Agenda-setting intelligence, analysis and advice for the global fashion community.
Seventy-four percent of customers report walking away from e-commerce purchases due to the volume of choice, according to The Business of Fashion and McKinsey’s The State of Fashion 2025 report.
To help consumers navigate this challenge, companies are increasingly turning to new tools — particularly generative AI (gen AI) — to curate, personalise and simplify the shopping experience.
With its purpose of leveraging large data sets to generate new content across text, images, music and videos, gen AI has the potential to reinvent the online customer experience — from sparking initial inspiration to smoothening the path to purchase. In fact, McKinsey estimates that gen AI could add as much as $275 billion to the operating profits of the fashion and luxury sectors in the next three to five years.
To this end, businesses are embracing large language models (LLMs) — the basis for generative AI systems like ChatGPT and Gemini — for the likes of virtual chat bots, and image-generating tools for engaging brand campaigns.
E-commerce players are further optimising customer experience by heightening personalisation through search bar optimisation and product recommendations, as well as virtual try-on technology.
Earlier this year, BoF released a white paper in partnership with Zalando, The Future of E-Commerce, Powered by Generative AI, to explore how businesses can implement the technology to win customer engagement, loyalty and conversion — spotlighting use-cases from Zalando. The paper offers insights from senior executives at Zalando and independent tech consultants to explore best practices in leveraging gen AI responsibly in this space.
To add further strategic advice for e-commerce platforms looking to optimise their digital content and storytelling, BoF’s senior content strategy associate Annabel Bolton was joined by Zalando’s VP of content solutions Matthias Haase, CEO of a strategic consultancy bridging tech and retail, Chief Digital Agency Jenna Flateman Posner, and retail tech expert and founder of Looks.ai Jessica Couch.
Below, BoF shares key takeaways and actionable advice from the discussion.
Cater to Cross-Generational Demand for Seamless Digital Experiences
JFP: A couple of years ago, we had this mass adoption event, which was the release of ChatGPT. Everyone from my kids to my parents were comfortable using this technology. [So] when you look at the role of big tech, [...] [multiple generations] are leveraging this newfound expectation and [are] really content in using some of these generative tools. We’re finding that at scale, they’re able to really influence mass adoption.
A generative chatbot at the PDP, the product detail page, [allows me to] just ask it a question. So what happens in that situation [...] is that they’re retraining my expectations as a consumer.
MH: Customers and consumers on the platform, especially Gen-Z, are really driven by inspiration. They seek information and they want to feel connected to the products they discover — and 70 percent of them make purchase decisions while looking for inspiration.
Especially for this [younger] generation, a single static image is no longer reflecting how they want to discover and how they want to connect to fashion itself. That’s one of the reasons why we are investing so much in new content formats, new storytelling and how to bring our products to life.
Gen AI-elevated content helps our customers to make a better purchase decision — and we see way fewer returns and way better choices in what our customers do.
— Matthias Haase, VP of content solutions at Zalando.
JC: You want to search for things with a description that feels normal to you. You don’t want to have to dumb it down. And then you want it to funnel the results in a way that makes sense to what you’re asking. That is what LLMs are making possible. It’s almost becoming the super-service provider between someone shopping for a product online and the actual product.
We’re seeing the shift slowly go from just Googling something to allowing chatbots and ChatGPT and all of these different AI tools do the searching for you and create a better experience.
Use Elevated Visual Content and LLMs to Spark Consumer Imagination
MH: Showing a sneaker on a court or a hiking boot in nature sounds super simple but it [...] really helps our customer to understand the product and relate to the product [more than] a studio shoot. [Meanwhile] when you come onto our product details pages [...] we start with a video, which drives above 10 percent higher engagement. And customers are more likely to come back — and they also spend more time with it.
We do this not just to sell more products, but to help our customers purchase more consciously — with positive results. This gen AI-elevated content helps our customers to make a better purchase decision — and we see way fewer returns and way better choices in what our customers do.
JC: I think what people are missing when they’re shopping and what they’re always asking for in-person that doesn’t get translated online is: what do I wear this with? What else should I get with this? Or how do I wear this product?
