AI, ML Data Analytics Lead Retailers’ Investment Priorities
Despite some disappointments in 2024 investments, retail leaders are recalibrating their budgets to address inefficiencies.
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Unified commerce solutions provider, Cart.com, has released survey findings among 351 US retail operations leaders detailing investment priorities for 2025. 74% of respondents indicated that they are waiting to see what new policies are enacted by the Trump administration before fully dedicating their budgets.
Top findings from the study include increased investments in: Customer experience; AI and machine learning; Inventory management systems; Real-time data analytics; Cybersecurity measures.
Despite some disappointments in 2024 investments, retail leaders are recalibrating their budgets to address inefficiencies, shifting funds away from costly last-mile delivery solutions and underperforming inventory management software and redirecting investment to promising areas such as digitalisation, warehouse automation, and last mile delivery.
“The retail industry is transforming even further in 2025, driven by technological advancements and shifting consumer demands,” said Ilias Simpson, President at Cart.com. “In addition, the results of the recent election and the new administration’s tariff announcements demand that brands reassess their supply chain among potential regulatory and policy changes, including the looming rule change that will close the 321 de minimis loophole.”
Additional survey findings include: automation remains a central focus across retail sectors with a focus on data and visibility alongside strategies for optimising inventory management, increasing warehouse automation, implementing AI for demand forecasting, expanding same-day delivery options, and strengthening supplier partnerships.