Business

Irish shoppers wary of artificial intelligence being used in retail spaces

Just 16% of consumers say they are excited by AI technology, according to Accenture survey

New research conducted by Accenture in Ireland found that shoppers in the Republic become less comfortable with AI the more personal it gets. Photograph: Leah Farrell/RollingNews.ie

Ian Curran
Wed Dec 20 2023 - 06:00

Irish consumers are wary about retailers using generative artificial intelligence (AI) to personalise their shopping experiences but are more likely to welcome it adopted by a store they know and trust.

New research conducted by Accenture in Ireland found that shoppers in the Republic become less comfortable with AI the more personal it gets.

Based a survey of more than 1,000 consumers, the research found that while some 70 per cent have heard of generative AI, just 16 per cent are excited about it and its application to online and in-store retail offerings.

When it comes to AI being used to offer personalised item recommendations using the technology to analyse their previous purchases and other data, about half of the survey respondents said they would not welcome assistance from the technology. The same proportion of shoppers said they would not welcome assistance from AI offering virtual try-on services, using the technology to predict how a particular item of clothes would fit the customer.

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Shoppers in the Republic are, however, slightly more open to the application of generative AI if it saves them time or money. Some 63 per cent would be open to recommendations on products that suit their budget, 60 per cent would like to receive suggestions on gifts tailored to their recipient list, and 56 per cent would be open to recommendations of products that pair well with their current or previous purchase.

The research also highlights a profound discrepancy within age groups and their acceptance of generative AI.

Consumers over the age of 55 are more hesitant, with only 5 per cent excited by its impact in the retail market, compared with a quarter of 18–24-year-olds and 12 per cent of 35–44-year-olds excited about how it will be used in the context of shopping.

“Generative AI has the potential to be a real game-changer in retail, transforming the way that businesses and consumers interact,” said Denis Hannigan, data and AI lead at Accenture in Ireland. The data shows that while there’s some apprehension among consumers, there’s also an appetite for generative AI when used to save them time, money or hassle.”

Last week, the European Parliament and European Council agreed on a set of harmonised rules governing the application of AI across the European Union and its impact on the fundamental rights of citizens.

Ian Curran

Ian Curran

Ian Curran is a Business reporter with The Irish Times

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