Canadian liquor retailer LCBO is enhancing its e-commerce platform with the integration of AI technology to improve the overall customer experience and prepare for future growth. LCBO, a major player in the alcohol retail industry with billions in annual sales, identified a need to update its legacy e-commerce system to better serve its expanding customer base.
Chief Marketing & Digital Officer Vanda Provato shared that customers often use the website for product research before making purchases in-store, leading to a significant increase in site traffic. However, challenges such as outdated systems, limited personalization, and manual search processes were hindering the customer experience and impacting satisfaction levels.
To address these issues, LCBO chose to implement the Coveo AI-based e-commerce and enterprise search platform. This decision was made to provide a more modern omnichannel experience, support business expansion efforts, and enhance the overall customer journey both online and in-store.
By leveraging AI and machine learning technology, LCBO has seen positive results, including a 58% increase in click-through rates, a 2X boost in search conversion rates, and a 3% improvement in customer experience scores. Additionally, the use of Coveo’s ML capabilities has led to better product placement and improved search ranking positions, ultimately helping customers find relevant products more efficiently.
Moving forward, LCBO plans to continue leveraging AI for personalization and enhancing the overall customer experience across digital channels. With the success of the AI integration in improving search functionality and product discovery, LCBO is well-positioned to meet the evolving needs of its customers and drive continued growth in the competitive retail landscape.
