The Transformative Potential of AI in Customer Purchasing Journeys

AI-powered search tools, personalised recommendations and virtual assistants can be essential tools in the discovery and evaluation stages of consumer journeys.

Customer experience is reaching a new definition of “seamless,” with the advent of checkout-less payments, conversational agents and personalised recommendations, amongst other offerings. A lot of this can be credited to artificial intelligence. While businesses across the globe are increasingly integrating AI as a core part of their martech stacks, customers are showing enhanced willingness to use the technology as well.

A new study shows that as income and purchasing power increases among 18 to 44-year-old AI enthusiasts, this demographic will command an estimated $4.4 trillion of AI-influenced consumer spending in the US by 2030. In the UK, this spending projection is estimated at $690 billion, in Australia it’s at $669 billion, and in Germany it’s at $539 billion.

As per this research, there are three phases of a customer purchasing journey where they encounter the use of AI: Learn, Buy and Use. Let’s look at these three more deeply and understand the levels of comfort displayed by customers in the respective phases.

Learn – The discovery phase of making a purchase decision

In this phase, consumers are most comfortable using AI.

Across all consumer age groups, 47% cite they are comfortable using AI to help choose products and services. In this phase, AI-powered search tools, personalised recommendations and virtual assistants can be essential tools in the discovery and evaluation stages of consumer journeys. Technology companies are already building these capabilities into their consumer-facing toolsets, making it easier for consumers to use AI to gather information and shortlist options.

Buy – The decision-making phase

At this stage, consumers harbor more hesitation.

In this phase, consumers share concerns around security and trust when it comes to using AI. The study showed 75% of consumers are unlikely to allow AI to automatically reorder or pay for high value items without their direct authorisation. Additionally, only 16% of those who are 55 years and older are comfortable using AI during this phase (and only 33% are comfortable among the 18–44-year-old group).

Use – The post-sale engagement phase

Comfort levels begin to rebound in the final step of the journey.

In this phase, consumers benefit from AI’s ability to help them tap into time savings and targeted services that add value to their after-purchase experience. Across all consumers, nearly a third (28%) said they are comfortable with AI reordering low-priced items. For example, smart HVAC systems could intelligently reorder air filters from the manufacturer directly, reducing the onus on consumers to identify the need for replacements themselves or reliance on local retailers to deliver supplies in a timely manner.

These figures presented by the study New Minds, New Markets by Cognizant and Oxford Economics focus on customers’ openness to using AI in the buying experience.

The study also predicts that US consumers who embrace AI could drive nearly half (46%) of spending by 2030. In Australia, this projection rises to 55% over the same period. In Germany it’s estimated at 46% and in the UK, it’s at 39%.

“As AI-influenced buying evolves, businesses must navigate mixed consumer attitudes towards AI,” says Ravi Kumar S., CEO of Cognizant. “Enterprises are balancing the demand for convenience with the need for control and trust. Understanding these attitudes is crucial for developing AI solutions that not only enhance convenience but build confidence in the full potential of how AI can reimagine the customer experience and unlock tremendous value.”

With 75% of all respondents noting they have frustration with the buying process today, the study found the transformative potential of AI will reshape the purchasing journey in the above listed three pivotal phases.