Introduction

Coresight Research is a research partner of Groceryshop 2025, which took place during September 28–October 1 at Mandalay Bay in Las Vegas, Nevada. Groceryshop is an annual conference that brings together global retailers, brands and technology leaders to discuss trends, innovations and strategies shaping the future of grocery and CPG.

This year, Groceryshop attracted more than 5,000 senior executives from leading retailers, brands and technology companies across over 50 countries. With over 150 global speakers, the event spotlighted critical insights on digital commerce, consumer engagement, operational excellence and breakthrough innovations transforming the grocery and CPG industry.

At this event, Deborah Weinswig, CEO and Founder of Coresight Research, emceed the “Shark Reef” Startup Pitch competition and served as lead judge. The competition, held on the first day of the event, saw 12 early-stage retail-technology innovators compete for the Judges’ Choice and Audience Choice awards.

In this report, we present our top insights from Groceryshop 2025 centered around four key themes in CPG and grocery retail:

• Efficient and AI-Powered Grocery Operations
• Understanding, Captivating and Retaining Shoppers
• The Next Frontier for Retail Media (and New Revenue Streams
• Building Unified and Future-Ready Organizations

Groceryshop 2025 Wrap-Up: Coresight Research Analysis

1. Efficient and AI-Powered Grocery Operations

The Next Era of Grocery Built on AI

AI is transitioning from a support tool to the backbone of the grocery retail industry. Across sessions, speakers emphasized that AI must be integrated into every part of the business— from how grocers engage shoppers and manage stores to how they plan assortments and control costs. Those who treat AI as an add-on risk being left behind, while those integrating it across planning, operations and customer experience will create a lasting competitive advantage.

Michelle Cucchi, Product Marketing Director at Algolia, warned that grocers who fail to adopt AI could face the same fate as A&P, once the largest US grocer, which collapsed after failing to modernize. Cucchi presented examples of AI in action: smarter search tools that lifted conversion rates by more than 50%, dynamic recipe planners that adjust for dietary needs or guest counts, personalized recommendations when items are out of stock, and “inventory that talks back,” providing real-time visibility into stock.

Miker Herder, VP, Supply Chain at Infor, pointed out that many grocery warehouse management systems are outdated—built decades ago and patched with numerous customizations. This has created a weak foundation that makes modernization difficult. He explained that grocers need to innovate to stay competitive, but legacy systems slow them down at every step. He added that modernizing is not just about efficiency—it also affects employee retention. While Gen X workers can manage clunky systems, 41% of Gen Z employees will quit if the tech/UI is poor. Herder emphasized that robotics, automation and cloud systems are no longer optional; they are prerequisites for running agile, efficient operations.

Automation Moves from Test to Transformation

Automation and AI have decisively moved past the experimental phase in grocery retail. Early pilots, such as shelf-scanning robots or smart carts, have matured into enterprise-wide systems that improve efficiency and elevate the shopping experience. Retailers increasingly see automation not as a cost-saving tool but as a growth enabler that connects revenue, productivity and customer satisfaction. The most significant is no longer technology—it’s aligning culture, cross-functional collaboration and executive commitment to sustain and scale this transformation.

Simbe Robotics and Instacart stressed their commitment to digitizing physical retail. “Digitizing physical retail was the main purpose behind founding the company,” said Brad Bogolea, Co-Founder & CEO, Simbe Robotics, noting the company now operates in over 10 countries. “We could not be more excited about the momentum in the market,” he added. Similarly, David McIntosh, Chief Connected Stores Officer, Instacart, shared that Caper smart carts are now live in more than 100 cities across Kroger, Morrisons, and Wegmans and other retailers, with store adoption tripling in recent years. Suzy Monford, CEO, Food Sport International, reflected that the industry has moved “from vision to speed and scale better than we ever have.”

