Ai Is Here to Stay

AI is transforming every element of our lives. This is evident in the retail experience we encounter online and in-store, across categories from grocery to fashion, and consumer electronics. Some may have mixed feelings on the benefits or drawbacks from both consumers and retailers, but AI isn’t going anywhere and will be part of the consumer engagement process across all retail touchpoints. With the colossal rise of AI powered stores from automated self-checkouts, we’ll see a complete overhaul of the in-store shopping experience in the next few years, offering self-serve facilities to retailers utilising facial recognition for a ‘just walk out’ experience. Useful for those quick purchases, but not necessarily so for the ‘big’ weekly shop. Despite the set-up cost, AI has inevitably reduced salary bills. But, many shoppers still prefer to make a purchase with a cashier, with some retailers now backtracking on decisions due to poor customer experience, all whilst others pivot towards investments in self-checkout solutions. At every AI customer journey touchpoint, there will always be a need for the human touch, but what’s the balance, and how accessible do we make this for consumers? Frustrating chatbots won’t achieve the same results as an in-depth discussion with a member of staff, who can deliver the personal benefits of a product or service, encourage a sale, or extras like insurance. Brands also need to measure the expense of buyer’s remorse and the long-term impact of brand customer loyalty. That said, as the impact to overheads from the imminent national minimum wage and NI increases, retailers may have no choice but to invest further in AI, in the form of smart baskets and trolleys in supermarkets, more IT budget allocated to AI for the consolidation of back-office operations, and further online enhancement.

Daniel Todaro, Gekko Group CEO

To read the published comment by Daniel Todaro, Gekko Group CEO, please visit A1 Retail

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