Navigating the AI Revolution in E-retail: Consumer Perceived Benefits and Risks Unveiled

Abstract

The retail sector grew by 2% in 2024, compared to the same year's retail growth, according to Retailers Association of India (RAI) in its 53rd Retail Business Survey. Many customers started to buy online, which reduced their exposure to the virus the best way that was possible, as social distancing remained the best way to reduce the amount of exposure an individual would get. Online shopping has been a hot topic in recent years, and researchers noted ease of use, website or app design, and trust in the use of personal data collected as the major advantages of consumers using artificial (AI), while the biggest danger is retaining data privacy and security when a mobile application uses AI. With the e-retail and wholesale industry producing huge amounts of data that can be used for the implementation of data-driven technologies, the industry is quickly going through a transformation thanks to the implementation of artificial intelligence (AI) based solutions that enhance every aspect of the process. Numerous research has looked into the useful applications of AI based solutions in retail and wholesale over the years. This is an empirical study on the topic, "Benefits and Risks on Consumer in Integration of Artificial Intelligence in the E-retailing" in Vellore District, Tamil Nadu based on questionnaire survey method.