AI/ML improves CX and efficiency, streamlining product and supply chain: Wayfair’s Rohit Kaila

Wayfair, a US-based Fortune 500 online furniture retailer, made its foray into the Indian market with the setting up of a Technology Development Center (TDC) in Bengaluru in 2023. While India is not yet a consumer market focus for Wayfair, the company is innovating with technologies such as Artificial Intelligence (AI), and actively hiring tech professionals to support its global operations and potential expansion into the domestic market.

Rohit Kaila, Head of Technology and Site Leader, told TechCircle that he “views the India TDC as a microcosm of Wayfair's global technology organisation, encompassing areas from supply chains to marketing platforms”.

“The centre has grown to over 500 employees in two years, focusing on talent development and culture. As one of Wayfair's largest technology development centres outside its headquarters in Boston, it contributes to AI-driven customer experiences and other key domains,” said Kaila.

He stressed that AI is central to Wayfair's strategy, particularly with advancements in generative AI. The company leverages machine learning in various aspects of its business, from powering real-time searches to optimising customer recommendations and understanding customer behaviour. That said AI/Machine Learning (ML) is used to improve customer experience, personalise shopping journeys, and enhance operational efficiency, including areas like product catalogue expansion and supply chain.

“AI also facilitates tech stack modernisation, significantly reducing the time required for tasks. This efficiency allows Wayfair to focus on innovation,” said Kaila, adding that the company has collaborated with Google to produce AI models that drastically accelerate processes, reducing task completion times from days to hours. “This efficiency frees up resources, allowing us to prioritise innovation over maintenance”.

According to Kaila, Bengaluru was chosen as the location due to its reputation as India’s tech hub, providing access to a skilled workforce. “The Bengaluru TDC has rapidly scaled in two years what typically takes companies 3-4 years. With 500 employees already on board, we aim to reach 700 employees by 2025,” he said.

While Wayfair's primary focus remains on the United States, Canada, and the UK, Kaila expressed interest in the Indian market. He said, “India remains a potential market for the future, and is exploring how to best serve it in the future.”

Wayfair gains a competitive advantage by leveraging India's skilled and cost-effective workforce in areas like engineering, data science, and customer service. This enables efficient platform development, R&D, logistics and scalable operations.

Cultural fit is also important, believes Kaila, who said that the company nurtures talent through internships, with a high conversion rate to full-time positions. “Wayfair invests in upskilling, collaborating with Google and Pluralsight to provide training on emerging technologies as well as targets top universities and companies, ensuring a pipeline of high-calibre talent,” he said.

India is a key hub for global retail companies, including Amazon, Flipkart, Adidas, and Target, which are establishing Global Capability Centers (GCCs) driven by factors such as a diverse talent pool, high digital literacy, and cost advantages. Approximately 30% of the world’s top retail and consumer goods companies have GCCs in India, according to ANSR. These hubs utilise technologies like cloud, AI/ML, and data engineering to manage operations, finance, and supply chains for their parent organisations and is projected to create a $110 billion market by 2030. This growth is expected to generate 150,000 jobs by 2026, expanding the workforce to three million by 2030.