Suzy Monford referenced a Simbe–Coresight Research study showing grocers lose up to 5.5% of revenue due to operational inefficiencies in stores. Bogolea also cited recent research conducted by Simbe: “Nine out of 10 shoppers prefer shopping in-store with a technology-supported environment.”

Both speakers stressed that scaling beyond pilots depends on proving tangible business value. McIntosh highlighted the importance of clear ROI metrics, asking questions such as: “What sales lift comes from the Caper cart rollout? How can the Caper screen unlock retail media opportunities? How does it boost loyalty sign-ups and omnichannel acquisition?” He added that reducing theft is another key driver behind adoption.

The path from pilot projects to scaled adoption depends heavily on organizational culture. Bogolea said, “At the end of the day, it comes down to change management and cultural shifts. This technology is proven and at scale, but it often comes down to communication, processes to stores and how does it change your operating model.” He added, “We have evolved greatly to provide strategy and realization teams that help shepherd retailers towards that journey. We are not just a technology company.” McIntosh stressed cross-functional alignment: “Chief Digital Officers are most important, but operational and retail media teams need to be on board. These stakeholders should be brought in at the start.”

Tim Steiner, CEO of Ocado, explained how automation is helping grocers make online shopping profitable. Large automated warehouses remain the most cost-effective way to handle scheduled deliveries, Steiner said, but they are expensive if not fully utilized. Ocado has developed smaller automated centers that can break even at much lower sales volumes. Advances in robotics, such as picker robots that can operate alongside box-moving robots, are enabling more efficient micro-fulfillment and reducing space requirements. Steiner predicted that automated solutions could reduce their cost below that of hypermarkets.

Left to right: Suzy Monford, CEO, Food Sport International; Brad Bogolea, Co-Founder & CEO, Simbe Robotics; and David McIntosh, Chief Connected Stores Officer, Instacart
Source: Groceryshop

 

Building the Data Foundation for Agentic AI

The shift toward agentic AI will only be as strong as the data it runs on. To unlock its full potential, retailers must move from fragmented, legacy systems to unified, real-time data environments where information is clean, structured and trusted enough for AI to act autonomously. However, the challenge runs deeper than technology—it demands a fundamental shift in how organizations work. Success requires new roles, reimagined workflows and collaboration across teams that were previously disconnected.

Jason Cottrell, CEO & Founder, Orium, explained that AI agents should be thought of not as “lone geniuses” but as teams of employees—each one able to run different business functions such as inventory planning, marketing execution or replenishment. For example, an inventory agent might pull in warehouse data, apply replenishment rules and even factor in weather forecasts before making supply decisions.

He suggested that if a task is repeated three times, it should be automated. He stressed companies need to start capturing their own decision-making processes in structured ways (for example, transcripts, decision logs), so agents can learn from them just as employees do.

Brian Bell, VP, Strategy & Planning, Church & Dwight, added that poor data quality is the single biggest risk for AI adoption. He cited MIT research study showing that as many as 95% of AI projects fail/underperform because enterprises lack clean, trusted and usable data. Bell warned that companies risk what he called “work slop”—a hidden productivity drain caused by employees constantly cleaning up unstructured data before AI systems can use it. To address this, he proposed creating new roles such as data librarians—people dedicated to curating and maintaining enterprise data so agents can access it reliably. He also cautioned against “AI sprawl,” where AI experiments proliferate without governance across an organization, leading to wasted effort and inconsistent results.

Both speakers agreed that preparing for agentic AI goes far beyond investing in new technology. Companies need to build new architectures as a foundation, restructure data and context so agents can use it, shift staff mindsets from fear to excitement and deliberately redesign processes rather than letting them evolve by chance.

2. Understanding, Captivating and Retaining Shoppers

GLP-1 Surge Dovetails With Consumers’ Increased Focus on Health and Wellness

Health has risen to the top of the consumer agenda, and GLP-1 adoption has accelerated this shift. Shoppers using these medications eat less but look for foods that deliver more nutrition in smaller portions. For brands and retailers, this means rethinking product assortment, marketing and collaborations to serve a more health-driven shopper. The biggest opportunities lie in developing nutrient-dense products, communicating health benefits with clarity and trust, and using tools like social listening to respond quickly as new wellness trends take hold.

