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AI eCommerce Glossary
Microsoft’s curated glossary of essential AI terms—from artificial intelligence and machine learning to large language models, generative AI, agent-driven tools, multimodal models, and responsible AI—provides a valuable foundation for eCommerce businesses to understand the rapidly evolving language development.
08/09/25:
eCommerce
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Personalisation
Market Segmentation Strategy
Recognising and targeting specific market segments is crucial for eCommerce companies tailoring strategies that resonate with different customer groups. Market segmentation divides a broad consumer or business market into sub-groups of consumers based on shared characteristics such as demographics, interests, or buying behaviours.
05/09/25:
Optimisation
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Personalisation
Product Discovery
Product discovery is the process by which customers find, explore, and engage with products within an eCommerce site, and it plays a pivotal role in driving conversions and customer satisfaction. In today’s busy digital world, shoppers are no longer satisfied with simply searching for an item—they expect to be inspired, guided, and supported in finding products that suit their needs and preferences.
03/09/25:
Brand Retention
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eCommerce
Purchase Path in eCommerce
The purchase path is the journey a customer takes from initial awareness of a product or brand to the final purchase decision, and it is one of the most vital concepts in eCommerce strategy. This path is rarely linear, as modern shoppers interact with brands across multiple channels, devices, and touchpoints before committing to a purchase.
Smart Search: AI Answer Engines
As eCommerce evolves, AI answer engines become vital to helping users navigate complex product ranges, understand key differentiators, and make confident purchasing decisions.
27/08/25:
Automations
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Conversion Rates
Abandoned Browse Sequences
Abandoned browse sequences are a form of behavioural-triggered marketing automation used to re-engage shoppers who have viewed products on an eCommerce site but left without adding anything to their cart. Unlike abandoned cart sequences that...
25/08/25:
Brand Retention
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Conversion Rates
Peak-End Rule
The peak-end rule is a psychological principle suggesting that people remember an experience not by its entirety, but by the most intense moment and the way it ended. In the context of eCommerce, this means...
Intuitive Shopping Experiences
An intuitive shopping experience is one where users can easily navigate a site, find products, and complete purchases with ease, achieved through a combination of user-friendly design, seamless navigation, and smart features like personalised recommendations...
AI Search: Product Discovery
The way customers find products online is undergoing a radical transformation thanks to AI-powered search and discovery, as showcased in OpenAI’s latest developments with ChatGPT. Traditional keyword-based search is rapidly being replaced by conversational, generative...
06/08/25:
Cyber Security
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eCommerce
Ensuring Secure Transactions
Adopting comprehensive security measures to ensure secure transactions and protect sensitive data from cyber threats can build trust, integrity and consumer confidence. Implementing Secure Socket Layer (SSL) certificates is fundamental, as it encrypts data during...