A study of 200 retail decision-makers out today has found that while AI has become a strategic priority across the retail sector, many organisations are still grappling with how to turn ambition into measurable business outcomes.
The research from HyperFinity, the retail actionable intelligence partner, revealed that 91% of retailers feel either moderate or significant pressure to adopt AI in order to remain competitive. More than half (53%) describe AI as one of the most important initiatives within their business, while a further 39% say competitor activity is influencing their roadmap.
Retailers are feeling mounting pressure to embrace AI as the technology rapidly moves from experimentation to mainstream adoption. The findings suggest AI is no longer viewed as an innovation project, but a board-level priority shaping future growth and competitiveness.
‘AI competence gap’ emerges
Despite widespread enthusiasm, many retailers are still struggling to translate AI investment into a coherent strategy. Only 46% of respondents say they have a well-defined AI strategy supported by clear value cases. Meanwhile, 42% have identified potential use cases but remain uncertain about the commercial value they will deliver.
The findings point to a growing competence gap between retailers that are operationalising AI and those that are still exploring how the technology can generate measurable returns.
AI skills shortages
The research also highlights concerns around resourcing readiness, with just 27% of retailers reporting their teams are fully prepared for agentic AI deployment. A quarter (25%) described their workforce as only somewhat ready. A further 5% admit they are not ready at all.
“This research tells us that, as AI adoption accelerates, retailers face increasing pressure to develop the skills, governance frameworks and operating models needed to support long-term success,” commented Thomas Hill, Co-Founder of HyperFinity.
The rise of AI-led decision making
Retail leaders increasingly expect AI to move beyond analysis and begin influencing day-to-day business decisions.
More than four in five retailers (83%) believe AI will either lead decisions or automate them across retail operations within the next year. Half (50%) expect AI to lead operational decisions while humans provide oversight and strategic direction, while 33% believe AI will automate most trading, customer and operational decisions with minimal human involvement. However, appetite for automation varies significantly by role. eCommerce Directors are the most cautious, with just 9% expecting AI to automate most decisions, compared to 42% of Chief Data Officers and 35% of Chief Customer Officers.
The findings suggest retailers are moving beyond using AI as a reporting tool and increasingly see it as a decision-making partner. "The conversation in retail has shifted dramatically over the past twelve months. Most retailers no longer need convincing that AI matters. The challenge now is building the capability to turn AI into measurable business outcomes," added Hill.
"What we're seeing is a growing divide between organisations experimenting with AI and those embedding it into their operating model. Success won't come from deploying the most AI. It will come from having the strategy, governance and decision-making frameworks needed to create value from it."
From retail automation to retail optimisation
While retailers see significant opportunities for automation, the greatest value may come from improving decision quality rather than simply reducing manual effort. Customer service (42%) and inventory and replenishment (37%) are viewed as the most likely functions to adopt agentic AI first, reflecting the technology's ability to automate routine operational tasks.
However, HyperFinity’s Thomas Hill believes the next phase of AI adoption will focus on optimisation rather than automation alone: “AI is exceptionally good at automating repeatable operational processes, whether that's customer service interactions, replenishment decisions or inventory management. But the bigger opportunity lies in helping retailers make better decisions.”
"Areas such as pricing, loyalty, promotions and customer engagement still require commercial judgement and context. The future isn't AI replacing people. It's AI providing recommendations, insights and reasoning that help people make better decisions faster."
The findings form part of HyperFinity's ongoing research into the future of agentic commerce and AI-powered actionable intelligence in retail.