How AI will impact e‑commerce design and development in 2025.

In our previous article, we explored the history of e-commerce. Now, we'll delve into the history of artificial intelligence and its core concepts before exploring the key trends transforming the industry.

A historical insight: the Turing Test

The history of artificial intelligence is as fascinating as its current applications. Alan Turing, often considered the father of AI, proposed the Turing Test in 1950 to determine whether a machine could exhibit intelligent behaviour indistinguishable from a human’s. This groundbreaking idea laid the foundation for modern AI development.

However, Turing’s work was just the beginning. In 1952, Grace Hopper — a trailblazer in computer programming — developed the first compiler, a tool that translated written code into machine-readable instructions. From 1959 to 1961, she led the team that invented COBOL (Common Business-Oriented Language), the first user-friendly business computer software program. Her work made programming more accessible and paved the way for the complex algorithms that underpin today’s AI.

Fast-forward to 2006. Fei-Fei Li, a computer scientist and AI visionary, advanced the field through her work in computer vision and her leadership in creating ImageNet, a dataset that revolutionised how machines learn to interpret visual data. Li’s contributions have been instrumental in enabling AI systems to understand and process the world around them.

Following this, Geoffrey Hinton, widely recognised as one of the Godfathers of AI, has been pivotal in advancing deep learning techniques. His research into neural networks, particularly his co-authorship of the 2012 breakthrough paper on deep learning, propelled AI into a new era of capability. These advances laid the groundwork for applications ranging from voice recognition to AI-driven e-commerce tools that personalised user experiences on an unprecedented scale.

ABCs of AI: a glossary for e‑commerce

Now that you know a bit of AI’s history, let’s quickly clarify some key terms that will come up in this discussion as we explore how it is reshaping design, development and e-commerce businesses.

Concept	Significance
Artificial Intelligence (AI)	The simulation of human intelligence in machines designed to think, learn, and problem-solve.
Generative AI	AI that creates new content, such as text, images, or videos. Examples include tools that generate product descriptions or design mockups.
Predictive AI	AI that analyses existing data to forecast outcomes. It’s commonly used in e-commerce for personalised product recommendations and inventory optimisation.
Machine Learning (ML)	A subset of AI where systems improve their performance over time without explicit programming. ML powers recommendation engines and dynamic pricing models
Natural Language Processing (NLP)	The branch of AI that enables machines to understand and respond to human language. Chatbots and voice assistants like Alexa use NLP.
Computer Vision	AI that interprets visual data, powering features like visual search and automated product tagging in e-commerce.
Dynamic Pricing	An AI-driven approach to pricing that adjusts costs in real time based on demand, competition, or user behaviour.

Speaking of NLP

Here’s what it would be like if AI literally read your minds, in a 2022 Super Bowl ad.

Have a laugh!

With these foundational terms in mind, let’s explore how these AI concepts will transform e-commerce design and development in 2025.

Creativity meets automation

AI isn’t about replacing creativity; it’s about clearing the way for it. By taking on repetitive, time-consuming tasks, AI allows businesses and designers to focus on creating thoughtful, impactful, and engaging experiences.

"Automated creativity" might sound like a contradiction, but in 2025, AI tools are helping designers:

• Generate hundreds of A/B-tested design mockups in minutes

• Propose UI layouts informed by real user interaction data.

Brands like Adobe leverage generative AI tools such as Firefly to create tailored marketing assets at scale. Marketing teams are also reaping benefits with tools like Opus.pro, which speeds up video versioning for multiple platforms, and Surferseo.com, an SEO optimisation platform. Meanwhile, tools like Lindy.ai help sales teams streamline outreach and lead management.

Personalisation beyond limits

Imagine an online store that adapts its layout, colours, and content based on each visitor's preferences. This futuristic scenario is already a reality. AI-driven personalisation tools rapidly learn about user personas, tailoring shopping experiences like never before. The result? Intuitive, personal websites that boost conversions.

Platforms like TikTok and Instagram also embrace live shopping features, further enhancing customer engagement. TikTok's Shop feature, for instance, has reported a significant increase in conversion rates, merging entertainment with instant purchasing.

While AI streamlines processes, its true power lies in enabling highly personalised customer experiences, as we'll explore further.

Speaking of conversion rates...

Maximise your e-commerce conversions using block-based design.

