LONDON — Artificial intelligence is transforming how retailers engage with customers, but successful adoption requires more than just implementing new technology, according to Sara Richter, CMO of SAP Emarsys. Based on insights from the company’s latest AI in Retail report, Richter highlighted five trends that retail marketers should prioritize to achieve measurable results.
1. Uniting Online and In-Store Experiences
While 55% of purchases happen in physical stores and 54% via online marketplaces, many retailers still struggle to unify data between channels. Richter said linking store, digital, and back-end systems enables true omnichannel personalization, such as consistent product recommendations and seamless loyalty redemption.
2. AI Is a Tool, Not a Substitute for Strategy
Seventy-one percent of marketers say AI helps them launch campaigns faster, saving an average of 2.3 hours per campaign; however, fragmented data and disjointed customer journeys still require strategic fixes.
3. Personalization Must Evolve Beyond Basics
Although 79% of marketers use AI for personalization, only 29% of shoppers feel content is tailored to their needs. Opportunities include AI-driven gift idea generators, custom messages, and comparative shopping tools.
4. Investment in AI Is Accelerating
Sixty-four percent of marketers plan to boost AI spending this year, focusing on automation, new experiences, engagement in new markets, loyalty building, and process simplification.
“Our most successful and innovative customers experiment constantly. Start small. Experiment with AI in one campaign, channel, or moment of personalization that makes your customer feel seen,” wrote Richter.
5. Data Privacy Concerns Persist
Only 16% of consumers highly trust retailers to protect their personal data, and skepticism toward AI privacy has increased. Richter advises clear communication about data use to strengthen trust and loyalty.
“92% of marketers are already using AI. Those who are using AI are reaping more benefits faster. Most likely, you’re using AI already in your day-to-day tasks, too. The real question is: Are you missing out on areas where AI could be applied?
This expansion of AI will only increase as marketers partner with commerce, sales, and service teams to seek innovative ways to win lasting customer loyalty. Competition is fierce, and consumers have power in this Engagement Era. The brands winning with AI put customers first and consider how to enrich their lives and experiences. That’s the heart of the SAP promise: put the customer experience at the center of every business decision. That’s the power of connected data, and that’s the future of retail,” wrote Richter.
