
Artificial intelligence is rapidly becoming the cornerstone of innovation in the retail and consumer packaged goods (CPG) industries.
Forward-thinking companies are using AI to reimagine their entire business models, from in-store experiences to omnichannel digital platforms, including ecommerce, mobile and social channels. This technological wave is simultaneously transforming advertising and marketing, customer engagement and supply chain operations. By harnessing AI, retailers and CPG brands are not just adapting to change - they're actively shaping the future of commerce.
NVIDIA's second annual State of AI in Retail and CPG survey provides insights into the adoption, investment and impact of AI, including generative AI; the top use cases and challenges; and a special section this year examining the use of AI in the supply chain. It's an in-depth look at the current ecosystem of AI in retail and CPG, and how it's transforming the industries.
Drawn from hundreds of responses from industry professionals, key highlights of the survey show:
89% of respondents said they are either actively using AI in their operations or assessing AI projects, including trials and pilots (up from 82% in 2023)
87% said AI had a positive impact on increasing annual revenue
94% said AI has helped reduce annual operational costs
97% said spending on AI would increase in the next fiscal year
Generative AI in Retail Takes Center Stage Generative AI has found a strong foothold in retail and CPG, with over 80% of companies either using or piloting projects. Companies are harnessing the technology, especially for content generation in marketing and advertising, as well as customer analysis and analytics.
Consistent with last year's survey, over 50% of retailers believe that generative AI is a strategic technology that will be a differentiator in the market.
The top use cases for generative AI in retail include:
Content generation for marketing (60%)
Predictive analytics (44%)
Personalized marketing and advertising (42%)
Customer analysis and segmentation (41%)
Digital shopping assistants or copilots (40%)
While some concerns about generative AI exist, specifically around data privacy, security and implementation costs, these concerns haven't dampened retailers' enthusiasm, with 93% of respondents saying they still plan to increase generative AI investment next year.
AI Across the Retail Landscape AI use cases have proliferated across nearly every line of business in retail, with over 50% of retailers using AI in more than six different use cases throughout their operations.
In physical stores, the top three use cases are inventory management, analytics and insights, and adaptive advertising. For digital retail, they're marketing and advertising content creation, and hyperpersonalized recommendations. And in the back office, the top use cases are customer analysis and predictive analytics.
AI has made a significant impact in retail and CPG, with improved insights and decision-making (43%) and enhanced employee productivity (42%) being listed as top benefits among survey respondents.
The most common AI challenge retailers faced in 2024 was a lack of easy to understand and explainable AI tools, underscoring a greater need for software and solutions - specifically around generative AI and AI agents - to enter the market to make it easier for companies to use AI solutions and understand how they work.
AI in the Supply Chain Managing the supply chain has always been a challenge for retail and CPG companies, but it's become increasingly difficult over the last several years due to tumultuous global events and shifting consumer preferences. Companies are feeling the pressure, with 59% of respondents saying that their supply chain challenges have grown in the last year.
Increasingly, companies are turning to AI to help address these challenges, and the impact of these AI solutions is starting to show up in results.
58% said AI is helping to improve operational efficiency and throughput.
45% are using AI to reduce supply chain costs.
42% are employing AI to meet shifting customer expectations.
Investment in AI for supply chain management is set to grow, with 82% of companies planning to increase spending in the next fiscal year.
As the retail and CPG industries continue to embrace the power of AI, the findings from the latest survey underscore a pivotal shift in how businesses operate in a complex new landscape. Leading companies are harnessing advanced technologies - such as AI agents and physical AI - to enhance efficiency and drive revenue, as well as to position themselves as leaders in innovation, helping redefine the future of retail and CPG.
Download the State of AI in Retail and CPG: 2025 Trends report for in-depth results and insights.
Explore NVIDIA's AI solutions and enterprise-level platforms for retail.
Most recent headlines
05/01/2027
Worlds first 802.15.4ab-UWB chip verified by Calterah and Rohde & Schwarz to be ...
07/10/2026
Dalet, a leading technology and service provider for media-rich organizations, today announced the latest Long-Term Supported (LTS) release of Dalet Flex. Build...
06/09/2026
June 9 2026, 23:00 (PDT) Dolby and MagentaTV Bring Fans Closer to the FIFA Worl...
11/08/2026
Weekly immersive broadcasts will feature 8K 3D video, a 180-degree field of view...
11/08/2026
By Briana Brady, Social Media Manager, Production Hub
Sports content is having ...
11/08/2026
She addresses why media organizations need more than asset storage, how sports t...
11/08/2026
Remote commentary has improved significantly on these broadcasts
At a clip of ...
11/08/2026
A pair of LANTIME IMS M2000 PTP Grandmasters deliver resilient timing infrastruc...
11/08/2026
LTN has announced expanded capabilities for its Live Event Master Control offering, providing sports broadcasters, leagues, rights holders, and content owners w...
11/08/2026
WTA Ventures has appointed IMG as its managed production services partner in a multi-year agreement commencing with the 2027 season. The partnership is the late...
11/08/2026
The New York Jets and CBS New York have agreed to a multi-year extension of their partnership, keeping CBS New York as the official broadcast home of the team. ...
