Tag: retail
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Marketers Keep Buying AI. The Skills Part Is Still Loading.
Digiday+ Research’s latest report, based on a survey of 142 brand and agency professionals plus interviews, shows AI investment moving from “nice-to-have” to “budget line item someone now has to explain.” Marketers reporting company investment in AI rose from 44% in 2022 to 57% in 2023, 71% in 2024, and 86% in 2025. The org…
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Duluth Lets AI Bid, But Keeps Humans on the Jokes
Duluth Trading Company is taking the agentic media buying trend and drawing a fairly human boundary: AI agents can handle tasks like bidding and creative iteration management, but anything resembling brand voice, humor, or “ethos” stays closer to people with pulse rates. Marketing director Ellie Uberto framed it during a live Digiday Podcast recording at…
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Behind the A.I. Boom, a Boring Business Is Soaring With Better Ads
DribbleUp, a sports equipment company, says it used to spend its own time and resources figuring out whom to target on Facebook. For the last two years, it has placed those ads “entirely through Facebook’s artificial intelligence tools,” according to The New York Times. Since then, the company says sales have outpaced marketing expenses. It…
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Ace’s Red Vests Get an AI Backstop
Ace Hardware has added an AI voice/text layer, called “Hey ARMA,” to ARMA, the long-standing handheld used by store associates. Rolled out in February, the tool serves up product recommendations, project guidance, and aisle-level inventory while associates are on the floor with customers. According to Forbes, it has handled more than 55,000 associate queries across…
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Dick’s Sporting Goods Is Turning Chatbot Small Talk Into CRM Fuel
Dick’s Sporting Goods is preparing to launch an AI-powered “digital coach” built with Adobe, positioning it less as the usual help-desk deflection bot and more as the “front door” to the retailer’s CRM. The idea: shoppers chat about what they’re buying, playing, training for, or trying to fix — a golf swing, for example —…
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Gap partners with Google Gemini to offer AI platform checkout
Gap is about to let shoppers complete a purchase straight inside Google’s Gemini, positioning itself as the first major fashion brand to wire checkout directly into the AI experience (per CNBC’s exclusive). The bet is simple: as shoppers drift from keyword search to conversational asking—“What do I wear to a wedding?” or “Help, job interview…
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Walmart’s “Ask Sparky” Is Ringing Up 35% Bigger Carts
Walmart says shoppers who use Sparky, its AI shopping assistant inside the Walmart app, rack up baskets about 35% larger than shoppers who don’t, according to newly appointed CEO John Furner on the company’s Q4 earnings call. Sparky lives behind the smiley-face “Ask Sparky” button and helps customers with product discovery (finding items, summarizing reviews)…
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Starbucks bets on robots to brew a turnaround and win customers
Starbucks is pouring hundreds of millions into AI tools and automation to fix lagging U.S. sales—and it might be working. A robot may now be taking your order in the drive-thru, while back-of-house scanning tech is keeping better tabs on inventory. Partnering baristas now have a virtual assistant to navigate scheduling or recipe details. After…
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AI Drama with a Side of Stroganoff
Noodles & Company gave fans more than just comfort food —they served up an AI-powered ad that doubles as a soap opera for the tastebuds. After the company put the popular Steak Stroganoff dish on hiatus, consumers voiced their displeasure and the brand tapped generative AI to dramatize actual complaints via short, theatrical scenes. Picture…
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Smart Shelves and Smarter Spend: Retail’s AI Budget Boom
Retailers and CPG companies are no longer dabbling in AI—they’re bankrolling it. NVIDIA’s latest survey shows that 90% of industry leaders plan to hike their AI budgets in 2026, focusing heavily on open-source tools and agentic AI. Why? Because AI isn’t just handling analytics; it’s pulling serious weight in supply chain forecasting, customer personalization, and…
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Chatbot Success: JCPenney’s GiftBot Case Study
JCPenney and dentsu X took on holiday chaos headfirst with GiftBot, a chat-based shopping assistant that made gifting less stressful and more personal. Designed using dentsu’s Intelligent Messaging tech and deployed across Facebook and Instagram via click-to-message ads, GiftBot provided real-time, tailored product suggestions based on user preferences like price, rating, and category. It even…
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AR Meets Après-Ski: Snapchat’s Winter Village Goes Luxe
Just in time for the holidays, Snapchat has unwrapped its “Winter Village,” an augmented reality experience that brings luxury shopping into the app for users across several regions including the U.S., U.K., and France. Running through December, the activation puts three upscale brands—Chopard, Lancôme, and BOSS—front and center in immersive, branded AR spaces. Accessible via…
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Lowe’s AI Tool Doubles Conversions — and It’s Just Getting Started