Leigh O’Donnell, Head of Shopper & Category Insights, Kantar, highlighted the rapid growth of the GLP-1 market, a trend that Coresight Research has covered across sectors. In 2023, the global market for GLP-1 drugs was valued by Morgan Stanley at $77 billion over a 10-year trajectory. Morgan Stanley updated the market size this year (2025), with projections nearly doubling to $150 billion over a 10-year period. She noted that within the next decade, up to 20% of eligible Americans could be using GLP-1 therapy. Key drivers behind this surge include rising obesity rates, improved drug effectiveness with fewer side effects and advances in formulations that are expected to lower costs over time.

Linda Bethea, CMO, North America, Danone, said this is a fundamental shift, not a short-term trend. With one in four Americans on a weight loss journey and GLP-1 users consuming 40% fewer calories, brands face a major disruption in how consumers shop and eat. She described how Danone is leaning on its science-based nutritional heritage to create fortified and functional products. Consumer journeys are carefully mapped using internal insights and external partners like Kantar to inform strategy. Danone has also launched a GLP-1 Nutrition Hub to educate consumers with credible, science-backed information.

AI-Driven Discovery Journeys

Product discovery in grocery retail is entering a new era. Shoppers no longer stumble upon products only in stores or through recommendations —discovery happens across physical stores, social media and AI platforms, with shoppers moving between channels on their own terms. The store still closes the sale, but the journey there is now non-linear and agentic. For retailers and brands, the challenge—and opportunity—is to connect these touchpoints, blending traditional merchandising with AI-powered personalization to turn moments of curiosity into confident purchases.

Simon Rodeiro, Vice President Digital Commerce & Omni-Channel Marketing, PIM Brands, described the enduring importance of in-store shopping, noting that “70% of discovery is still happening in stores.” For categories like snacks, physical presence on an endcap or shelf remains a powerful trigger for parents and impulse buyers. Yet Rodeiro emphasized that consumer research increasingly starts elsewhere: shoppers may search AI tools using phrases like “healthy snacks” or browse TikTok for recipes, only to validate their choices in-store. PIM has responded by redefining “demand spaces” for Welch’s Fruit Snacks—shifting from being seen only as a lunchbox item to targeting busy professionals seeking on-the-go energy. This repositioning fed directly into AI-driven product content, such as “mess-free snacking” imagery, which resonated with both search queries and lifestyle needs.

Karin Chu, Vice President, Head of AI, Data Science & Analytics, Ahold Delhaize USA, shared how agentic AI is changing shopper entry points. Customers now arrive at digital storefronts via ChatGPT or other LLM-powered interfaces, often with highly contextual queries such as “birthday party for a two-year-old” or “snacks for a road trip” (and Coresight Research data show about 30% of US consumers could be using these tools for holiday 2025 shopping). These agentic journeys bypass traditional search engines and place new demands on retailers: ensuring product data is structured and discoverable, inventory is accurate and recommendations feel relevant. Chu highlighted that while AI can streamline search and substitution, human oversight remains essential. Merchandising teams and business stakeholders must guide algorithms so that results align with brand intent and customer expectations.

Chu pointed to recent moves by OpenAI—allowing direct shopping on Etsy through APIs—as a “wow moment” that signals a coming revolution. If AI agents decide what products a shopper sees, retailers and brands may lose traditional control over adjacencies and positioning. Instead, they will need to think strategically about how to “show up” in agent-driven ecosystems.

Simon Rodeiro, Vice President Digital Commerce & Omni-Channel Marketing, PIM Brands
Source: Groceryshop

 

Balancing Health, Wellness and Affordability

Shoppers are more cautious and price-conscious than ever. Inflation, higher living costs and regulatory changes are forcing consumers to rethink how and where they shop. Many are trading down to private labels, seeking more deals and moving their spending online or into social commerce channels. Retailers that can respond quickly with the right value propositions—through pricing, promotions and private brands—will be best placed to capture loyalty in this environment.

