Retail decision-makers are increasingly investing in a suite of technologies—from advanced data storage and encryption to AI-powered prescriptive analytics
New Delhi: A global shopper study by Zebra Technologies, a US-based IT services and consulting company has revealed that 77% of Indian consumers now prefer retailers offering tailored recommendations and innovative AI-driven experiences. With over half of Indian retailers in the Asia-Pacific (APAC) region planning to adopt AI for loss prevention, the study underscores a major shift in retail strategies aimed at enhancing customer engagement and operational efficiency.
The 17th Annual Global Shopper Study, which surveyed more than 4,200 adult shoppers, retail decision-makers, and associates worldwide, highlights the growing consumer demand for personalized shopping experiences. Indian consumers expect retailers to leverage advanced technologies to transform in-store and online experiences, improve loss prevention, and streamline inventory management.
AI and Personalization: The New Retail Imperative
Key findings of the study reveal that:
- 77% of Indian Shoppers Prefer Tailored Recommendations: Consumers are increasingly drawn to retailers who use AI and machine learning to deliver personalized product suggestions.
- Over 52% of Indian Retailers Eye AI for Loss Prevention: Amid rising concerns over theft and safety, more than half of retailers plan to deploy AI-driven solutions within the next 1-3 years to safeguard their operations.
Retail decision-makers are increasingly investing in a suite of technologies—from advanced data storage and encryption to AI-powered prescriptive analytics—to address safety concerns and meet consumer expectations. Notably, while only 38% of retailers currently use AI-based prescriptive analytics for loss prevention, plans for adoption are on the rise globally and within the APAC region.
Bridging the Gap Between Shopper Expectations and Store Realities
The study also sheds light on operational challenges faced by retailers:
- Inadequate Technology for Loss Prevention: Although AI is viewed as the most helpful technology for loss prevention, many retailers currently rely on cameras, sensors, and RFID, which only partially address safety concerns.
- Shortage of Retail Associates: A significant 21% of shoppers cited the lack of available associates as a key reason for leaving stores empty-handed. Meanwhile, 70% of consumers express frustration over the difficulty in locating help while shopping.
- Frustration with Out-of-Stock Items: Over half of shoppers have left stores without making a purchase due to stockouts, highlighting the urgent need for real-time inventory visibility.
These findings emphasize that while consumers are generally satisfied with their shopping experiences, there is a noticeable decline in overall satisfaction—from 85% satisfaction in 2023 to 81% for in-store and 79% for online shopping in the current year. The challenges of ensuring prompt and effective assistance, maintaining inventory accuracy, and securing a frictionless checkout experience remain pressing concerns for retailers.
Empowering Associates and Enhancing Operational Efficiency
The study also reveals that:
- Mobile Technology Empowers Associates: Nearly 90% of retail associates believe that mobile technology tools significantly enhance their ability to provide superior customer service. Consequently, 75% of global retailers plan to increase their technology investments in 2025.
- GenAI’s Role in Inventory Management: More than one-third of retailers (39% globally and 41% in APAC) believe that generative AI will revolutionize inventory management and demand forecasting. Automation of product locating and real-time inventory tracking through AI-powered solutions are expected to be major profitability drivers.
“Many retailers are laying the groundwork to build a modern store experience,” said Subramaniam Thiruppathi, Director of India Sub-Continent Business. “By investing in mobile and intelligent technologies that provide greater visibility and enable seamless communication, retailers can elevate the customer experience and ensure long-term success in a competitive market.”
A Call for Technological Transformation
The findings of this study serve as a call to action for retailers across India and the broader APAC region. To recover from the year-over-year decline in shopper satisfaction and to bridge the gap between consumer expectations and in-store realities, retailers are urged to:
- Leverage AI for Personalization and Loss Prevention: Implement cutting-edge AI solutions to tailor customer recommendations and monitor safety risks effectively.
- Invest in Mobile and Cloud Technologies: Equip retail associates with mobile tools to enhance real-time communication, task prioritization, and customer engagement.
- Enhance Inventory Management Systems: Utilize advanced analytics and AI-powered forecasting to maintain optimal inventory levels and prevent stockouts.
- Strengthen Third-Party Compliance: Ensure that external vendors and SaaS partners adhere to strict security and operational standards to support seamless retail operations.
With these strategic investments, retailers can not only improve customer satisfaction but also drive profitability and operational excellence in an increasingly competitive market.
Commissioned by Zebra Technologies Corporation and administered by Azure Knowledge Corporation, the 17th Annual Global Shopper Study provides comprehensive insights into shopper behaviour, technology usage, and the evolving retail landscape. The study covers key themes such as Beyond Expectations, Driving Profitability, and The Power of Engaged Associates, offering valuable guidance for retailers looking to navigate today’s dynamic market.
