AI Gives Retailers a Competitive Edge and Powers Personalization, Raydiant Survey Finds

SAN FRANCISCO, April 9, 2024 (Newswire.com) - Raydiant, the leading in-location Experience OS for retailers, today announced the findings from its first annual “The State of AI in Retail.” 

Drawing from a survey of 172 retail technology leaders, the report explores the adoption and impact of artificial intelligence in retail, with a focus on competitive advantages, operational efficiency, and the different use cases retailers are experimenting with. 

Commenting on the findings, Bobby Marhamat, CEO of Raydiant, said: "AI has arrived, and it's critical for retailers to get ahead of the curve. Consumers are increasingly seeking out enriched, personalized shopping experiences, and AI stands as the most effective tool for delivering these experiences at scale. Our findings highlight AI's profound impact across retail, underscoring the necessity for retailers to leverage AI not just as a technological advantage, but as a fundamental expectation of modern consumers."

Key Insights from the Report:

• Competitive Edge through AI: 76% of retail leaders believe that AI can offer a substantial competitive advantage to businesses that embrace it.
• Personalization at the Forefront: Retailers are capitalizing on AI to enhance personalization, with 57% using it for customer behavior analysis and 47% for chatbots and customer service automation. This focus on tailored experiences—from product recommendations to dynamic interactions—showcases AI's role in delivering more personalized and engaging customer journeys.
• Operational Efficiency and Customer Experience: The primary drivers behind AI adoption include the enhancement of customer experience, cited by 72% of respondents, and the quest for operational excellence.
• Navigating Challenges: Retail leaders face several hurdles in AI adoption, with the top challenges including finding the right tools and platforms (18%) and securing budget approval from leadership (15% tied). Additionally, integrating AI with legacy systems (15% tied) and finding skilled developers (10%) are significant obstacles. These challenges underscore the complexity of implementing AI solutions and the need for strategic planning and support at all levels of the organization.

Future Directions and Growth:

• Increased AI Experimentation: The report indicates a strong inclination among retail leaders to expand their AI initiatives, with 65% planning to increase the volume of AI projects.
• The Road to Success: Essential factors for successful AI integration include enhanced AI education and training, better data quality, and improved integration tools.

Reflecting on the survey, Marhamat said, “As AI continues to evolve, it is imperative for retailers to embrace and experiment with AI. Personalization, powered by AI, is not just a trend but a strategic imperative that can significantly differentiate brands in a crowded market.”

To access the full non-gated report, visit here: 

https://insights.raydiant.com/state-of-ai-retail 

Source: Raydiant