Retailers are Decking Their Halls with AI for the Holidays

Published on: Sep 25, 2025
4 min read

By Jonathan Baker

As we approach the heart of the holiday season, retailers are preparing for more than just an influx of shoppers and a restocking of bestsellers—they’re preparing for the rise of artificial intelligence (AI) in the consumer journey. And for those who’ve grown their business the traditional way—on relationships, experience, and instinct—this new digital landscape can feel both exhilarating and overwhelming.

But here’s the truth: AI isn’t replacing retail. It’s reshaping it. And retailers who embrace it—without losing their human touch—will be the ones who stand out.

Customers Are Now Shopping with AI By Their Side

Today’s consumers aren’t just browsing—they’re researching, comparing, reviewing, and curating their shopping experience, often before they even visit a store or website. According to e-Marketer, a Salesforce forecast predicts that more than half (54 percent) of U.S. holiday shoppers will use AI to help them make smarter, faster decisions—whether that’s comparing prices, uncovering the perfect gift, or receiving personalized recommendations.

Image Credit: e-Marketer

And it’s not just about planning. Increasingly, AI is part of the entire purchase journey.

AI Is Becoming the End-to-End Holiday Helper

This year, 52 percent of shoppers plan to complete all their holiday shopping with the help of generative AI—joining the 38 percent who already do. Even more striking, AI agents are expected to drive 21 percent of all holiday orders, equating to a staggering $263 billion in sales.

For retailers, this is more than a trend—it’s a transformation. The path to purchase is now guided by intelligent assistants that learn from users’ behaviors, tailor suggestions, and automate choices. The question isn’t if retailers should adapt, but how they can do so in a way that feels authentic and keeps them competitive.

Custom AI Experiences Help Brands Stay Personal—and Competitive

In response, forward-thinking brands are investing in bespoke AI tools that elevate their brand and meet rising customer expectations. Take Ralph Lauren’s “Ask Ralph,” a conversational AI that brings their signature style to life in a tailored shopping experience. Or Amazon’s “Lens Live,” which uses AI and image recognition to match visual inspiration with real-time products in its app.

These are not just tech gimmicks. They’re smart strategies that integrate personalization, convenience, and brand storytelling—hallmarks of retail success in any era.

The Human Factor Still Matters—Now More Than Ever

As impressive as these AI tools are, they don’t replace the value of human interaction—they enhance it. While algorithms can recommend a product, only people can build trust, understand emotions, and create brand loyalty.

Retailers must walk a fine line: adopting AI to remain discoverable and competitive, while continuing to deliver the warmth and familiarity customers crave. This means more than just launching a chatbot or optimizing product pages (though those are important). It’s about preserving your brand’s voice, values, and vision—even in an AI-driven environment.

And that’s where thoughtful strategy comes in.

Final Takeaway: Blend Innovation with Intuition

This holiday season is more than a sales opportunity—it’s a glimpse into the future of retail. Whether your store lives online, in a community, or across both, your visibility depends on meeting customers where they are—and increasingly, that’s with AI tools in hand.

At EGC Group, we understand the balance between innovation and tradition. We help retailers navigate these changes without losing the heart of what makes their brand special. So, this year, give yourself the gift of staying ahead—without losing touch.

Get in touch with EGC to find out how to keep your brand visible, valuable, and very human—this holiday season and beyond.

For more on this topic, check out our blog: “Countdown to the Holiday Shopping Season.”