Commerce, the complete commerce solution from THG Ingenuity, has revealed that personalised AI product recommendations drive 5% of all site revenue for its clients, including LOOKFANTASTIC.
Through product attribution modelling and semantic search, THG Commerce has integrated data-led AI into the customer experience, driving revenue with its innovative AI tools like the Foundation Finder.
“AI is actively reshaping commerce. We’re already seeing AI used to integrate product listings, create context driven shopping journeys, refine product recommendations, and streamline inventory management,” said Lucy Cooper, Chief Commercial Officer, THG Ingenuity.
A YouGov survey found 86% of UK consumers regularly purchase the same beauty products, with only 24% citing they regularly try new products and brands.
Addressing a need for personalised recommendations to drive increased basket value and customer acquisition and loyalty, THG Commerce launched its AI-driven Foundation Finder, which has since transformed how customers find their perfect foundation match online.
The tool determines customer preference on foundation type while still ensuring perfect shade match, utilising in-house colour algorithms and data taken from LOOKFANTASTIC’s laboratory equipment. THG Commerce’s AI technology then recommends a shade that is a good match for another foundation product that the customer already uses.
LOOKFANTASTIC, a THG Commerce client, launched the Foundation Finder on its site in 2023 to great success. The tool has since seen around 600k visits, resulting in 73% of customers purchasing a new foundation brand, while 96% of customers purchased a new product. Nearly a quarter (22%) made their first foundation purchase using the tool.
“With AI, we can instantly analyse customer behaviour, enabling highly tailored experiences that drive engagement, loyalty, and increased conversions. The rise of GenAI is pushing these capabilities even further, surfacing highly relevant recommendations that feel intuitive and frictionless for shoppers.
“AI isn’t just optimising commerce – it’s transforming it into a smart, interconnected ecosystem where personalisation, efficiency and innovation converge. AI-driven strategies can boost customer lifetime value by up to 40% and brands that fully embrace
AI will be the ones that scale smarter, operate more effectively, and build lasting relationships with their customers,” added Cooper.
Continuing to drive innovation in AI, THG Commerce has launched its Concealer Finder on LOOKFANTASTIC, with 420 shades across 18 concealer products. The Concealer Finder works in conjunction with the Foundation Finder to predict a perfect match for customers shopping online.
