Artificial Intelligence in the E-commerce Sector: Market Competition and Future Opportunities Report
The Business Research Company's Artificial Intelligence In E-commerce Global Market Report 2026 – Market Size, Trends, And Global Forecast 2026-2035
LONDON, GREATER LONDON, UNITED KINGDOM, January 9, 2026 /EINPresswire.com/ -- "The role of artificial intelligence in transforming the E-commerce landscape has become increasingly prominent in recent years. Its ability to personalize shopping, optimize operations, and enhance customer interactions is reshaping online retail. Here, we explore the current market size, growth drivers, key regional insights, and the major factors influencing this dynamic sector.
Current and Future Market Size of Artificial Intelligence in E-commerce
The artificial intelligence in E-commerce market has seen swift expansion recently. It is projected to increase from $8.06 billion in 2024 to $9.12 billion in 2025, reflecting a compound annual growth rate (CAGR) of 13.2%. This growth during the past years has been largely driven by rising demand for personalized shopping experiences, enhanced search and discovery tools, chatbots and virtual assistants, as well as government initiatives supporting AI development. Looking ahead, the market is expected to accelerate further, reaching $16.3 billion by 2029 with a CAGR of 15.6%. Factors contributing to this growth include intensified emphasis on customer data analytics, growing investments in AI for E-commerce, higher demand for AI-powered product recommendations, expanding AI applications in supply chain management, and increased use of AI technologies for fraud detection. Emerging trends shaping the market include advancements in AI technology, the rise of voice commerce, optimized supply chains, AI-enhanced customer support, and conversational commerce.
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Understanding Artificial Intelligence in the E-commerce Context
Artificial intelligence in E-commerce involves utilizing AI methods and systems to improve various facets of online shopping, aimed at enhancing the overall customer experience. By integrating AI, businesses can boost sales, streamline operations, and reduce costs. These technologies help in delivering personalized product suggestions, improving the efficiency of search functions, managing inventory dynamically, and automating customer interactions, ultimately making the shopping experience smoother and more engaging.
Key Factors Accelerating Growth in Artificial Intelligence for E-commerce
A major driver for the expansion of AI in the E-commerce sector is the surge in online shopping activities worldwide. Online shopping, which involves purchasing goods or services via websites or mobile apps, has become more prevalent, creating a substantial demand for AI solutions that enhance customer engagement and optimize business operations such as pricing strategies and inventory control. For example, in August 2023, Shopify Inc., a leading Canadian E-commerce company, highlighted that the global E-commerce market is expected to reach $4.8 trillion by 2025 and continue its upward trend thereafter. This growth reflects the increasing profitability of cross-border E-commerce and the expanding opportunities for online retailers. It is also projected that by 2027, nearly 23% of all retail sales will occur online, reinforcing the critical role of online shopping in driving AI adoption in this space.
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North America’s Dominance in Artificial Intelligence for E-commerce
In 2024, North America held the largest share of the artificial intelligence in E-commerce market. The comprehensive market analysis includes important regions such as Asia-Pacific, Western Europe, Eastern Europe, South America, as well as the Middle East and Africa, providing a broad view of global market dynamics and regional variations in growth and adoption rates.
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