Today, brick-and-mortar retailers face the challenge of staying relevant and competitive to consumers. Many forward-thinking brands are leveraging Artificial Intelligence (AI) to transform the traditional in-store shopping experience. From enhancing customer service to optimizing inventory management, AI is revolutionizing brick-and-mortar retail in exciting ways. Here are five retail brands at the forefront of this AI-driven revolution:
Walmart:
- As one of the world’s largest retailers, Walmart has been an early adopter of AI technologies to enhance its brick-and-mortar operations. One notable application of AI at Walmart is its use of autonomous robots for inventory management. These robots roam store aisles, scanning shelves to check stock levels, identify misplaced items, and even detect spills. By automating these tasks, Walmart improves inventory accuracy, reduces out-of-stock incidents, and frees up staff to focus on customer service.Walmart is also harnessing the power of Generative AI to help customers find their desired products quickly and make confident purchase decision online / on mobile. – Walmart has an open-source, fine-tuned model, along with OpenAI, that allows Walmart customers to receive responses to their prompts that are specific to Walmart. With this process, they’re able to understand customers’ needs at an even deeper level and generate personalized responses and product suggestions.
Lowe’s:
- Home improvement retailer Lowe’s has embraced AI to enhance the shopping experience for customers tackling DIY projects. One standout example is Lowe’s AI-powered “LoweBot,” a robot assistant deployed in select stores. The LoweBot assists customers by providing real-time product information, locating items within the store, and even guiding them to the correct aisle. By leveraging AI and machine learning, Lowe’s is providing personalized assistance to shoppers, making the in-store experience more efficient and enjoyable.
Sephora:
- Sephora is leveraging AI to provide personalized recommendations and virtual try-on experiences in its brick-and-mortar stores. Through its “Sephora Virtual Artist” tool, customers can use augmented reality (AR) technology to try on makeup virtually and experiment with different looks. Additionally, Sephora’s AI-powered Color IQ system analyzes customers’ skin tones to recommend suitable makeup products. By integrating AI into its in-store experience, Sephora enhances customer engagement and helps shoppers make informed purchasing decisions.
Nordstrom:
- Department store chain Nordstrom is using AI to enhance its customer service offerings and improve operational efficiency in its brick-and-mortar locations. Nordstrom’s “Style Boards” feature utilizes AI algorithms to connect customers with personal stylists who curate personalized outfit recommendations based on their preferences and style. Furthermore, Nordstrom utilizes AI-powered analytics to optimize inventory management, predicting demand and ensuring that stores are stocked with the right products at the right time.
JD.com:
Chinese e-commerce giant JD.com is blurring the lines between online and offline retail through its innovative use of AI in brick-and-mortar stores. JD.com’s “Unmanned Store” concept leverages AI-powered technologies such as computer vision and facial recognition to enable cashier-less shopping experiences. Customers simply scan their faces or QR codes to enter the store, select items, and walk out without needing to check out at a traditional cashier. JD.com’s AI-driven approach streamlines the shopping process, reduces wait times, and enhances convenience for customers.
AI is transforming brick-and-mortar retail by enabling brands to deliver personalized experiences, optimize operations, and stay competitive in an increasingly digital world. The examples provided demonstrate how leading retailers are harnessing the power of AI to enhance customer service, improve efficiency, and drive growth in their physical stores. As AI continues to advance, we can expect further innovations that will shape the future of brick-and-mortar retail in profound ways. At Reality we’re on the forefront of helping retailers navigate this brave new world. Talk to us today about how we can help you build transformative retail experiences that will help keep you competitive today and into the future.