With technological advancements, on-demand apps are becoming more innovative and competitive. Since 2010, different technologies such as artificial intelligence, blockchain, the Internet of Things, AR/VR, and autonomous vehicles have rapidly evolved on-demand apps. This results in unparalleled convenience, hyper-personalization, increased sales and ROI, and more, which is making businesses embark on an AI-supercharged, on-demand app development journey.
According to cognitive market research, the global on-demand delivery market will be worth $16251.2 million in 2024 and grow at a CAGR of 4.30% from 2024 to 2031.
The stat confirms that on-demand apps will shine with advanced technology leverage. Netflix, Swiggy, Spotify, and SkinVision are popular on-demand applications that have leveraged AI to simplify the user journey, offer personalized recommendations, etc. This blog will teach how AI and automation change the on-demand app development game.
How is AI-driven automation transforming on-demand app solutions?
AI is now more than a trend for on-demand apps due to the innovative possibilities it’s creating for businesses. Here are the ways businesses can leverage AI innovations for on-demand apps.
– Automate customer support with an AI chatbot
Frictionless customer support 24/7 in on-demand apps stays at the core as this concept gained massive traction to meet the need for instant gratification. AI-driven virtual assistants will answer users’ queries instantly without human intervention. The round-the-clock availability and faster, contextual responses increase user satisfaction and turn them into loyal, potential customers.
Additionally, it helps businesses save the expense of recruiting customer support personnel to answer repetitive questions. The AI chatbots are trained to handle frequently asked questions and continuously learn from user queries, enhancing their capability to handle complex queries. Swiggy integrated an AI chatbot to answer users’ queries, helping them reduce operational costs.
– Improve search functionality with AI capabilities.
Auto-complete, intelligent suggestions, and recommendations based on recent searches have become part of the search functionality in custom software development. AI enables the search functionality to be taken to the next level with image recognition, voice optimization, and predictive search.
Google Lens technology allows users to upload an image and get relevant results, which is a popular example of image search. Voice-over search has equally gained traction, allowing users to search offerings based on voice commands. It simplifies the search and enhances user experience, translating into high conversion.
– Grow business with AI analytics-powered decisions.
Guessing games never allow businesses to operate profitably. Instead of shooting in the dark, AI-driven on-demand apps help businesses deeply analyze users’ buying patterns, market trends, fluctuations in sales, and other activities. The detailed reports and rich insights help make data-driven decisions.
AI predictive analytics projects customer demands, which helps optimize inventory accordingly; forecast market trends, which helps modify pricing strategies; and identify churning rates, which enables creating strategies to engage customers.
– Better understanding of users with AI-based emotion recognition
Understanding users’ emotions will help on-demand apps take user personalisation to the next level. AI emotion recognition technology enables the capture of user emotions with audio data interpretation capability that helps understand voice intonation and image processing capability that better comprehends facial expressions.
Such technology improves the on-demand app’s performance in terms of better user experience. Spotify has also leveraged AI emotion recognition technology to play apt soundtracks based on their voice feedback analysis.
– Prevent security breaches with AI technologies.
With technological advancements, cybercrime is also evolving at the same pace. On-demand solutions are essential to keeping hackers at bay. AI helps identify anomalies or vulnerabilities and fix them before they manipulate the system at scale. Identifying and stopping unusual user behavior helps avoid account takeovers.
Besides, using AI biometrics for user authentication is a good practice that improves security. Face recognition technology helps users authenticate themselves easily and prevent fraudulent activities.
– Enable hands-free interactions with AI voice assistants
Now, users prefer to search for products or services on on-demand solutions over voice rather than typing. The improved accessibility with hands-free voice assistant interaction improves things for users. For example, the booking services over voice command make the booking experience the best.
Another point in the case is real-time language translation, wherein the app translates the dialects into users’ preferred language, thus making global communication possible.
– Optimize marketing efforts with AI-driven campaigns.
Generic marketing campaigns won’t bring results in an era when users want everything personalized. AI facilitates the creation of tailored marketing campaigns based on customer behaviour analysis. AI-driven marketing campaigns include sending customized push notifications tailored to user browsing patterns or purchase history or generating automated emails for the users with their name and content regarding the app’s activities that bring them back to the app.
AI sentiment analysis will help create hyper-targeted campaigns that drive high ROI. AI-powered ad marketing also brings optimal results to businesses. Connect with a Saas app development company to improve marketing efforts a notch using AI.
– Increase sales with AI-enabled recommendations.
It’s an age of contextual content for which users are ready to pay more. AI integration in on-demand apps facilitates sending personalised content to users based on past behaviour and browsing patterns, engaging them and making them purchase services.
Netflix uses AI-driven recommendation algorithms that offer personalised content suggestions. Furthermore, video streaming quality is adjusted based on users’ network conditions, which retains users and converts them at scale.
Ready to accept the big AI change?
AI technology drives the on-demand economy with unique capabilities, including conversational interface, emotion recognition, image processing, personalised recommendations, biometrics, real-time language translation, and others. Businesses can use AI to their advantage and leapfrog the competition with its proper implementation. Partner with the right on-demand app development company that helps harness the AI capability and drive winning outcomes.
About the Author Bio:
Name: Anil Patel
As a Digital Marketing and content Strategist Planner at NectarBits, A Leading Software Development Company in the USA and a Saas Small business Solution in Canada, I am effectively behind the company’s content strategy, copywriting, brand communication, and operations. My prime focus is Content Marketing and ROI. I love writing and sharing knowledge. On weekends, I like to watch Tom and Jerry cartoons on TV.
