Statista projects that nearly a quarter of all retail sales will happen online by 2027. This doesn't mean physical stores are becoming obsolete—but they're evolving into something more dynamic.

Successful retail marketing now requires a delicate balance between digital innovation, AI-powered insights, and high-touch customer service. Whether you're overseeing a small boutique or managing multiple locations, retailers know it’s critical to deliver personalized experiences both online and in-store.

But how do consumers want to see AI used in retail? Data from a Future Commerce report emphasizes three main areas: consumer empowerment, context, and simpler payment methods.

AI is meaningfully reshaping retail, from more efficient marketing campaigns to inventory prediction, helping retailers understand and serve their customers like never before. The key is leveraging technology while maintaining a human touch to meet your customers wherever they are, from their Instagram feeds, to their inboxes, to your store aisles.

Marketing for Retail: Leveraging AI

But that's where AI steps in. It's not just about automating tasks—AI also gives retailers a sharper lens on their businesses. By analyzing patterns in everything from sales data to weather forecasts, AI helps retailers make smarter decisions about what to stock, when to stock it, and how to get it to customers efficiently.

The numbers tell an interesting story: according to Analytics Insight, 40% of retail companies already use AI automation in their operations. But it’s just the beginning. By 2025, about 80% of retail executives expect their companies to use AI technologies to stay competitive.

What makes AI particularly valuable is its ability to spot trends and patterns that humans might miss. Whether it's predicting the next big seller or adjusting supply chains before problems arise, AI is helping retailers transform the way they do business.