11/08/2026
Nielsen Holdings and DoubleVerify have announced a definitive agreement under which Nielsen will acquire DoubleVerify in an all-cash transaction with an enterpr...
11/08/2026
The Audio Engineering Society has announced the results of its 2026 Board of Dir...
11/08/2026
The CSN co-founder details its network and affiliate' model, how creator wi...
11/08/2026
Gravity Media is providing host broadcast operations for the Esports World Cup (EWC) 2026, supporting ESL FACEIT Group (EFG) in delivering the tournament to glo...
11/08/2026
TAG Video Systems has released a memory usage optimization for its MCM software that reduces the cost per channel by up to two-thirds for compressed workflows. ...
11/08/2026
SMT is expanding its technology partnership with the Cincinnati Open this year, adding new LED displays, production capabilities, and fan-facing experiences at ...
11/08/2026
The Pac-12 has announced that home Olympic sports broadcasts throughout the fall season will be available free on the conference's YouTube channel at youtub...
11/08/2026
Spreading a message of faith requires both widespread accessibility and uncompromising visual quality. Real Life Network (RLN), a free, faith-based digital stre...
11/08/2026
Taking the synergy of sports and entertainment a step further, the NFL venue in Nashville will house iterations of two iconic music clubs
The marriage of Taylo...
11/08/2026
Free library captures pro classical string section
There's no shortage of freebies in The Crow Hill Company's line-up, with their Vaults series offe...
11/08/2026
Percussion instrument introduces all-new engine
Emergence Audio have just introduced a instrument that brings together a vast collection of percussive analo...
11/08/2026
Introduces new all-in-one Spatial Panner tool
Boris FX have recently announced the latest major update for their mastering and broadcast-focused DAW softwar...
11/08/2026
Rohde & Schwarz installs millimeter wave security scanners at Airports of Thaila...
11/08/2026
Share
Copy link
Facebook
X
Linkedin
Bluesky
Email...
11/08/2026
Share
Copy link
Facebook
X
Linkedin
Bluesky
Email...
11/08/2026
Share
Copy link
Facebook
X
Linkedin
Bluesky
Email...
11/08/2026
Share
Copy link
Facebook
X
Linkedin
Bluesky
Email...
11/08/2026
farmerswife and Cirkus will return to IBC 2026 to showcase new tools designed to help broadcast, media and post-production teams manage workflows with greater s...
11/08/2026
LiveUs LU900Q intelligent production unit played a central role in the host broadcast operation for the Games in Glasgow (July 23 to August 2, 2026). The host b...
11/08/2026
Jigsaw24 has appointed James Morse as Client Director, Media Sales, as it deepens its focus on sports, live events and integrated production. His appointment co...
11/08/2026
Net Insight today announced that DMC Production Norway has selected its Open Live Media solution to centralize the production of Blinkfestivalen 2026. Combining...
11/08/2026
Modular HEVC and JPEG XS workflows enabled resilient, ultra-low-latency delivery for leading linear and digital media platforms across all 104 matches
Appear A...
11/08/2026
Homecoming Artist Spotlight: Fabiola M ndez The first cuatrista to graduate from Berklee talks about the community that shaped her career ahead of her Homecom...
11/08/2026
Share
Copy link
Facebook
X
Linkedin
Bluesky
Email...
11/08/2026
Share
Copy link
Facebook
X
Linkedin
Bluesky
Email...
11/08/2026
Dalet, a leading technology and service provider for media-rich organizations, today announced Dalet Solution Suites, a new portfolio of cloud-native solutions ...
11/08/2026
Mediagenix, a global leader in smart content solutions to profitably connect the right content to the right audience, will showcase how media companies can prep...
11/08/2026
Transforming your audience into advocates with Kelsey Gamble 10 August 2026
Building community, harnessing fandom for marketing and activating the four stages ...
11/08/2026
Whether gamers are looking for high-octane action or a laid-back afternoon, Appl...
11/08/2026
Hosts D ith S and Kathryn Thomas rose to the occasion on Tuesday (August 11)...
11/08/2026
Every new generation of accelerated computing demands more from the infrastructure underneath it - more compute performance, higher rack density and more effici...
11/08/2026
A Day in May airs Wednesday 12 August at 9.35pm RT One and RT Player
A Day in May revisits the people and stories behind Ireland's historic marriage equa...
11/08/2026
As AI shifts from chatbots to autonomous agents, open models are serving market ...
11/08/2026
The open source ecosystem is making it easier for AI enthusiasts and developers to build, customize and run increasingly capable agents locally.
Throughout Au...
10/08/2026
Weekly immersive broadcasts will feature 8K 3D video, a 180-degree field of view...
10/08/2026
Saturation plug-in free until 20 August 2026
fedDSP have announced the launch of Raiju, a new guitar pedal-style saturation plug-in that's capable of de...
10/08/2026
New mix-comparison & feedback tool
Independent Swedish record label I/O Music have recently released a handy new tool that provides artists, engineers, prod...
10/08/2026
Additive soft synth gains free counterpart
Sound Radix have just released a free monophonic additive software synth that's based on the same engine as t...
10/08/2026
Chroma integrates MXO oscilloscopes into ATS 8000 platform, rounding out its hig...