Schambach advises against retailers transforming into AI companies, suggesting instead that they leverage the expertise of their technology partners. He believes that the successful adoption of AI in retail will be characterized by a willingness to innovate, realistic timelines, applicable use cases, and a focus on enhancing the customer experience. He concludes that a pragmatic approach focusing on tangible AI innovations that customers value will enable retailers to use AI to enhance customer experiences, streamline operations, and drive profitability.
Key takeaways:
- Retailers should approach AI with a balance of openness to innovation and clear-eyed skepticism, running focused pilots and experiments without betting the house.
- AI applications in retail will initially stem from hyper-specific, incremental projects that address existing problems, such as customer service bots, dynamic pricing algorithms, and automated inventory tracking.
- Retailers should resist the urge to transform into AI companies and instead, leverage the strengths of their technology partners.
- To be successful in the short term, retail technology leaders should encourage experimentation, take a pragmatic approach, prioritize integration over isolation, and foster collaboration and knowledge sharing within their organizations.