Jennie Bell, Managing Director, Snacks & Beverages, NielsenIQ, presented research showing just how much consumer behavior has shifted. Since 2021, grocery prices have increased by 28.5%, and nearly three-quarters of shoppers (73%) report feeling the impact of these rising costs. As a result, 50% of shoppers are seeking deals more often, with coupon use rising and trade-down behavior accelerating.

Private label products are becoming a clear winner in this shift. Bell explained that private label share is expanding, with growth rates (5.1%) more than double those of national brands (2.3%). Retailers are no longer just positioning private labels as budget options—they are expanding into premium ranges and creating strong brand portfolios to cover both value and quality segments. This allows retailers to capture both ends of the cautious consumer spectrum: those who want low prices and those who want affordable premium alternatives.

At the same time, shopping habits are shifting across channels. Online sales are up 15% year over year, with 1.2 billion units—worth $4.7 billion—moving away from brick-and-mortar stores into digital channels. This trend is especially strong in categories such as general merchandise, baby and health and beauty, which are seeing double-digit online growth. Social commerce has emerged as a powerful force in this transition. TikTok Shop, for example, generated nearly $6 billion in sales, with categories such as snacks, beverages, and health products experiencing a 100% year-over-year increase, and each category averaging $50 million to $100 million in sales. Bell summed up that “digital is at the heart of every consumer decision,” underscoring the need for retailers and brands to adapt to a consumer base that is more price-sensitive, convenience-driven and digitally engaged than ever.

Regulatory shifts, particularly around SNAP (Supplemental Nutrition Assistance Program), are also driving major behavioral changes. SNAP households, which make up a large segment of US grocery shoppers, are responding to reduced benefits in two ways: by reducing consumption (31% say they will buy less food, 26% say they will skip meals, 27% plan to cut non-essentials) and by changing habits (28% will shop at lower-cost retailers, 26% will buy more private labels and 26% will use coupons more often). Planned reductions in SNAP funding over the next decade are expected to further accelerate these shifts.

Shoppers today want the best of both worlds—healthier products and affordable prices. Retailers are under pressure to deliver high wellness standards without compromising value. Whole Foods Market has adapted by holding firm on quality while expanding private labels, cutting prices and broadening promotions to appeal to a more cost-conscious shopper base.

Sonya Gafsi Oblisk, Chief Merchandising & Marketing Officer, Whole Foods Market, described how wellness has taken on new meaning. For many customers, it is no longer just about avoiding unhealthy ingredients—it is also about actively seeking out functional benefits. She broke this into two dynamics: the absence of negatives (removing additives, red dyes and other artificial ingredients) and the presence of positives (nutrient-dense foods, functional grains and protein-rich products). Whole Foods has banned more than 500 ingredients across its stores, and these standards are continuously reviewed in what Oblisk called an “always-on process.” She stressed that these strict standards are the “nucleus” and “north star” of the Whole Foods brand.

Sonya Gafsi Oblisk, Chief Merchandising & Marketing Officer, Whole Foods
Source: Groceryshop

 

3. The Next Frontier for Retail Media (and New Revenue Streams)

Retail Media’s Next Chapter: Scale, Data and In-Store Activation

Retail media is evolving from a phase of rapid growth into one of consolidation, differentiation and sophistication. The sessions revealed three shifts shaping its next chapter: (1) in-store activations will be the next big unlock, bridging digital and physical journeys, (2) first-party data is the true currency of the future, and (3) consistent, credible measurement is the foundation for ROI and advertiser trust.

