Yahoo! Shopping

Leveraging generative AI and data to enhance
retention rates

2023 Summer Internship project
Developed a solution leveraging generative AI and data to enhance retention rates on Yahoo! Shopping. Responsible for exploring and defining concepts in collaboration with product managers and data engineers, as well as building prototypes. This solution was highlighted as a central theme in the 2023 Double 12 promotion and established as a standard feature.
Release version ↗︎Design Outcomes ↗︎
ROLE
Research
UX/UI Design
TIME
2 months

Can Generative AI increase retention rates?

Yahoo categorizes users into five levels based on their monthly active days, hoping to encourage frequent platform visits. However, the current retention rate is trending downward, making its enhancement a continuous and long-term product goal. Generative AI can generate images and texts, could this technology potentially improve Yahoo's current retention rate issue?

Consequently, three data team interns and one user experience design intern, which is me, gathered together to experiment with new concepts.

How might we use generative AI and data
to create a novel feature to enhance the retention rate?

Following the NDA, the content below only discloses information that can be publicly shared.

what to do?

In the initial phase of this project, three aspects needed to be understood in advance: users, technology, products. Let see our findings!

Target users

Shopping is more driven by mental needs.

The project's primary focus was on the platform's users, with the aim of engaging a broader audience. Utilizing backend data and desktop research reports, I considered both platform and current trends, findings and opportunities are...

(1) "User goals are centered around this shopping experience."
(2) "Users require an extension of their emotional and psychological experiences."
(3) "Users anticipate a sense of identity recognition."

The lost user groups, depending on their level of departure, are distributed across different loyalty tiers. Due to resource limitations, we couldn't interview users externally, so we only interviewed known platform users around us. Nevertheless, from both internal and external desktop research and coffee chats, we discovered a common trend – users tend to seek resonance online.

Technology - Generative AI

Data and models empower what AI can achieve.

Capable of generating various contents like images, texts, and videos, we primarily used the OpenAI API as our main tool, creating content adaptable to data. The competitive analysis also revealed many AI applications, mostly designed to reduce costs, enhance efficiency, and generate buzz. Therefore, these will become key considerations in our subsequent design process.

On the other hand, we researched the data from Yahoo! shopping backend to discover some findings that might help us to build an new meaningful design. Due to NDA, I can not show more here, but you can contact me if you want to know more, here is my email: xu060327@gamil.com

competitor research & design walkthrough

opportunities arise from creating new scenarios.

I divided the competitive analysis into two parts. Firstly, I analyzed direct competitors – e-commerce platforms, focusing on their current retention strategies. Secondly, I examined content platforms with limited resources, concentrating on current content-related topics and mechanisms that promote retention. Additionally, I conducted a design walkthrough to understand the current platform's design focus and potential possibility that could enhance retention.

Continuable Theme

・If the benefits offered by a new feature do not align with user goals, it will be challenging to retain users long-term.
・Without sustainability, it would be no different from regular promotional activities and would fail to enhance retention rates over the long term.

Internal and External Differentiation

・External Differences: Most e-commerce platforms present varying time intervals as shopping perspectives for users, such as limited-time sales, daily deals, monthly specials, etc.
・Internal Differences: This shopping store has moved beyond time-based perspectives to life scenarios as a new shopping viewpoint, although it still primarily focuses on real-world contexts.

Additionally, long-term retention symbolizes user loyalty and trust towards the e-commerce platform. Short-term retention, however, often mixes in elements of novelty and excitement. Therefore, gamification is a key concept in this project.

How might we use generative AI and data
to create a novel feature to enhance the retention rate?

Opportunity One

"How might we provide a new experience that fosters resonance among users, encouraging them to stay on the platform?"

Opportunity Two

"How might we provide a unique, non-realistic setting as a new shopping perspective for users, achieving a sustainable and differentiated experience?"

How to do?

As the sole designer in the team, I advocated for the users while facilitating consensus between business and technology. Therefore, I organized workshops and actively guided the direction of discussions, ultimately achieving a consensus on the execution plan.

