Hey there!

This week there have been quite a few interesting AI developments that would definitely have an impact on the ecom bunch, so I would recommend you to keep scrolling till the end. Enjoy!

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Why are you reading this?

In this newsletter, I summarize the top AI ecommerce and Amazon developments so you can stay up-to-date in just a few minutes. I do the reading so you don't have to. Consider this your weekly AI ecommerce update to save you time while keeping you informed on what matters most.

1. After Amazon, Google Rolls Out An AI Product Image Generator

2. YouTube’s Two New AI Features

3. The OpenAI DevDay Announcements That Got Everyone Ravin’

4. Amazon And Meta Join Forces With A New Shopping Feature

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After Amazon, Google Rolls Out An AI Product Image Generator

Google unveiled a generative AI tool, "Product Studio," for U.S. advertisers, following Amazon's recent roll out of a similar thang. This AI-powered tool allows merchants to create new product imagery (for free) using text-to-image AI capabilities. Users can generate images with specific backgrounds or scenes, enhancing product presentations. For instance, seasonal product imagery can be created with relevant backgrounds, like tropical settings or winter scenes.

Additionally, the AI can improve low-quality images and remove unwanted backgrounds, eliminating the need for frequent, costly reshoots. This feature enables businesses to repurpose existing product photography for various campaigns, such as seasonal or thematic promotions, complementing their existing marketing assets.

The tool is accessible to all Merchant Center Next users in the U.S. and through the Google and YouTube app on Shopify.

What does this mean for ecommerce sellers?

As we’ve commented with the Amazon version too, the proof is in the pudding. This may initially just be a little gimmick to change basic backgrounds (perhaps not very well) at this point. But give it a couple of months and it’s very likely that the tech behind will keep getting better and better to the point where it actually will be usable.

P.S anyone who has access to Product Studio and wants to share their feedback and results, please emails us and we will feature it in the next newsletter.

YouTube is testing two new AI features aimed at enhancing user interaction and content discovery.

Firstly, it's testing AI-generated comment summaries, allowing for sub-discussions within comment streams. This feature helps creators identify viewer interests and engage more effectively by categorizing comments into topics. Creators can respond directly to these sub-topics or use them for content inspiration. This test is currently limited to a small number of English videos with large comment sections, available to YouTube Premium members.

The second feature is a conversational AI tool, designed to deepen viewer engagement with video content. This tool allows viewers to ask questions about the video, either using suggested prompts or their own queries, potentially guiding them to explore related topics more thoroughly. This feature is also in a limited testing phase, soon to be available to YouTube Premium members in the U.S. on Android devices.

What does this mean for ecommerce sellers?

YouTube has already been dabbling quite a bit with AI. (We’ve written about it in several of our previous issues) This includes experimenting with AI-generated backgrounds and content idea generators. While these features are not yet essential, they represent steps towards more significant AI integration in YouTube’s user experience and content creation processes and will probably shape quite a bit how users and brands use the platform in the future.

Okay so first to say, this is not purely AI news but read on to see how it all matches nicely….

Meta and Amazon have collaborated to integrate a new shopping feature within Facebook and Instagram. This feature allows users to link their Facebook and Instagram accounts with their Amazon account, enabling them to shop directly through Meta's social apps using their saved Amazon payment information and shipping address. Customers in the U.S. will see real-time pricing, Prime eligibility, and delivery estimates on selected Amazon product ads in these apps. This service is available for specific products advertised on Facebook or Instagram, sold either by Amazon or independent sellers on its platform.

The setup process is straightforward, requiring a one-time linking of Meta and Amazon accounts. After linking, users can complete purchases from product ads within their social media apps, utilizing their default Amazon shipping and payment details.

While Meta has shifted its Shops sellers to its own checkout experience, Amazon will handle its own payments in this arrangement. This deal also aids Amazon's foray into social commerce, complementing its efforts with its TikTok-like shopping feed, Inspire. The partnership emerges as a strategic move against TikTok's increasing influence in the e-commerce space, particularly among younger consumers.

What does this mean for ecommerce sellers?

Okay so this although not purely AI piece of news is very interesting from an AI perspective, because to me, it’s just one step away to getting it all to match.

Step 1 - Meta launches a bunch of AI Assistants that already know a ton about you and are learning more

Step 2 - Meta gains improved ad targeting and optimization using Amazon's data, leading to higher conversion rates (more data +Bypassing Apple App Tracking policies)

Step 3 - Amazon has a valid foothold on social to compete with TikTok. Also Amazon probably getting fed some Meta data as part of this deal = a lot more data to feed into Amazon’s future AI search experience (Project Nile)

Step 4 - Meta and Amazon create a data-driven AI-backed ecom wheel to target and capture audiences. Bingo.

How long this will last and how well it will be executed, it remains to be seen but it’s definitely one partnership worth watching….

• Amazon is developing a new conversational AI named 'Olympus' to compete with OpenAI and Microsoft in the corporate software market. Olympus, possibly debuting in December, aims to surpass AWS's existing language models, collectively known as Titan. While Titan is already in use for application development in personalization and search, Olympus is expected to offer more advanced capabilities, possibly enhancing Amazon's retail, Alexa, and AWS services. 

• Action Time: Here is a handy article outlining 4 AI Video Generators you can use (think TikTok, Insta etc)

Lindy- A new way to create AI employees

Success.ai- Supercharge your growth with AI-powered cold emails

Nexa.ai- Instant AI product & model photography at studio quality

Castmagic- Turn long-form audio into ready-to-use content assets, instantly

Orba: Convert your web visitors with personalized AI conversations

ShortVideoGen: A simple text-to-video generator with audio

Vidiofy- Convert articles into reels with ease and speed

Copy AI- Generate content, such as blog headlines, emails, and social media posts using AI

😍It was great, all I needed

🙂Good, not great

🙄It sucked