Those types of recommendations are going to be super impactful [through gen AI content] because, in the absence of having a really great sales associate, a personalised recommendation bridges that gap — [and] we’ve seen that it can create about 288 percent uptick in purchases.
Leverage Gen AI and Virtual Try-On for Next-Level Personalisation
JFP: Brand studies and persona development have always been essential for understanding which consumer segments are most likely to engage with your products and how to tell the right story to them. AI now expands this capability dramatically, enabling us to analyse vast amounts of structured and unstructured data, refine segments and ultimately move toward one-to-one personalisation.
This level of insight allows brands to serve customers more effectively and create more precise, relevant content.
AI tools give creative teams flexibility to experiment and realise ambitious ideas without the traditional constraints of time, budget or resources.
— Jenna Flateman Posner, CEO of Chief Digital Agency.
JC: We don’t have to get too space age with it. We just have to figure out: what are the experiences that [already] existed that helped customers to purchase? You can do this by observing how people purchase in-store and then, what type of platforms can we utilise to translate that online? We’re not creating new behaviours. We’re using technology, especially AI, to take existing behaviours and create more efficiency.
Different segments have different needs — some want to see themselves reflected in size, style or parity, while others care primarily about function. Brands must design experiences that meet these diverse expectations and offer choices, such as seeing products on a real model or a digital twin, to ensure personalisation and avoid mistakes.
[Retailers need to be] able to interpret the needs of the consumer and go above and beyond, because you have access to tonnes of information — whether that’s product information, description information, size-and-fit information, details about the fabric. You can absolutely create these more personalised experiences thanks to these LLMs.
MH: Virtual try-on is something we are super excited about, bringing this to our customers to give more confidence and discoverability in the digital space. We [have] a 3D virtual try-on experience, starting with footwear, because the technology is most advanced there. [...] By the end of this year, our customers will be able to experience 10,000 SKUs [stock keeping units] virtually and next year, the entire footwear assortment will be available this way.
Our virtual fitting room [also] tackles one of the most complex categories — jeans, with many styles and sizes. Customers can create a 3D avatar of their body, fit products, adjust sizes, and see exactly how they fit before purchasing. [...] In the future, you could create your own mini-me, see yourself styling, and share outfits with friends. This creates an immersive world before making a purchase decision.
Encourage Consumers and Creatives to Understand Gen AI’s Benefits
MH: The conversation around AI is really changing, mainly driven by how AI is used. In the beginning, there were misuses — brands saying, “I’m using AI to become more diverse in my storytelling.” You don’t need technology for that. The same goes for using technology to be more creative or reach a different audience — creativity is a strategy, not a technology question.
What we now see is a shift in our industry from fear of using AI to focusing on how we use it responsibly, transparently and with purpose. That purpose is meeting our customers’ expectations — they want innovation, but also reassurance that we inspire and innovate safely.
JC: Authenticity and transparency are critical. Customers want realness and clear communication about experiments or new technologies. Brands should ask, test, learn and iterate openly, collecting feedback and offering options. By being thoughtful, transparent and responsive to customer preferences, brands can use digital twins and digital clothing effectively, enhancing engagement and ensuring customers feel seen and confident in their choices.
We don’t have to get too space age with it. We just have to figure out: what are the experiences that [already] existed that helped customers to purchase?
— Jessica Couch, retail tech expert and founder of Looks.ai.
JFP: The impact on creativity is significant. AI tools give creative teams flexibility to experiment and realise ambitious ideas without the traditional constraints of time, budget or resources. Just as digital cameras transformed photography, AI is transforming content creation — unlocking possibilities that were previously unimaginable while allowing creators to work faster and more efficiently.
As websites, search engines and consumer discovery evolve, content and personalisation are becoming critical. The future will reward brands that can produce high-quality, brand-driven content at scale and use AI to maintain consistency, identity and relevance. Leveraging these tools strategically will be key to engaging audiences, driving loyalty and staying competitive.
The above insights have been edited and condensed for clarity.
Want to dive deeper into an insight from this article?Check out The Brain of Fashion, BoF’s new generative AI tool where you can unlock BoF’s technology archive with a single question.
This is a sponsored feature paid for by Zalando as part of a BoF partnership.