Lowe’s is doubling down on e-commerce (and conversions) through its ChatGPT-powered assistant, “Mylow.” Already live online and in-app, Mylow has delivered double the conversion rate among users, surfacing not just on-brand product picks but also DIY tutorials and how-to guides. And they’re not stopping there. In 2026, shoppers may be snapping pics of their outdated…
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The Debate on AI Ads: McDonald’s Christmas Campaign Controversy
McDonald’s Netherlands pulled its fully AI-generated Christmas ad after it struck the wrong chord with viewers — both in the Netherlands and well beyond. The ad leaned into holiday chaos with a cheeky twist on “It’s the Most Wonderful Time of the Year,” aiming to show McDonald’s as a calm-in-the-storm sanctuary. But what started as…
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How Jersey Mike’s Uses AI to Boost Local Ad Efficiency
While AI continues to be tech’s favorite buzzword, the real test for marketers isn’t hype—it’s whether the tech can actually trim waste and drive results. That’s especially true in local markets, where programmatic inefficiencies and ad fraud can gobble up limited budgets. With $26.8 billion in programmatic waste still rattling around the system, advertisers are…
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Holiday Chaos, Now in High-Def AI
McDonald’s Netherlands is leaning into December dysfunction with a fully AI-generated holiday ad that’s as relatable as it is ridiculous. Created by TBWA\Neboko and directed by the MAMA duo of Sweetshop, the 45-second spot rides the fine line between festive and frantic. Think flaming turkeys, exploding trees, and a shopper dragged behind a bus—all set…
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Walmart Tests AI Audio Reviews for Beauty Shoppers
Walmart is adding digital chatter to its beauty aisles, testing AI-generated audio summaries on over 1,000 premium beauty products in its mobile app. Much like Amazon’s similar feature rolled out earlier this year, these short soundbites give shoppers a voice-assisted rundown of key product details and customer reviews. Especially useful on the go, the feature…
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How Walmart Leverages AI to Enhance Online Shopping
Walmart’s next move in AI e-commerce is a partnership with OpenAI that lets customers shop directly through ChatGPT, using its new “Instant Checkout” feature. Instead of typing into a search bar and scrolling endlessly, shoppers can simply ask for meal ideas or restock the pantry with a few lines of chat—and ChatGPT does the rest.…
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How AI is Shaping Ecommerce for the Holidays
Holiday e-commerce in the U.S. is expected to climb 5.3% this year, and for the first time, retailers are writing AI into their seasonal strategies. Instead of relying solely on Google, consumers are increasingly using ChatGPT and similar platforms to research and compare products. ChatGPT’s own shopping integration, backed by Walmart, Shopify, and Etsy, signals…
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ChatGPT Sends Shoppers, But They’re Leaving Their Carts Behind
A new study from German researchers is poking a few holes in the hype around AI-powered shopping. Analyzing more than 50k ChatGPT referrals vs. 164 million traditional transactions across nearly 1,000 e-commerce sites, they found that while ChatGPT may be driving fresh traffic, it’s not delivering at checkout. Conversion rates from ChatGPT referrals lagged behind…
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The Impact of AI on Consumer Search Behavior
Marketers would do well to pay close attention to shifting consumer search behavior: 87% of U.S. adults now read AI-generated summaries when they search online, and more than 8 in 10 are using AI as part of their shopping decisions. These stats come from the latest Centerfield Gen-AI Consumer Survey, which paints a pretty clear…
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Retailers Embrace AI Despite Trust Issues
Retailers are increasingly adopting AI despite concerns about accuracy, cost, and customer trust, with 60% of industry leaders expressing unease over its reliability. A recent survey indicates over half anticipate AI will dominate customer interactions within five years. Challenges include data privacy, inconsistent quality, and internal resistance. Notably, Under Armour employs AI for operational efficiencies…
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The Challenges of Taco Bell’s AI Orders
Taco Bell’s implementation of AI-powered drive-thrus has faced challenges, particularly with prank orders and customer frustration. After introducing the voice assistant at over 500 locations, issues arose as users tested the system’s limits, causing discontent on social media. Technology lead Dane Mathews acknowledged the system’s theoretical potential but recognized its shortcomings in high-pressure situations, prompting…
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Ralph Lauren Launches AI Stylist: Ask Ralph
Ralph Lauren has launched “Ask Ralph,” an AI chatbot developed with Microsoft to act as a virtual stylist for mobile app users. This assistant, trained on branded materials and product data, helps users with outfit suggestions and style inquiries, ensuring a tailored experience rooted in Ralph Lauren’s brand identity. Built on Microsoft’s Azure platform, the…
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Shop While You Watch: TSN’s New QR Code Shopping
