Almost half of consumers now use artificial intelligence (AI) to guide their buying decisions, according to a new global study by the IBM Institute for Business Value in collaboration with the National Retail Federation.
In an article authored by Dee Waddell, global head of Consumer, Travel & Transportation Industries, IBM Consulting, generative AI is described as reshaping the early stages of shopping, even before a consumer clicks “buy.” From personalized suggestions to curated product ideas, AI is influencing decisions long before a store visit or app use, changing how brands compete for attention.
The study found that 72% of surveyed consumers still shop in physical stores. However, 45% turn to AI tools during their buying journey. Many use AI to research products (41%), understand reviews (33%), and find deals (31%). While shoppers still want to see and touch products, more are arriving in stores with clear preferences shaped by digital research.
“AI is changing how consumers shop, and every aspect throughout the shopping journey,” said Caroline Reppert, senior director, AI and Technology Policy at the National Retail Federation, “As these technologies increasingly guide consumer discovery, comparison, and choice, retailers that understand and respond to this shift will be best positioned to earn trust, relevance, and long-term customer loyalty.”
Retailers are adjusting how they engage customers.
“AI is turning shopping into a trusted conversation, much more than a search,” said Matthieu Houle, CIO at ALDO Group. “Consumers now rely on assistants that feel almost human, know their preferences, and offer neutral, best-for-me advice that reshapes how they validate and decide what to buy.”
The report also found that 35% of consumers want visually appealing stores with no wait times. At the same time, one in three are interested in super apps that combine shopping with other services. Around 30% want smart homes with AI personal shoppers and autonomous delivery, while 29% prefer seamless purchases through social platforms.
Retail executives acknowledge challenges. More than half (54%) report ongoing issues across channels and systems.
“AI is not a magic wand. If you don’t have the right data, it doesn’t work. And you must test your solution to know whether it works and where it will bring value,” Stanislas Vignon, head of Insights (AI and Omnichannel) at Louis Vuitton Moët Hennessy, said.
The study suggests brands should redesign customer journeys around AI-driven research moments, improve data readiness, invest in AI skills, and preserve distinct brand identity while using AI to reduce friction.
As AI reshapes retail decision-making, companies that understand AI-influenced behavior may gain an edge over those that only focus on completing transactions.