Show me how

Smarter coding, faster development

Developers are benefiting from AI's evolution with tools like Cursor and Windsurf, which:

• Automate repetitive coding tasks.

• Suggest optimised code snippets based on project context.

This leads to faster, more efficient development cycles, leaving room for tackling complex, high-impact challenges.

For these tailored experiences to work seamlessly, efficient development is key — this is where AI transforms the coding process.

Hyper-personalised recommendations

Remember Amazon’s "Customers who bought this also bought..." feature? That's now e-commerce 101. In 2025, recommendation engines will leverage real-time data to predict user preferences before they even realise them. This will create curated shopping experiences where every customer feels like the MVP (and we're not talking about the minimum viable product here!).

You may have experienced this while browsing what to watch next on Netflix: its AI-driven recommendation system is a great example of how real-time data predicts user preferences.

Adding to this conversation, Spotify's Wrapped 2024 sparked both fascination and global controversy as it was 100% powered by AI for the first time ever. While users appreciated the unique insights into their listening habits, many voiced concerns over inaccuracies and a perceived lack of transparency in how AI curated their data. This is a cautionary tale for e-commerce businesses: even the most engaging AI-driven features can backfire if not executed responsibly and ethically.

Smooth operatooooor...

Optimise your e-commerce website for better performance.

Learn more

Balancing innovation with ethics

While AI promises incredible advancements, it raises critical questions about ethics and trust. Issues like fake product reviews, biased algorithms, and data privacy concerns drive shoppers to seek more trustworthy sources, such as Reddit and subscription platforms like Substack.

But there are good examples, too! Retailers like Patagonia are transparent about data collection practices, earning consumer trust while leveraging AI ethically.

However, trust extends beyond transparency; it also demands vigilance against the evolving challenges AI introduces, such as the proliferation of AI-generated content. E-commerce businesses must not only address these challenges by prioritising ethical practices but also equip themselves with tools and strategies to identify and mitigate risks, such as distinguishing AI-generated images from real ones.

Ultimately, it's not just about what AI can do — it's about how responsibly it is used.

Separating pixels from reality

As AI-generated visuals become more sophisticated, telling them apart from real images isn’t as easy as spotting blurry details or awkwardly rendered hands anymore. The differences are getting harder to detect, making it essential for users to stay vigilant and critical — especially when engaging with e-commerce platforms.

If you’re wondering how to identify AI-generated content, here are a few practical tips:

• Stop and look closely: Pause before accepting an image or review as authentic. Check for subtle inconsistencies, like unnatural lighting, repetitive patterns, strange rendering of details (like hands or faces) or clunky grammar and typos.

• Investigate the context: Consider where you found the image or review. Does it come from a trusted source or a verified account? If something feels off, it’s worth digging deeper or ditching completely.

• Cross-check information: Look for other sources or related content that confirm the authenticity of what you’re seeing.

• Trace its origin: Whenever possible, find the original source of the image or review. Reliable platforms often provide attribution or clear context for visuals and claims.

Inspector Gadget!

Test your ability to distinguish AI-generated from real images with this New York Times Quizz!

Give it your best!

The way forward

AI is not here to replace humans—it's here to augment what we do best. As we step into 2025, the challenge lies in striking a delicate balance between innovation and ethics, creativity and automation, and personalisation and privacy. E-commerce success will hinge on how well businesses navigate this equilibrium.

At its heart, commerce remains a human endeavour, and e-commerce must not lose sight of that. While AI may guide the ship, the ultimate destination remains unchanged: creating meaningful, engaging, and trustworthy customer experiences.

By weaving innovation with responsibility, businesses can unlock AI's full potential to revolutionise operations while honouring the people they serve. Yet, as AI tools proliferate, they sometimes fall short — generating generic content, blending perspectives rather than producing fresh ideas, and, at times, causing algorithmic mishaps.

In response, businesses should embrace what makes them human: authentic connections. This might mean venturing offline with initiatives like clubs, pop-up events, or physical activations like books and magazines — grounded, tangible experiences that resonate in a digital age.

Ultimately, AI is here to stay, and its success depends on how we use it. The future is both exciting and challenging, so let's buckle up for the journey ahead!

Dive in!

Let's navigate this transformative journey together and redefine the future of e‑commerce with AI as our ally.

Work with us