The “2025 Connected Retail Experience Study: Mobility is Driving Associate Productivity” by Incisiv, conducted in collaboration with Verizon Business and Cisco, shows that retailers are shifting their priorities to focus on digital solutions to help improve associate productivity and offset ongoing macroeconomic factors like labor shortages and pressure on supply-and- demand efficiencies.
The annual study, now in its fourth year, identifies four major trends reshaping the retail landscape:
- Critical labor challenges drive technology investment: Staffing remains the most pressing operational challenge, with 98 percent of grocery retailers and 88 percent of specialty retailers struggling with hiring and retention. This ongoing pressure has driven 81 percent of retailers to prioritize technology investments that improve associate productivity for 2025.
- Mobile technology becomes critical for success: Mobile solutions are emerging as the foundation of retail operations. By 2026, 42 percent of retailers plan to implement mobile apps with in-store features, up from 19 percent currently.
- Personalization at scale remains a big opportunity: Understanding that personalization is the key to success, retailers struggle with the ability to scale this “segment of one” approach. Only 13 percent of retailers are satisfied with their current personalization strategies, as most lack the capabilities for individualized personalization and are limited to basic segmentation tactics.
- Artificial intelligence (AI) is prioritized for high-value use cases: Retailers are taking a more focused approach to AI, prioritizing use cases with clear return-on-investment and strong organizational demand. Ninety percent of retailers believe AI adoption will be necessary to compete in the future, and 49 percent are actively testing or implementing AI solutions. Top priorities include workforce optimization to address labor shortages and enhance inventory management.
“Retail is at a turning point,” said Gaurav Pant, chief insights officer at Incisiv. “The focus on convenience, driven by labor challenges and changing consumer expectations, is fundamentally reshaping how retailers approach technology investment and customer experience.”
Sabrina Gonzalez, global retail marketing at Cisco, said, “As retailers venture further into their digital transformation journeys, the focus is increasingly on creating powerful, modular and intelligent solutions that enable new functionalities, smarter insights and faster decision-making.”
To learn more, download the full results of the “2025 Connected Retail Experience Study: Mobility is Driving Associate Productivity” report.
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