Michele Roney, EVP, Retailer CX, Mars United Commerce, noted that retail media ad spend continues to grow, but the pace is slowing. Amazon still dominates with 75% of spend, Walmart follows with 8% and the remaining 16% is split across more than 200 networks—creating fragmentation that makes it difficult for advertisers to choose partners. Advertisers are becoming more selective, directing dollars only to networks that can prove scale, quality audiences and measurable ROI.

A retail executives panel featuring Bobby Watts (SVP AD Retail Media & Digital Merchandising, Ahold Delhaize USA), Christine Foster (SVP, Kroger Precision Marketing) and Abi Subramanian (Group VP, Loyalty, Walgreens Advertising Group & Owned Asset Monetization, Walgreens) recognized in-store media as a largely underutilized frontier in the US, with opportunities to elevate customer experience:

• Kroger noted that in-store activations should go beyond screens on walls, instead offering native, relevant messaging that integrates seamlessly into the environment.
• Walgreens highlighted its unique store footprint, with 80% of customers residing within a five-mile radius of a store, making in-store activations a powerful “point of influence” opportunity.
• Ahold Delhaize described its digital store initiative, which combines analog signage, mobile app integration and in-store media to create a connected ecosystem—bridging the gap between digital and non-digital shoppers.

Retailers Evolving from Technology Users to Technology Creators

The traditional relationship between retailers and technology is shifting. Grocers are no longer just buyers of tech solutions—they are becoming builders and sellers of them. After years of developing tools to address their own operational challenges, leading retailers are recognizing that these battle-tested systems have value beyond their own walls. The shift is not just about building extra revenue streams; it reflects a more profound truth that grocery-specific solutions often cannot be met by generic tech vendors. By moving into B2B technology services, retailers are leveraging their credibility, lived operational experience and trust with peers. Yet, success in this space requires more than having proven technology—it depends on culture, end-to-end support and the ability to act more like a startup than a legacy retailer.

Oliver Vogt, CEO, Transcend, Tesco, explained how Tesco created the spin-off to commercialize its automation and fulfillment technologies, which were initially stress-tested during the Covid years. Rather than keeping these solutions in-house, Tesco recognized its broader market potential and launched Transcend with the ambition to “solve difficult problems” for the industry. Unlike traditional tech vendors, Transcend positions itself as “from grocers, for grocers,” leveraging lived retail challenges as proof of credibility.

A key part of Transcend’s model is offering full end-to-end support, not just selling hardware or software. Vogt emphasized that success often comes from the “whole journey”—helping retailers from early strategy through to execution. For example, when installing micro-fulfillment centers inside stores, Transcend does not just deliver technology; it spends significant time working alongside the grocer to ensure the solution functions in a live retail environment.

Vogt admitted that the selling process in B2B retail tech is long, requiring patience and persistence. Many retailers, disappointed by generic tech suppliers in the past, are cautious and want to see proven results before committing. This makes credibility and patience central to winning business. For grocers considering launching their own B2B ventures, Vogt’s advice was to focus on building solutions that can live outside of the founding retailer’s ecosystem, ensuring they are truly transferable. The ultimate goal, he emphasized, is to provide grocery-specific tools that can scale across the industry, rather than one-off fixes.

Oliver Vogt, CEO, Transcend, Tesco
Source: Groceryshop

 

4. Building Unified and Future-Ready Organizations

Breaking Down Data Silos to Scale AI

Most AI ambitions collapse not because of the algorithms, but because of fragmented data and culture. Companies are eager to experiment with generative and agentic AI, but without harmonized, trustworthy data foundations, those efforts rarely scale. Panelists emphasized that the challenge is not technical feasibility—most organizations can spin up pilots—but organizational fragmentation. Siloed data, duplicated systems and misaligned priorities keep AI from delivering value. To be future-ready, companies need to organize data around customer needs rather than departments, and build a culture where data is treated as a shared asset across the business.

