TLDR: A new report by Amperity, ‘2025 State of AI in Retail,’ highlights that while 45% of retailers are already using AI daily or several times a week and 97% plan to increase their AI investment, only 11% feel fully prepared for large-scale AI deployment. The primary hurdle identified is fragmented or incomplete customer data, cited by 58% of respondents. Despite high expectations for AI to improve customer loyalty and lifetime value, only 43% are currently using AI in customer-facing applications.
SEATTLE—Amperity, a leading AI-powered customer data cloud provider, has released its ‘2025 State of AI in Retail’ report, shedding light on the rapid adoption of artificial intelligence within the retail sector and the significant challenges hindering its full potential. The comprehensive survey, which polled 1,000 retail professionals across marketing, IT, data, and executive leadership, reveals a strong commitment to AI, yet a notable gap in readiness for widespread implementation.
The report indicates that a substantial 45% of retailers are already integrating AI into their daily operations or several times a week. Furthermore, an overwhelming 97% of retailers intend to either maintain or increase their investments in AI over the coming year, underscoring the industry’s belief in AI’s transformative power. However, this enthusiasm is tempered by a stark reality: only 11% of respondents feel fully equipped to deploy AI tools at scale.
The most significant impediment to AI progress, as identified by 58% of retailers, is the issue of fragmented or incomplete customer data. This data disconnect prevents businesses from leveraging AI effectively to gain comprehensive insights and drive personalized experiences. Tapan Patel, research director at IDC, emphasized this point, stating, ‘Retailers are leveraging AI to deliver more adaptive, personalized customer experiences powered by high-quality, unified customer data.’
Despite the perceived benefits, there’s a missed opportunity in customer-facing AI applications. While 63% of retailers believe AI will enhance customer loyalty and 65% anticipate an increase in customer lifetime value, only 43% are currently utilizing AI for direct customer interactions such as personalization, chatbots, or tailored marketing. A mere 23% are using AI in production to resolve customer identities or prepare data for marketing, highlighting a significant untapped potential in customer engagement strategies.
The report also notes a clear advantage for retailers equipped with Customer Data Platforms (CDPs). Among CDP-equipped retailers, 60% use AI daily or several times per week, compared to just 29% without a CDP. Additionally, 35% of CDP users employ AI in production for data preparation in marketing or analytics, versus 9% of those without a CDP. Full AI adoption across multiple business units is reported by 22% of CDP users, compared to 10% without.
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Amperity’s Customer Data Cloud aims to address these challenges by unifying fragmented customer data, precisely resolving identities, and making insights accessible across the business. This foundation is designed to enable retailers to move faster and compete smarter, turning data into a growth engine for personalized experiences, smarter decisions, and measurable ROI.