Brainstorming

Two workshop were organized to facilitate design ideation within the team

One for product labeling and the other for design output. Yahoo Shopping already has a well-established design system and identity, such as the tiger mascot, which needed to be integrated into the process. Finally, I conducted another brainstorming session and selected three proposals. I brought these ideas and paper wireframes to the meeting for discussion and evaluation with the team.

data tagging workshop

We brainstormed numerous keywords related to everyday life experiences for our initial test labels. However, we ultimately decided to adopt GPT, as manually conceived labels often resulted in inconsistent levels, and scaling up in the future would likely make it difficult to maintain uniform standards.

design concept workshop

We began our ideation with 'happy moments' from daily life, using joy as the foundation to construct subsequent design concepts. Although the outcomes of the workshop were not adopted, as a designer, I gained many insights from the outputs.

Proposal ABC

The character portrayal in AI storytelling became the key differentiator among the three proposals, as it hinged on how users would immerse themselves in the design.

Based on preliminary research findings, we established evaluation criteria for the three proposals – attractiveness, sustainability, and feasibility. Ultimately, Proposal Two was selected.

All three proposals were developed under the same space-time concept. The new design concept offers users an unreal shopping scenario, where the 'tiger', representing the platform, invites users into a new scene – a world constructed by Generative AI.

Proposal 1:
What if we could get findings about our shopping experience?

Tiger is researching users, but there is still some information that is uncertain and we need users to help us with clues. As a thank you to our users, we are providing our current research findings as well as coupons that our users may be able to use.

Proposal 2: (selected)
What if we could travel(shopping) around other places?

Tiger's research data was scattered during his travels, and the user helped Tiger to select the valid data (product). Finally, Tiger successfully connects to the "persona" and provides some behavioral data about your time on the planet.

Proposal 3:
What if we could Glimpse into our avatars' Shopping experiences in other regions?

Tiger travels interstellar, flying to new places at regular intervals to find the user's avatars. Tiger will send back information about the user's life (product) on that planet, so that the user can learn what products exist in his/her life on different planets.

Design Outcome

Let's have a travel on Yahoo! shopping!

Proposal Two, with its eye-catching appeal in the meeting and its substantial development potential and feasibility, was chosen.
I refined the final result based on suggestions from various stakeholders, as follows.

Active user

who has enough data to generate customized content.

Prototype for Active Users ↗︎
Cold user

who has not enough data, so we cant provide anything.

Prototype for Cold Users ↗︎

Design strategy and concept

TWO design opportunities were identified through the research,
leading to the formulation of THREE design strategies,
which evolved into NINE designs featuring gamification elements.

What’s more!

Design collaboration with Data & GenAI

This design concept requires the use of data and AI, so my collaboration with data engineers was divided into two parts: images and text. The focus was on ensuring a logical tone in the communicated design concept.

AI Text

I am primarily responsible for assessing whether the outcomes in terms of tone and content are aligned with Yahoo's brand image, as well as the design concept. The engineers, on the other hand, integrate current product tags and user behavior tags to generate personalized narratives specific to the user.

AI Images

I took the lead. By inputting current labels into GPT, it generated prompts for MJ. These prompts were then formulated and handed over to engineers for experimentation. To save costs, we used SD for image generation. However, the choice of SD model is crucial to the output, so I assisted in finding the right style and left the processing to the engineers.

Future works

If I have more time …

Within the limited time of the internship, it was challenging to produce a complete solution. However, I still endeavored to think comprehensively about the design concept, paving the way for future work.

1. Design for data conditions

The platform's backend has varying amounts of data for users of different activity levels, which could affect the content displayed. Therefore, I identified key data scenarios to be considered for future design references.

2. design for continuing theme

To ensure the design concept's long-term viability, it needs to include diverse and expandable elements. Thus, I treated the user experience process as a framework, applying different examples to demonstrate the concept's flexibility.

3. Validation

-The proposal provides the company with a potential application of generative AI. Although verification on GSM was not feasible, the proposal still underwent multiple iterations through design reviews and usability tests.

-The effectiveness of data and AI applications in this concept, such as the appropriateness of label definitions and the number of users it can cover, was also confirmed by the data team.

Celebration of rapid Release!

Our design proposal garnered support from both within and outside the department during the results presentation.

It was decided to first release it in the form of an EDM, with a partial unveiling of the concept during the 2023 Double 12 event.

Check the release version ↗︎

Big thank you all!

Extend my gratitude to my colleagues, mentors, the design team, data team, marketing team, and everyone who offered guidance and advice throughout the process.

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