PODCAST:The AI in Business Podcast
TITLE:From Prescriptive to Conversational GenAI in Retail - with Michael Tambe of Amazon
DATE:2024-01-23 00:00:00
URL:
MODEL:gpt-4-gizmo
In this episode of "The AI in Business Podcast," hosted by Matthew DeMello, guest Michael Tambe, formerly of Amazon and now Head of Data and Analytics at GONG, discusses the evolution and future of AI in retail, particularly focusing on the transition from prescriptive to conversational AI. Tambe, with extensive experience in data science for sales and marketing, advocates for businesses to create a data-driven go-to-market engine, a concept he has championed throughout his career.
Tambe outlines the current state and challenges in implementing AI within sales processes. He notes that while prescriptive analytics have been a step forward, they fall short in sales due to the dynamic nature of customer interactions. Salespeople cannot always adhere to a rigid agenda set by prescriptive analytics, as customers often dictate the flow and content of interactions. This limitation has led to the exploration of generative AI as a solution, offering more adaptability and real-time responsiveness.
Generative AI's potential lies in its ability to process and respond to 'second party data' - information shared by customers during interactions that may not be systematically recorded. This capability could revolutionize the sales process by enabling AI to provide more tailored and contextually relevant recommendations and insights.
Tambe also touches on the challenges traditional retailers face in integrating AI into their infrastructures. He suggests a cautious approach, avoiding rigid architectural commitments and focusing on gradual integration, starting from enhancing existing workflows with AI capabilities. This strategy includes starting with summarization tasks and progressively incorporating AI deeper into the data stack.
Looking ahead, Tambe envisions a future where the line between digital and physical retail experiences blurs. The integration of AI in physical retail spaces raises questions about data collection and customer comfort with digital interactions in a physical setting. He acknowledges the 'fog of war' in predicting exactly how these technologies will evolve and be accepted by consumers.
Overall, the episode offers insights into the evolving role of AI in retail, highlighting both the potential benefits and challenges. Tambe's perspective emphasizes the need for a thoughtful, incremental approach to AI integration, respecting both technological capabilities and human psychology. As generative AI becomes more commonplace, its impact on retail and e-commerce is poised to be significant, reshaping how businesses interact with and understand their customers.
