Retailers Ramping Up AI Use

Artificial intelligence is making major inroads into virtually all aspects of the retail business, with more than 8 out of 10 industry participants planning to increase use of automation and AI across their operations a new survey by Honeywell has found.

“We are truly in the midst of a new era for the retail sector where evolving AI capabilities will make a positive impact on the shopper’s journey, the employee experience and the retailer’s supply chain operation,” said David Barker, President of Honeywell’s Productivity Solutions and Services unit. “On their journey toward autonomous operations, retailers are looking for AI and automation solutions that provide actionable data and help to upskill their employees.”

Honeywell’s survey reinforced that retailers are using AI to enhance employees’ skills and improve their on-the-job experience, which could ultimately help fill the more than 580,000 projected U.S. retail job openings this year.

Key findings from the survey included:

• More than half of the surveyed retail leaders said that AI improves employee retention, and 52% believe AI can help employees progress more quickly in their careers, expand their soft skills and continuously provide value to their jobs.
• More than half (6 in 10) of retail executives said that AI tools make the job easier for employees, while 55% said they increase job satisfaction. This aligns with the retail industry’s increasing focus on how employee satisfaction can support the customer experience for their businesses.
• AI is also playing an increasingly important role in improving the customer experience for shoppers, both when shopping online and in person. It can provide shoppers better access to information, speedier transactions as well as an easier way to compare prices.

Honeywell commissioned Wakefield Research to conduct surveys of retail executives and consumers (collectively referred to as the “Honeywell AI in Retail Survey”). These were omnibus surveys polling individuals from Dec. 2 to Dec. 8, 2024 using an email invitation and online survey format. The Retail Executives Survey polled 100 U.S. executives with a minimum seniority of Vice President at retail companies with a minimum annual revenue of $100 million. The Retail Consumers Survey polled 1000 nationally representative U.S. adults ages 18-plus.

Click here for more from the survey.