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The biggest retail trends in 2025

Dec 26, 2024 - businessinsider.com
The article discusses five key trends that will shape the retail industry in 2025, as forecasted by market research company EMARKETER. These trends include the integration of generative and predictive AI to enhance business growth, improve decision-making, and optimize operations. The report also highlights the challenges and opportunities for Chinese retailers like Shein, Temu, and TikTok Shop in the US market, amid potential bans and privacy concerns. Despite these hurdles, these brands are expected to continue growing, with Shein's supply chain model gaining popularity and Temu potentially expanding into low-cost groceries.

Additionally, the article notes that retailers will increasingly create media and entertainment content, including in-house production studios, to engage consumers and enhance loyalty programs. Streaming and exclusive content will be used to gather consumer insights and sell advertising space. Retailers will also focus on premium loyalty programs and partnerships, such as Walmart+ with Paramount+ and Amazon Prime with Grubhub+, to offer comprehensive subscription benefits. These strategies aim to differentiate retailers and provide added value to consumers in a competitive market.

Key takeaways:

  • Retailers in 2025 will leverage both generative and predictive AI to enhance decision-making, optimize operations, and improve profitability.
  • Chinese retailers like Shein, Temu, and TikTok Shop have gained popularity in the US, but face potential challenges due to policy and privacy concerns.
  • Retailers are increasingly investing in media and entertainment content, including creating in-house production studios, to engage consumers and enhance loyalty programs.
  • Partnerships and premium loyalty programs will become more prevalent, with retailers collaborating with other companies to offer comprehensive subscription benefits.
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