Artificial Intelligence has become a cornerstone in numerous industries and retail is catching up. As each retail sector caters to specific consumer needs with various products and services, they must contend with innovation to adjust performance accordingly. A growing number of major brand operations are adapting AI tool providers into customer-facing applications.
Smart Stores
Physical retailing, driving 80% of all US sales, is set to transform both the shopper experience and operations. Stores are re-investing heavily in technology: from point-of-sale systems and inventory management to IoT-enabled refrigeration units and smart shelves to computer vision systems and frictionless checkout.
Amazon is leading the charge with their vision—the Agentic Store—which transforms this fragmented environment into a seamlessly orchestrated ecosystem via Amazon Web Services. They intend to create a unified platform where AI agents continuously monitor, predict, and coordinate responses across all store systems. Amazon Bedrock Agents will enable generative AI applications to automate multi-step tasks by seamlessly connecting with company systems, APIs, and data sources.
AI-powered “Smart Stores” in California already aim to provide travelers and transit riders with a frictionless, staff-less shopping experience. They operate without on-site staff, utilizing AI, robotics and mobile-first design for transactions and inventory management, offering a range of products from snacks to travel essentials. The stores aim to provide convenient, contactless retail access to high-traffic areas.
VenHub Global, Inc., a company specializing in autonomous, AI-powered retail, has already launched a 24/7, fully autonomous retail store at the LAX/Metro Transit Center. They have also opened an additional 24/7 Smart Store in Hollywood and Glendale is up next.
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Computing
Apple has started limited testing of its AI-powered Support Assistant for troubleshooting and customer guidance. The new Support Assistant feature rolled out an early preview earlier this month, but is currently accessible only to a small number of iPhone users in the United States.
The new “Chat” button in the Apple Support app can initiate a conversation with the assistant, which is designed to handle routine troubleshooting for Apple products and services. It can explain features, walk users through fixes, and answer specific support-related questions. If the assistant cannot resolve the issue, users have the option to escalate the conversation to a human representative.
While Apple has confirmed generative models are in use, current evidence suggests a hybrid model. This Support Assistant is even designed to avoid misleading or speculative answers. To align with Apple’s emphasis on privacy and control, all conversations with the assistant are anonymized, not linked to personal data, and used specifically for service improvement.
Fashion
Saks Fifth Avenue is integrating AI technologies to personalize marketing and improve customer experience, aiming to transform luxury retail amid a challenging economic landscape. This marks a pivotal shift in how luxury brands interact with their customers, combining advanced technology with the high standards of service that luxury consumers expect.
Saks developed an AI-powered virtual voice assistant named “Sophie” in collaboration with NLX and Amazon Web Services. Customers can engage with it in a personal, natural, and conversational manner, addressing queries and changing account information. The assistant operates as a dual virtual voice and text exchange assistant, helping customers manage regarding orders, returns, and store policies. It enhances customer service while reducing agent call volume up to 20%.
Pets
Jennie, a lifelike robotic puppy from Tombot, is designed to bring comfort to people living with dementia, PTSD, autism, and other health challenges. Developed in collaboration with Jim Henson’s Creature Shop, Jennie looks and feels like a real dog. She responds to touch and voice, wags her tail, and moves with remarkable realism thanks to advanced sensory technology. Part of a broader robotics movement transforming daily life, Jennie offers comfort, connection, and companionship.
Casio’s fluffy Moflin combines artificial intelligence with life-like emotional responses. This soft, furry companion reacts uniquely to touch, voice and proximity, gradually developing its own personality. It can evolve into one of around four million different personality types and behavior patterns, with interactions that feel natural prompting a genuine emotional connection. Marketed as mental health support companions rather than a toy, the fluffy AI companion has proven especially popular among single and working women who see it as a source of emotional comfort.
The Retail Evolution
Things are evolving to be more powerful and efficient than ever before, and retail is at a crossroads. Success means embracing the intelligence and automation of modern times. Retailers must focus on creating truly integrated, intelligent environments where systems work together seamlessly. It must happen gradually, so both technology and people can thrive in the evolving landscape. Customers increasingly expect the convenience, personalization, and efficiency that Artificial Intelligence can help deliver.
