“Gartner says it’s time for business and IT leaders developing AI projects to separate reality from myths to devise their future strategies
Myth #1: AI works in the same way the human brain does
Myth #2: intelligent machines learn on their own
Myth #3: AI can be free of bias
Myth #4: AI will only replace repetitive jobs that don’t require advanced degrees
Myth #5: not every business needs an AI strategy”
“’Four years ago, AI implementation was rare, only 10% of survey respondents reported that their enterprises had deployed AI or would do so shortly,’ said Chris Howard of Gartner. “For 2019, that number has leapt to 37% – a 270% increase in four years. “If you are a CIO and your organization doesn’t use AI, chances are high that your competitors do, and this should be a concern.”
I love this type of post…it’s a data goldmine.
- Ecommerce in the US has grown rapidly. In 2017 Americans spent a total of $435 billion shopping online, according to the Ecommerce Foundation. With an annual growth rate of over 15%.
- Even though Amazon is clearly the leading online retailer in the US with a market share of over 50%, followed by Walmart (14%) and Apple (6%)
US consumers like to be informed about deals. 96% of shoppers report seeing recommendations while shopping, but only 17% of them find these suggestions relevant.
- A recent Deloitte Insights survey found that more than 60 percent of shoppers prefer online channels.
What US consumers buy online?
- According to a new Gartner forecast, “Global retail sector technology spending will grow 3.6 percent to reach almost $203.6 billion in 2019, with similar growth rates for the next two years.”
- Fashion (clothes, accessories, shoes) 74%
- Travel (flight, hotels, tours) 56%
- Digital goods 48%
- Entertainment experiences (tickets for concerts) 47%
- Groceries and consumer packaged goods 47%
- Furniture 29%
- Financial products (insurance, loans) 22%
“Gartner expects that by 2021, early adopter brands that redesign their websites to support visual and voice search will growtheir digital commerce revenue by 30 percent.
Shopping cart abandonment is an industry-wide scourge. It’s estimated that upwards of 70 percent of online shopping carts are abandoned before customers complete their purchases.
there’s a correlation between the lack of enthusiasm CMOs feel for their digital performance and the fact that only 36 percent of global marketing decision makers telling Forrester they use AI.
Yet only 7 percent of Chief Marketing Officers (CMOs) surveyed recently by IBM said that their digital transformation initiatives were exceeding their expectations.
The US Census Bureau pegs Q2 e-commerce sales at $127.3 billion, an estimated 9.6 percent of all US retail sales in the second quarter of this year. Online sales, number of orders and overall traffic to e-commerce sites are all up. On average, consumers spend $114.19 per online order”
“Let’s examine the 2019 strategic predictions. I’ll look at the 2019 technology trends next time.
Good, Silly and Weird Predictions
On October 16, Gartner published its “top strategic predictions for 2019 and beyond.” It leads with the prediction that “AI skills don’t scale.” I love the way they describe the challenge: “through 2020, 80% of AI projects will remain alchemy, run by wizards whose talents will not scale in the organization.” This may be the most important observation-turned-prediction on the list. There’s no question there’s a shortage of AI talent. Demand is way outstripping supply, which means scalability, interoperability, standardization and best practices are in danger of atrophy. The only beneficiaries of the current shortage are the few with genuine skills and competencies whose compensation will continue to skyrocket. It’s time for everyone to invest in the education and training necessary to exploit the potential of AI, especially colleges and universities. Gartner got this one right.”