03/18/2024 | News release | Distributed by Public on 03/18/2024 09:57
A new report from Salesforce and the Retail AI Council finds that global retailers are eager to adopt generative AI to personalize and improve in-store and online shopping experiences. However, nearly half of the 1,300 retailers surveyed are struggling to make their data accessible, and just 42% are connecting their various data silos, which can lead to ineffective or inaccurate artificial intelligence (AI) outputs.
Why it matters: Generative AI is expected to have a $9.2 trillion impact on the retail sector by 2029 as retailers see the benefit of implementing this technology to streamline operations, increase productivity, and deliver more personalized experiences for shoppers and associates. However, just 13% of customers completely trust companies to use AI ethically, and 63% are concerned about bias in AI outputs.
The AI revolution is about data, trust, and customer experience. Looking at AI in isolation, without understanding these elements as a package, will hurt a retailer's ability to build loyalty and improve customer relationships.
Rob Garf, GM of Retail and Consumer GoodsSalesforce perspective: "The AI revolution is about data, trust, and customer experience. Looking at AI in isolation, without understanding these elements as a package, will hurt a retailer's ability to build loyalty and improve customer relationships. The research we're sharing today will help retailers better understand the need for a unified data strategy and how generative AI can be used to enhance the experience for both shoppers and associates." - Rob Garf, GM of Retail and Consumer Goods
The retail industry isn't shying away from AI adoption.
Retailers understand the importance of data, according to the survey, but many are still working through how to unify all of their data and build a single view of their customers to unlock more effective generative AI outputs.
Retailers are aware of the security and trust risks surrounding generative AI. Fortunately, they're ready to address them and are already taking steps to do so.
The Retail AI Council perspective: "In today's retail landscape, AI isn't just changing the game - it's reshaping the entire playbook. It isn't only a backstage assistant to merchants, it's also the emerging co-star in the customer's shopping journey. AI is now the imperative for anticipating needs, tailoring experiences, and transforming shopping from a transactional chore into a personalized and evolving adventure." - Jenna Posner, CDO of Solo Brands and Vice Chair of the Retail AI Council
Research methodology
The Retail AI Council and Salesforce surveyed 1,390 decision makers in the retail industry to understand generative AI strategies.
Data in this report are from a double-anonymous survey conducted in December 2023. The surveys generated 1,390 responses from a range of retail decision makers across Canada, the United States, France, Germany, Italy, Spain, the United Kingdom, and Australia.
Due to rounding, not all percentage totals in this report equal 100%.
About the Retail AI Council: The Retail AI Council is a retailer-led organization dedicated to helping retailers embrace the transformative potential of AI. Our mission is to guide and empower retailers in navigating the disruptive landscape of AI technology, enabling them to stay ahead of the curve and unlock new opportunities for growth.