Voice commerce, often known as V-commerce, is a sort of ecommerce in which users use voice instructions to make purchases. This might be accomplished via a voice assistant like Amazon’s Alexa, Google Home, or a chatbot. Although voice commerce is still in its early phases, many businesses are already investing in it.

Artificial intelligence is rapidly evolving. This allows virtual assistants such as Alexa, Google Assistant, and Siri to use a broader vocabulary and more natural language. This suggests that offering personalized responses to specific topics boosts audience trust in virtual assistants. This trust increases the likelihood of shoppers using smart speakers and virtual assistants for online buying, resulting in a rise in conversational commerce.

Voice recognition technology dates back as far as 1961. IBM engineer William C, Dersch created the first-ever voice recognition system, called “Shoebox”. It recognized 16 spoken words but was only used to calculate math problems. Nonetheless, it was the first step into the world of voice technology.

In 2011, voice assistant, Siri, became available on iPhone. Google soon released Google Now. This voice assistant had the ability to anticipate user behavior. It also provided updates on the weather and traffic reports.

The truth is, it’s only the beginning of a time where consumers use voice commands to search and shop online, since some still remain hesitant. Though voice technology and voice assistants aren’t recent innovations, the adoption of voice commerce has been a slow and steady one.

The number of users may be low, but customer satisfaction is high; 80% of users that place orders using voice commerce are satisfied with the experience. This could be an opportunity to increase satisfaction for B2B and B2C customers because voice commerce could be a key component in the purchase process.

Regardless of slow adoption, the future for digital voice commerce is looking bright. The surge in voice-based assistants in the past 10 years (like Amazon Alexa, Google Home and Siri) has consequently led to a parallel jump in consumers looking to adopt voice commerce.

Now that we know what voice commerce is, let’s look at how it works.

Voice commerce relies on voice assistants to function. Voice assistants are software programs that understand and respond to voice commands. They use natural language processing (NLP) to interpret the user’s words and carry out the appropriate actions.

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Regarding voice commerce, NLP interprets the customer’s purchase intent. For example, if a customer says, “I want to buy a new dress,” the voice assistant will be able to understand that they want to purchase a dress and will take them to the relevant product page.

Of course, voice assistants don’t just rely on NLP to understand customer queries. They also use artificial intelligence (AI) to learn more about the customer’s preferences and purchase history. This means that they can provide more personalized recommendations.

For example, if a customer has previously bought a dress from a particular brand, the voice assistant might suggest similar items from that same brand. Or, if the customer has purchased a dress in a specific style, the voice assistant might suggest other dresses in that style.

In short, voice assistants use NLP and AI to understand customer queries and provide relevant recommendations. This makes it easier for customers to find what they’re looking for and make purchases using voice commands.

Voice commerce is meant to be simple to execute. From a consumer point of view, all you need is your voice and the technology to make the sales transaction take place. Here are the requirements:

1. You need a device that has an active voice assistant; this can be a smartphone, smart device or specific voice activated devices (like Microsoft Cortana or Samsung Bixby). These devices should include a working built-in microphone with enabled voice commands. Here, you can activate the device with a prompt like “Hey Siri”.
2. You need to use a trigger word (usually a verb or action) as a catalyst for voice search or voice commerce. For example, if you spoke the command, “Siri, order product XYZ,” “order” would be the trigger word.
3. In order to implement voice commerce completely hands-free, payment should be automated. Payment can be made through subscription platforms like Apple’s App Store or Amazon Prime where your preferred payment method is loaded.

Below are some benefits that come with voice commerce:

Convenience

The biggest advantage of voice commerce is how easy and quick it is to use. All you need to activate it is a device with a voice assistant and your own voice. It allows consumers to shop when they’re cooking, multitasking, or even driving. Purchasing products online has never been easier with hands-free voice commerce. Customers don’t even have to log in or fill in their personal details on a company’s web store to purchase a product online: saving valuable time and maximizing ease.

Improved customer experience

In most cases, you will need a subscription to a platform to make use of voice commerce. This may be a barrier to entry but in fact, increases trust and boosts motivation to place orders. Let’s take Amazon’s Alexa for example, Amazon Prime makes it easy to place, track and cancel orders and here you can ask for exclusive discounts. Devices can then gather more data from their owners and use this data to create a more personalized experience by recommending products and recognizing purchase patterns.

Personalizing buying experiences

In the same breath of offering exclusive discounts, devices can then gather data from previous purchases or behavioral patterns and use this data to create a more personalized experience. Some examples include suggesting related products or frequently purchased items. These features have the potential to bring the buying experience to life for the customer.

Now that you’re acquainted with voice commerce, it’s evident that this technology is poised to transform e-commerce. Its ease of use and smooth user experience make shopping with your voice simple. Businesses must adjust to remain competitive as voice assistants get increasingly advanced.

Explore emerging e-commerce tactics and strategies to remain ahead of the competition. Learn how voice commerce and other technologies influence online shopping. Don’t pass up the opportunity to maximize the potential of your company.