Alibaba's Amap AI feature drives surge in small business sales
Street Stars feature on Alibaba's Amap app uses AI and user data to boost visibility for local eateries like Zhang Xuan's beef noodle joint.
Quick Look
Alibaba Group Holding's Amap app uses a new AI-powered Street Stars feature to rate and recommend local venues, driving a 50 to 60 percent sales surge for a small Shanghai beef noodle joint.
AI-generated summary
Why It Matters
Amap is a major Chinese mapping application owned by Alibaba Group Holding, serving nearly 1 billion monthly users.
Late last year, Zhang Xuan’s small beef noodle joint in Shanghai suddenly began seeing a dramatic surge in orders. Sales over the past few months have been 50 to 60 per cent higher than normal, he estimates.
The driver? The new Street Stars feature on Chinese tech giant Alibaba Group Holding’s Amap mapping app, which listed Zhang’s eatery as the fourth best restaurant in Shanghai’s Changning district.
Prominently displayed on Amap’s main page, the system uses artificial intelligence to rate venues based on a huge volume of user data, including foot traffic, movement patterns and verified customer feedback, according to the company.
The local recommendation guide is part of a broader revamp of Amap – China’s answer to Google Maps – as the service harnesses AI to provide its nearly 1 billion monthly users with an array of new features.
Open Questions
- How many other small businesses have benefited from the Street Stars feature?
- What are the specific algorithmic criteria used to rank venues?