Deepak Jose, VP & Head of Data & Decision Intelligence, Niagara Bottling, noted that more than 95% of AI initiatives at large enterprises fail to generate value, often because the data foundations are weak. He likened organizational silos to “five blind people explaining an elephant”—each part makes sense, but no one sees the whole. Jose stressed that success depends on harmonization across marketing, trade, e-commerce and retail media budgets, which currently sit in four or five separate silos. For CFOs and boards to invest at scale, leaders need unified KPIs and a single view of spend.

Shweta Prabhu, VP, Digital, MarTech, Enterprise Systems, Data & Analytics, Giant Eagle, described the pitfalls of fragmented approaches. Teams often copy datasets to move faster, but when enrichment happens in one silo, those updates do not flow into downstream systems. The result is “pockets of good data” coexisting with “pockets of bad data”, undermining trust. She advocated for data lakes and master data management (MDM) systems, which can increase trust in AI outputs and support decisions at scale.

Alan Wizemann, Chief Digital Officer, Southern Glazers Wine & Spirits, showed how shifting perspective can unlock progress even in highly fragmented environments. His company, which had grown through acquisitions, was saddled with 27 disparate systems. Rather than focus first on internal integration, his team reframed the supply chain data through the lens of customer needs. By exposing real-time truck inventory to customers, they not only created value externally but also justified investment internally. Wizemann noted that this “value lens” turned supply chain data—a traditionally siloed but accurate dataset—into a foundation for broader organizational change.

Shweta Prabhu, VP, Digital, MarTech, Enterprise Systems, Data & Analytics, Giant Eagle
Source: Groceryshop

 

One Demand Vision: Digital and Physical Together

For large CPG companies, the challenge today is not whether to invest in digital—it is how to unify digital and physical strategies so they operate as one. Neil Reynolds, Global Chief Customer & Digital Commerce Officer, Mars Snacking, explained that the future belongs to organizations that operate with “one demand vision”—where every shopper touchpoint is aligned, KPIs are shared and teams across sales, marketing and commerce work as one. Achieving this vision requires dismantling silos, retraining associates and rethinking agency partnerships. The shift is as much about culture and people as it is about technology.

One of Mars’ biggest levers for change is education. Reynolds detailed how the company is using GenAI-powered personalized learning to upskill 65,000 associates worldwide. The training begins with “Digital Commerce 101,” providing every associate with a baseline understanding of digital commerce. It then provides targeted programs for core functions—such as sales, marketing and finance—through retail media masterclasses and digital shelf training. Finally, advanced tracks help specialists to further develop their expertise. This structured approach ensures that everyone, from executives to frontline staff, speaks the same language and can work toward shared goals.

Reynolds emphasized that digital transformation requires “bilingual” leaders who can translate between traditional CPG operations and new digital-first approaches. Leaders need humility, curiosity, and the ability to blend external digital experience with internal institutional knowledge. At Mars, some of the strongest advocates for change have been those who bring in fresh, external perspectives but can adapt them to the company’s existing culture. This bridging capability, Reynolds noted, is essential to overcoming resistance and aligning teams around a single vision.

Reynolds cited examples like Skittles on TikTok Shop, where digital engagement was directly tied to fulfillment and in-store execution. These activations showed how impulse-driven categories, such as snacking, can thrive when physical availability is combined with digital discoverability. To strengthen this connected commerce approach, Mars restructured its agency relationships, consolidating its ecosystem under Publicis. Reynolds explained that the decision was based on finding a partner that could address the widest set of pain points—from media to influencer marketing to commerce execution—allowing Mars to move faster and more cohesively.

What We Think

The Coresight Research View on US Grocery Retail

Despite the collapse of the Kroger-Albertsons merger, market concentration in the US grocery sector is likely to rise over the coming years, especially among regional chains. Three factors are fueling this shift:

• Mounting margin pressure from expanding competitors, such as Amazon, Aldi and Dollar General
• Increased investments in private-label brands, which offer consumers lower-cost alternatives
• Growing use of emerging tech, such as agentic AI (artificial intelligence) and retail media to boost margins and efficiency

Smaller, less-differentiated regional grocers—which often lack the scale to compete with larger, more established chains—will likely respond to these changes by consolidating or seeking acquisition by larger players.

