Walmart Finds Success in Negotiating Shopping Cart Prices with AI
Walmart has reportedly been using a chatbot developed by Pactum Inc. to negotiate with suppliers for better deals on shopping carts. Three out of four suppliers prefer negotiating with AI instead of humans, and Walmart claims to have reached deals using AI with 68% of suppliers since the program began in 2021. The program has saved Walmart an average of 3% on contracts negotiated via AI. Researchers at Stanford and MIT have also found that using AI chatbots like ChatGPT can lead to increased productivity. However, Walmart is only using AI to negotiate prices on essentials for now, and not yet in-store products.
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