
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 ...
21/10/2026
Three investigative journalists have been chosen as the finalists for the 2026 Thomson Foundation Young Journalist Award. The successful candidates from Nigeria...
21/10/2026
The lifelong Terps fan is making the most of his dream school, producing and directing broadcasts while gaining professional reps across the Washington, DC, spo...
21/10/2026
University of Washington Intercollegiate Athletics has brought its new Sundodger...
21/10/2026
The Pac 12 has appointed its first ever Chief Commercial & Growth Officer, compl...
21/10/2026
The Wildcats' $875 million home blends an intimate 35,000-seat design with 3...
21/10/2026
M-Tron Select & Axxess free until 1 December 2026
Soft synth gurus GForce Software have just announced that they are relaunching with updated branding, a fr...
21/10/2026
A simplified approach to multiband compression
DDMF's latest plug-in has been designed to simplify the process of applying multiband compression, and in...
21/10/2026
Full-size keys, more controls and XYZ touch matrix.
Arturia have announced the release of MiniFreak 49, a larger version of their six-voice hybrid synthesiz...
21/10/2026
SBS appoints Kathryn Fink as Chief Content Officer in new executive structure
21 October, 2026
Media releases
SBS has announced a new executive structure a...
21/10/2026
Share
Copy link
Facebook
X
Linkedin
Bluesky
Email...
21/10/2026
Share
Copy link
Facebook
X
Linkedin
Bluesky
Email...
21/10/2026
Share
Copy link
Facebook
X
Linkedin
Bluesky
Email...
21/10/2026
Share
Copy link
Facebook
X
Linkedin
Bluesky
Email...
21/10/2026
Clear-Com is debuting the Mentrix panel at NAB Show New York (Booth 739) today. Combining physical controls with a touchscreen interface, Mentrix is designed ...
21/10/2026
Amagi, the media industry cloud company, today announced a strategic partnership with Sistemas de Video Comunicaci n S.A. (SVC) to expand access to its cloud-ba...
21/10/2026
Lipsie Launches LipsieSync, a Human-First AI Dubbing Workflow for Multilingual V...
21/10/2026
Mayday Parade Music Video Shot with Blackmagic PYXIS 12K
Brie Clayton October 20, 2026
0 Comments
Multi scale sensor allows DP to capture 12K, 8K and ...
21/10/2026
USS Defiant Pulse Phasers in After Effects - No Plugins!
Graham Quince October 20, 2026
0 Comments
I love the USS Defiant from Star Trek: Deep Space N...
21/10/2026
Share
Copy link
Facebook
X
Linkedin
Bluesky
Email...
21/10/2026
Stacey Dooley Sleeps Over returns for a seventh series in 2027, with Stacey Dooley MBE getting exclusive access to the homes and lives of Kerry Katona, Lauryn G...
21/10/2026
Expansion builds on broadcasters successful FAST launch and grows portfolio to 12 channels
New channels dedicated to iconic brands including Top Gear, EastEnde...
21/10/2026
Comscore Launches New Monthly Report Highlighting Ad Exposure Figures Across Tel...
21/10/2026
Since 2012, Saorsat has provided coverage in areas where Saorview reception may be challenged. Services from RT , TG4 and Oireachtas TV are currently available ...
21/10/2026
NVIDIA builds tools to enable safe agents across the stack. The NVIDIA OpenShell...
21/10/2026
NVIDIA cuDSS, launched today in general availability, is an NVIDIA CUDA-X librar...
21/10/2026
To increase productivity, accelerate innovation and create new opportunities for...
21/10/2026
Demand from AI-natives is pulling the European AI cloud ecosystem forward faster...
21/10/2026
General availability of the instances is coming next month, with planned expansi...
21/10/2026
At GTC Berlin, NVIDIA is showcasing its full lineup of local AI hardware. RTX Spark, which launched last week, powers personal agents on Windows PCs; DGX Spark ...
20/10/2026
Sony's Beyond Sports technology will power real-time animation of the game, ...
20/10/2026
The NBA is putting on a full-court press when it comes to digital offerings this year, and that includes some great new features on the NBA App as well as a new...
20/10/2026
Testing what works is an important part of developing successful fan engagement....
20/10/2026
One fan in The Nordecke will wear the device via headset on Wednesday night
Spo...
20/10/2026
Regular-season game coverage will continue to be a mix of REMI and onsite produc...
20/10/2026
Grass Valley has added Bridge Technologies to the company's Media eXchange Layer (MXL) initiative, demonstrating how this has supported the containerization...
20/10/2026
Gravity Media has rapidly deployed complete IP-based broadcast infrastructure fo...
20/10/2026
Ateme has announced a strategic partnership with Viamedia, the ad tech company b...
20/10/2026
As concerts and other live performances reach audiences through global streaming...
20/10/2026
Media Links' Xscend platform and MDP3020 IP media gateways supported live broadcast contribution for the All-Asia Games, that recently took place in Japan.
...
20/10/2026
For Major League Soccer creative teams, 2027 is going to be unlike any year they...
20/10/2026
The National Hockey League (NHL) has given a first look at its planned transform...
20/10/2026
FloSports and the National Lacrosse League (NLL) have entered into a multiyear m...
20/10/2026
The Advanced Media Workflow Association (AMWA) has received a 2026 Technology & ...
20/10/2026
Pearl TV has made significant progress in its industry-wide initiative to make NEXTGEN TV converter boxes more affordable and accessible to consumers, marking a...
20/10/2026
The 37th edition of SPORTEL Awards took place on Monday, Oct. 19 at the Grimaldi Forum Monaco, under the High Patronage of H.S.H. Prince Albert II of Monaco. Ch...
20/10/2026
Amagi has announced a strategic partnership with Sistemas de Video Comunicaci n ...
20/10/2026
The home of cycling coverage is secure as Eurosport and TNT Sports today extend ...
20/10/2026
By Ramona Flume
One of the most exciting things about the Sundance Film Festiva...
20/10/2026
Veteran Entertainment and Brand Executive to Lead Global Communications Strategy...