TSN has introduced a new e-commerce platform, TSN Shop, during the CFL’s Friday Night Football, allowing fans to shop in real-time by scanning a QR code on-screen. This initiative, powered by Shopsense AI, enhances Bell Media’s strategy to create transactional second-screen engagement. It enables brands to integrate directly into the viewing experience, turning fan interest…
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The Future of Agencies: AI as a Smart Colleague
Agencies like Dentsu’s Carat and indie firm Apollo Partners are integrating generative AI into their operations to enhance collaboration rather than eliminate jobs. Carat is utilizing tools from Vurvey Labs for richer consumer insights and faster decision-making. In a test with a restaurant, they streamlined media recommendations and creative input. Meanwhile, Apollo is developing its…
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Furniture.com Moves from Aggregator to Marketplace with Agentic AI
Furniture.com has integrated an agentic AI-powered buy button, enabling customers to complete purchases directly on the site. A parent agent manages general details, while specialized agents handle retailer specifics, ensuring real-time updates on inventory and pricing. This shift aims to increase the site’s conversion rate and repeat customers ahead of the holiday season, moving from…
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Consumers Warm up to AI Shopping Agents
Consumers are increasingly embracing AI as a shopping aid, with 38% of bridge millennials and 32% overall using AI tools for retail tasks. Baby boomers are also participating, with 28% utilizing AI. However, 85% express concerns about privacy. Leading platforms like Perplexity, OpenAI, and Google are enhancing AI shopping experiences with advanced functionalities. Consumer hesitation…
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Transforming Retail: Wayfair’s AI-Driven Shopping Experience
Wayfair’s CMO Paul Toms is revolutionizing the customer journey through AI, introducing an AI-powered “Discover” tab that simplifies product discovery for users. With over 30 million items, this feature aims to alleviate choice paralysis and seamlessly convert inspiration into purchases. Collaborating with CTO Fiona Tan, Toms is rethinking cross-channel marketing metrics, utilizing first-party data to…
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Meet the AI Sales Reps Who Never Sleep (and Outperform Human Counterparts)
In China’s livestream shopping landscape, AI avatars are emerging as 24/7 sales representatives, outperforming human counterparts. Developed by PLTFRM using Baidu’s video tech and DeepSeek’s script-writing, these “virtual humans” have shown impressive results, such as generating $2,500 in sales within two hours and increasing livestream revenue by 30%. While they offer consistent engagement, the rise…
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How Walmart’s AI Agents Are Changing Advertising Strategies
Walmart is developing an AI-powered command center to enhance ad strategies and streamline retail operations. Central to this initiative is “Marty,” an AI tool for automating ad campaigns and seller onboarding. Walmart aims to efficiently link trends, manufacturing, and influencer marketing through AI, fundamentally transforming how media is bought and sold.
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Morrisons Builds a Digital Twin for Supply Chain Optimization
British grocer Morrisons is rewiring how its supply chain thinks. In partnership with AI simulation firm Kallikor, Morrisons is building a “digital twin” of its full supply network. Think of it as a virtual sandbox that mirrors the real-world logistics web: warehouses, delivery flows, customer demands, the whole nine yards. The digital model runs on…
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No Lanes, No Lines, No Problem? Sam’s Club Tests a Checkout-Free Future
Sam’s Club is doubling down on its tech-powered checkout experience—with promising early results. Its Grapevine, Texas location became the first to ditch checkout lanes entirely, nudging members toward the Scan and Go app and computer vision-powered exit arches. CFO Todd Sears shared a moment with a hesitant older couple who left smiling after scanning and…
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Roblox’s Green Thumb Moment: “Grow a Garden” Propels Platform Into Prime Time
Roblox just pulled off a feat that deserves a spot in gaming’s record books. “Grow a Garden,” a farming sim, clocked an eye-watering 21.6 million concurrent players—putting it ahead of Fortnite’s legendary 2020 Galactus event. Unlike the competition, this Roblox game didn’t need a one-night-only gimmick to rake in numbers; it’s just users logging in…
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Walmart Gives Its App a Brain—Meet Sparky, the Agentic AI
Walmart just booted up “Sparky,” a generative AI assistant tucked into its app, and it’s gunning to be more sous-chef than search bar. Rather than simply spitting out grill listings when you type “cookout,” Sparky can analyze weather forecasts, build a menu, and arrange delivery—all before you’ve finished your iced tea. Unlike those clunky retail…
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Hammering Home Influence: Lowe’s Courts Gen Z with MrBeast and 17K Creators
Lowe’s is swinging for a younger demographic with the launch of its Creator Network—an ambitious swipe at social-era brand building that’s already netted over 17,000 creators in its beta phase. At the center is MrBeast, who’s not only curated a storefront on Lowes.com but enlisted the brand as the exclusive builder for season two of…