Simultaneously, traditional supermarkets are gradually ceding their share of food spending to non-traditional grocery retailers. Large, well-capitalized retailers, such as Walmart, are leveraging scale-driven cost advantages to make sustained price and operational investments. While national grocers, such as Kroger, and regional powerhouses, such as H-E-B and Publix, can hold their own, many small, less differentiated, regional supermarket chains are unlikely to match those capabilities, leading to customer attrition, market exits or acquisition by larger competitors. Over time, this will consolidate the grocery landscape to three tiers: national players; a handful of exceptionally strong regional players; and niche formats, such as specialty and discount operators.

Impact of Tariffs: We note that the US grocery sector is likely to be less exposed to tariff-related pressures compared to other retail segments, given its relatively high reliance on domestic supply chains—though certain categories, such as imported specialty items, seafood and seasonal produce, may still be affected. Imports accounted for 15% of total food and beverage spending in 2023, according to the United States Department of Agriculture (USDA; latest available data).

We note that the impact of tariffs on the US grocery sector will unfold in stages. Initially, price increases will be most visible in short-cycle perishable categories, such as fresh produce, meat, dairy and eggs, where supply chains turn over quickly and cost changes pass through to shelf prices almost immediately. Over time, higher input costs will work their way through longer-cycle, center-of-store categories—such as packaged foods, beverages, canned goods and household staples—where inventory turnover is slower and manufacturers often absorb costs temporarily before passing them on to retailers and consumers.

Implications from This Report

Groceryshop 2025 outlined how grocery retail is entering a new era led by AI, data and health-conscious consumers. The event emphasized that the winners will be those who combine innovative technology with strong human insight.

Implications for Brands/Retailers

• Balance affordability with health-driven innovation—expanding better-for-you assortments, highlighting nutritional value, and using private labels or promotions to keep healthier choices accessible.
• Prepare for conversational commerce by making all product data machine-readable. The future of retail search will be natural language queries handled by AI agents, requiring retailers to structure their information clearly so algorithms can easily understand and recommend the right products.
• Build richer loyalty ecosystems that blend data, personalization, and education. First-party data is the foundation for targeted promotions, retail media partnerships and innovation pipelines.
• Invest in building AI literacy and automation fluency across teams—turning store associates into powerful enablers of digital transformation.

Implications for Technology Vendors

• Support workforce readiness alongside technology adoption. Vendors should include training, onboarding and change management as part of every client engagement. The success of automation depends as much on user adoption as on technical performance.
• As retail media expands in-store, vendors who can provide unified dashboards for campaign effectiveness—across digital, physical and social—will gain a competitive edge.
• Develop platforms that can rapidly test and scale innovations across multiple channels. Technology vendors who can help retailers move from pilot to full deployment in months rather than years will have a significant competitive advantage.
• Create measurement and analytics tools that connect online behavior to in-store actions. The ability to track customer journeys across all touchpoints and provide real-time insights will be crucial as unified commerce becomes the standard.
• As search evolves from keywords to conversational queries, vendors should offer solutions that help retailers organize their data to be machine-readable and compatible with emerging “agent-to-agent commerce”.

Notes

Data in this report are as of October 7, 2025.

Companies mentioned in this report include: Algolia, Infor, Simbe Robotics, Instacart, Ocado Group (LSE: OCDO), Orium, Church & Dwight (NYSE: CHD), Kantar, Danone (EPA: BN), PIM Brands, Ahold Delhaize (ENXTAM: AD) NielsenIQ, Whole Foods Market (owned by Amazon – NASDAQ: AMZN), Mars United Commerce, Kroger (NYSE: KR), Walgreens Boots Alliance (NASDAQ: WBA), Tesco (LSE: TSCO), Giant Eagle, Niagara Bottling, Southern Glazer’s Wine & Spirits and Target (NYSE: TGT).