiled a conversational virtual assistant called “Flippi,” which is powered by ChatGPT. The AI will help customers in answering open-ended questions, provide expert opinions on products, assist in budget-related choices and offer age-appropriate recommendations.

Flipkart also announced an AI-powered search experience in the app called “Immerse”, which shows prompts on top of the products, easing the search efforts for you. For example, on top of a product image, variations of the product like size, color, and price will hover on, making it easy to get what we look for. Immerse is a multimodal AI, enabling users to search via images too. The AI is also transforming search queries allowing users to search in regional language in India.

Flipkart is also building its own small language model (SLM) and applying those in every aspect – supply chain, preventing fraud, and advertising. On the seller side, AI is used for stock image generation and cataloguing.



Myntra – ‘MyfashionGPT’

Myntra MyFashionGPT

Myntra released a generative-AI feature in late 2023 called “MyFashionGPT”, which is built on Microsoft Azure’s OpenAI service. The AI allows shoppers to search using natural language instead of keywords, opening up new possibilities for product discovery.

MyFashionGPT understands open-ended questions like “show me clothes for a beach vacation” and returns relevant items spanning categories of beachwear, hats, sunglasses and more. This unshackles shoppers from the limitations of conventional search that relies on matching specific keywords already present in a product catalogue.

Myntra says its data shows shoppers using the AI assistant are 3x more likely to make a purchase. The assistant also helps discover complete looks, driving a 16% average increase in categories per order.

Nykaa – ‘ModiFace’

Nykaa’s AI-powered try-on feature

Nykaa partnered with LÓreal to bring its AI-powered virtual try-on technology ‘ModiFace’ for Indian users. The new technology will help create an enhanced beauty experience for makeup enthusiasts while buying beauty products online.

Explaining that the ModiFace technology will allow photo-realistic results and AI enabled shade calibration, the company said “the Augmented Reality (AR) simulation of each shade is done automatically- based on Al-powered analysis of information provided by makeup brands along with visuals and descriptions of the products on social media.”


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