The eBook The Elephant in the Room: Ecommerce Is Unprofitable highlights how shrinking retail margins, rising acquisition costs, product returns, and markdowns are eroding profitability. It warns that sorting by popularity traps retailers in a cycle of low margins and high discounting, while 84% of shoppers actually want products tailored to them. The report emphasizes using AI to optimize for profits rather than clicks, deliver 1:1 personalization even for anonymous shoppers, and replace thousands of manual rules with automated, adaptive models. By aligning recommendations with margins, shipping costs, and inventory, AI enables sustainable growth, reduced acquisition costs, and improved margins per visit.

Join for free to read