Alibaba Explores Generative AI Tools for Taobao and Tmall Merchants
Alibaba, the Chinese e-commerce giant, is venturing into generative AI tools to benefit merchants on its popular platforms Taobao and Tmall. The company’s subsidiary, Hangzhou Lianfan Information Technology, has developed these tools, which are currently being tested by select merchants through its platform Huiwa.
These AI tools offer a range of capabilities, including the creation of customized marketing and promotional content based on brief product descriptions. Furthermore, they can generate images tailored to specific user requirements, such as angles and backgrounds for products.
The move comes as Alibaba faces intensified competition in China’s e-commerce sector. Rivals like JD.com, Pinduoduo, and Douyin are steadily gaining market share, pressuring Alibaba to enhance its technology offerings. To this end, Alibaba is also revamping its customer service chatbot, Dianxiaomi, incorporating AI models to improve interactions between sellers and consumers. The company plans to roll out this enhanced chatbot to all merchants in the near future.
Merchants on Alibaba’s platforms are eagerly evaluating the potential benefits of these AI tools for their businesses. One advantage highlighted is the cost-saving aspect, as these tools eliminate the need for traditional content creation methods, such as hiring models for product shoots. However, concerns about customer reception to AI-generated content compared to that featuring real human models persist. This has prompted merchants to stress the importance of careful consideration of the quality and authenticity of AI-generated images.
In response to Alibaba’s advancements, other e-commerce platforms and tech companies in China, like JD.com, ByteDance (Douyin and TikTok), and Pinduoduo, are intensifying their integration of AI technologies. These include developments in chatbots, AI content creation for marketing purposes, and the recruitment of AI talent to bolster their platforms’ competitiveness in the fast-evolving digital commerce landscape.
Analyst comment
Positive news. The introduction of generative AI tools by Alibaba will enhance the capabilities of its platforms Taobao and Tmall, benefiting merchants. The tools offer customized marketing content and image generation, providing cost-saving advantages. However, concerns about customer reception persist. The market is likely to see increased competition among e-commerce platforms in China as they integrate AI technologies to stay competitive.
