From Disorganized Listings to Seamless Shopping – How Indium’s AI-Powered Categorization Boosted Conversions

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Client Overview

The client owns an AI-powered e-commerce aggregator that enhances shopping experiences by enabling seamless product comparison across multiple retailer websites. However, inconsistent product categorization across retailers’ websites created challenges in assigning the same product to a unified category, compromising search accuracy and user experience. To solve this problem, they sought a trusted technology partner with advanced AI and machine learning expertise who would ultimately improve search quality, refine recommendations, and deliver a smarter, more seamless shopping experience

Mismatch Mayhem:
The Hidden Barriers to Smarter Shopping

E-commerce aggregators thrive on seamless product discovery, but inconsistent categorization across retailer websites created numerous roadblocks for the client. While individual retailers structured their product categories effectively, the lack of a unified system led to search inconsistencies, affecting user experience and purchase decisions. The client faced numerous challenges, such as:
01

The Categorization Chaos

Retailers defined product categories differently, making grouping identical products under a single classification challenging. It also caused 1 search inefficiencies from the same product showing up in sev

02

The Search Accuracy Dilemma

Misclassified products resulted in inaccurate search results, frustrating users and reducing conversion rates. A lack of standardization 2 meant inconsistent search suggestions and filters, leading to poor product discovery.

03

The Broken User Experience:

Users couldn’t compare products easily due to category mismatches across different retailers. Inconsistent categorization indirectly 3 impacted recommendations and up-selling, leading to lost revenue opportunities.

Traditional rule-based categorization failed to address the scale and complexity of multiple retailer taxonomies. A sophisticated AI-driven approach was required to intelligently classify and map products across different sources.

Strategic Thinking, AI Execution: Indium’s AI-Driven Approach for Product Categorization

Product categorization is highly significant for e-commerce websites. Displaying the most popular categories up front speeds up free text searches and improves user experience.

To tackle the challenge of inconsistent product categorization, we implemented a strategic, AI-driven approach that ensured accurate classification and seamless product discovery. The solution was structured into multiple stages, leveraging advanced techniques to enhance efficiency and precision.

Data Sampling – Ensuring Balanced Representation

To create a well-distributed dataset, a Random Sampling with a Stratification approach was employed, ensuring a fair representation of each product category.

Pre-Processing Phase – Converting Text into Usable Data

Before training, product data was transformed into numerical representations using techniques such as TF-IDF, N-grams, stop word removal, and stemming/lemmatization to refine
text-based inputs.

Model Training – Building Intelligent Classification Models

The processed data was trained using
Support Vector Machines (SVM) and
Naïve Bayes models, ensuring robust
categorization and high accuracy.

Parameter Tuning – Optimizing for Maximum Accuracy

Cross-validation and Grid Search (Scikit-Learn) were used to fine-tune model performance and identify the best parameters for improved classification

Model Nesting – Structuring for Hierarchical Categorization

A hierarchical approach was applied
to classification by developing
separate models for different category levels using Group By formulas, for-loops, and subsetting techniques.

Deployment & Production – Enabling Seamless Integration

The final trained model was integrated into the client’s system using JavaScript, Django, and Pickling, ensuring smooth deployment and real-time categorization.

The solution delivered accurate, scalable, and AI-powered product classification through this structured approach, enhancing search results, recommendations, and overall user experience.

Precision in Product Categorization, Powering Business Impact at Scale

By leveraging AI-driven driven approaches, Indium transformed the client’s product categorization process, ensuring accuracy, consistency, and seamless product discovery. Our strategic approach not only optimized search relevance but also
delivered a measurable business impact at scale.

0 1

75% Accuracy – Smarter AI, Sharper Categorization

The AI model achieved great accuracy in predicting categories for new products, ensuring precise classification and improved product discovery.

0 2

3% Conversion Boost:

An increase in conversion rates across all product categories contributed to a 20% rise in Gross Merchandise Value (GMV), driving significant business impact.

0 3

Better Categorization, Bigger Revenue

Enhanced product categorization and superior indexing led to better search results, directly improving product discovery and user experience.

About Indium

Indium is an Al-driven digital engineering company that helps enterprises build, scale, and innovate with cutting-edge technology. We specialize in custom solutions, ensuring every engagement is tailored to business needs with a relentless customer-first approach. Our expertise spans Generative Al, Product Engineering, Intelligent Automation, Data & Al, Quality Engineering, and Gaming, delivering high-impact solutions that drive real business impact.

With 5,000+ associates globally, we partner with Fortune 500, Global 2000, and leading technology firms across Financial Services, Healthcare, Manufacturing, Retail, and Technology-driving impact in North America, India, the UK, Singapore, Australia, and Japan to keep businesses ahead in an Al-first world.