Retail Radar: How 2025 Is Redefining the Role of Tech in Retail

This year has been a turning point in retail, not because of one big innovation, but because technology has become truly embedded in every part of the customer journey. It’s no longer about shiny new tools or pilots that live in innovation labs. In 2025, successful retailers are building tech into the core of how they operate, engage, and scale.

Let’s look at three major shifts happening right now and the real-world moves backing them up.

Retailers are no longer just using AI for demand forecasting or supply chain tweaks. It’s now visible to customers, shaping how they shop and interact in real time.

Take Tesco for example. Their 2025 rollout of AI enabled self checkouts isn’t just about security. It’s a glimpse into how automation can streamline customer experiences and reduce friction. With overhead cameras ensuring accuracy at checkout, the tech quietly enhances trust without being invasive.

This isn't an isolated move. Agentic AI, systems that make autonomous decisions, is gaining traction. Walmart’s application of agentic AI in its fulfillment centers is a behind the scenes change with very real outcomes: faster deliveries, more accurate orders, and ultimately, happier customers.

The in store experience is getting a major rethink. It’s not about replicating ecommerce. It’s about using tech to offer something different and meaningful.

A great example is Co-op’s deployment of electronic shelf labels. On the surface, it’s a simple efficiency play: instant price updates, fewer staff hours spent retagging shelves. But it also improves the customer experience, making information clearer, more dynamic, and environmentally conscious by cutting down on waste.

And it’s not just grocery. Across sectors, we’re seeing a shift toward stores acting more like experience hubs. Meta’s move to open physical retail locations this year is a prime case. They’re betting that giving people hands on time with devices like Ray Ban Meta smart glasses will drive adoption in ways online demos can’t.

We’ve been talking about personalisation for years, but 2025 is when it finally feels personal.

Today’s personalisation isn’t just about dropping your name into an email. It’s about context, behavior, and immediate relevance. Sephora’s AI driven virtual try ons continue to lead the way here, blending data with real time engagement. Their tech allows customers to visualize products on their own face virtually before making a purchase, bridging the gap between digital convenience and beauty counter confidence.

It’s also worth noting how AI is boosting engagement behind the scenes. Benefit Cosmetics for instance reported a 40 percent increase in revenue after introducing AI powered email flows that respond to specific customer actions. It’s not just smart marketing. It’s smart timing.

What stands out this year is not the novelty of the tech, but how seamlessly it’s being integrated. The most successful retailers aren’t chasing every trend. They’re choosing the right tools and making them work across teams, channels, and touchpoints.

Tech isn't the future of retail anymore. It's the fabric of how modern retail is built.

Until next week, stay adaptive, stay informed, and stay retail ready.