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Retailer Michael Kors is getting into the artificial intelligence-powered shopping recommendation business with the adoption of Shopping Muse, a recommendation engine from a Mastercard Inc. company.
Developed by Dynamic Yield, a data-personalization platform Mastercard acquired from McDonald’s Corp. in 2022, Shopping Muse employs artificial intelligence to make recommendations and further personalize shopping on the Michael Kors Web site. Mastercard says tests show Shopping Muse generated approximately a 15% to 20% higher conversion rate than traditional search queries.
The tool, labeled Your Style Assistant, is activated from the Michael Kors home page with a button. A popup window appears with a search box and some suggested search terms. Results, at least in a few attempts for “men’s evening look,” display products categorized as Elegant Touch, Classic Appeal, and Timeless Footwear.
Mastercard, which says Michael Kors is the first to use Shopping Muse, can translate a shopper’s colloquial language into these product recommendations. This can then aid shopper satisfaction and increase revenue. Dynamic Yield launched Shopping Muse in 2023.
This is not Mastercard’s only use of AI. In May, it outlined how it uses generative AI to counter fraud. Other card brands have incorporated generative AI into their products and services. Discover is using Google’s Vertex AI in its call center to help customer-service agents more easily find documentation to help cardholders. In March, Visa Inc. announced three products that use AI to help control fraud risk.
