Fraud Detection Fuels The Growth Of AI-Enabled E-Commerce Solutions: The Driving Engine Behind Artificial Intelligence (AI) Enabled E-Commerce Solutions Market Evolution in 2025

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Artificial Intelligence (AI) Enabled E-Commerce Solutions Market Size Growth Forecast: What to Expect by 2025?
The market size for AI-enabled e-commerce solutions has experienced a substantial expansion recently. It is projected to escalate from $5.81 billion in 2024 to $6.67 billion in 2025, recording a Compound Annual Growth Rate (CAGR) of 14.8%. The growth during the historical period can be credited to the surge in the utilization of machine learning algorithms, the growing popularity of personalized shopping experiences, better customer service owing to AI chatbots, enhanced product recommendation systems, and the automation of inventory management.

How Will the Artificial Intelligence (AI) Enabled E-Commerce Solutions Market Size Evolve and Grow by 2029?
The AI-integrated e-commerce solutions market is projected to experience swift expansion in the coming years, eventually reaching a value of $11.26 billion by 2029, with a Compound Annual Growth Rate (CAGR) of 14.0%. This growth during the forecast period is credited to the broader application of AI in aspects like fraud detection and prevention, the surge in voice commerce interfaces, the use of augmented reality for better shopping experiences, the rise of AI-backed visual search capacities, and the exploitation of predictive analytics for creating dynamic pricing strategies. Key trends to note during the projected period include a greater emphasis on sustainability and responsible AI implementation, increased personalization through refined AI algorithms, adoption of AI in refining supply chain and predictive inventory management, the development of AI-powered personal shopping assistants and concierge services, and the expansion of AI-based recommendation engines across a variety of channels.

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What Drivers Are Propelling the Growth of Artificial Intelligence (AI) Enabled E-Commerce Solutions Market Forward?
The anticipated growth of the artificial intelligence (AI)-enabled e-commerce solutions market is largely driven by the escalating demand for fraud detection and prevention. This entails proactive measures and the application of cutting-edge technologies geared towards recognizing, curbing, and halting fraudulent activities. The proliferation of digital transactions, the continuous evolution of fraud techniques, and the escalating intricacy of interconnected platforms underscore the need for robust safeguarding of assets and the preservation of financial operations' trustworthiness. By providing sophisticated capabilities to spot and curtail fraud, AI-enabled e-commerce solutions bolster the confidence, security, and efficiency of online transactions. For instance, a survey conducted by Cybersource, a US-based payment gateway company, revealed that global fraud attacks, like phishing, pharming, and whaling, rose to affect 43% of 1,072 surveyed merchants in comparison to 35% in 2022. Additionally, abuse incidents involving coupons, discounts, and refunds rose to 30% in 2023 from 25%. Thus, the growing emphasis on fraud detection and prevention fuels the expansion of the artificial intelligence (AI)-enabled e commerce solutions market.

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Which Emerging Trends Are Transforming the Artificial Intelligence (AI) Enabled E-Commerce Solutions Market in 2025?
Key companies in the artificial intelligence (AI)-enabled e-commerce solutions market are concentrating on the creation of state-of-the-art conversational product discovery tools. This includes the development of advanced personalization technology like AI-driven shopping assistants, to provide a competitive edge with personalized and uninterrupted shopping experiences. The AI-driven shopping assistant is a virtual device that leverages AI to deliver customized recommendations and assistance during online shopping. For example, in January 2024, Constructor, a company based in the US and recognized for offering creative e-commerce and AI solutions, premiered an AI Shopping Assistant (ASA) conversational product discovery tool. The ASA implements transformers to energize its conversational tool for product discovery, which empowers customers to articulate their demands in a longer, natural language form and acquire personalized product and content suggestions. The ASA adapts from every step of the consumer's shopping journey, hence, it refines the shopping experience depending on the shopper's preferences, historical data, and intended actions. This blend of generative AI and personalization technology gives the ASA the ability to provide suggestions comparable to a reliable in-store associate by considering the shopper's specific requests and the current inventory of the e-commerce company.

What Are the Key Segments in the Artificial Intelligence (AI) Enabled E-Commerce Solutions Market?
The artificial intelligence (ai) enabled e-commerce solutionsmarket covered in this report is segmented -

1) By Technology: Deep Learning, Machine Learning, Natural Language Programming
2) By Deployment: On-Premises, Cloud
3) By Application: Customer Relationship Management, Supply Chain Analysis, Fake Review Analysis, Warehouse Automation, Merchandizing, Product Recommendation, Customer Service

Subsegments:
1) By Deep Learning: Image Recognition, Product Recommendations, Customer Behavior Prediction, Fraud Detection
2) By Machine Learning: Personalized Shopping Experience, Dynamic Pricing, Inventory Management, Sales Forecasting
3) By Natural Language Processing: Chatbots, Voice Search Optimization, Sentiment Analysis, Product Search And Filtering

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Who Are the Key Players Shaping the Artificial Intelligence (AI) Enabled E-Commerce Solutions Market's Competitive Landscape?
Major companies operating in the artificial intelligence (AI) enabled e-commerce solutions market report are Microsoft Corporation; International Business Machines Corporation; Oracle Corporation; SAP SE; Salesforce.com Inc.; Adobe Inc.; Shopify Inc.; Sitecore Corporation A/S; Bazaarvoice Inc.; BigCommerce Pty. Ltd.; BloomReach Inc.; Yotpo Ltd.; Commercetools GmbH; Optimizely Inc.; Magento Inc.; RichRelevance Inc.; Coveo Solutions Inc.; Ada Support Inc.; Elastic Path Software Inc.; Inbenta Technologies Inc.; Uberflip Inc.; Nosto Solutions Ltd.; Klevu Oy; Landbot.io S.L.; Hellotars Inc.

What Geographic Markets Are Powering Growth in the Artificial Intelligence (AI) Enabled E-Commerce Solutions Market?
North America was the largest region in the artificial intelligence (AI)-enabled e-commerce solutions market in 2024. The regions covered in the artificial intelligence (AI) enabled e-commerce solutions market report are Asia-Pacific, Western Europe, Eastern Europe, North America, South America, Middle East, Africa.

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