Synopsis
By 2027, over 50% of Asia-Pacific retailers are expected to implement GenAI for content generation, enhancing product content and reducing management costs by 30%. This shift aims to improve efficiency, personalization, and business growth within the rapidly evolving retail landscape.Key Takeaways
- 50% of Asia-Pacific retailers will use GenAI by 2027.
- Content management costs will decrease by 30%.
- AI is crucial for efficiency and personalization.
- 90% of retail tools will integrate AI algorithms by 2026.
- 40% of retailers may reduce workforce costs by 2%.
New Delhi, Feb 23 (NationPress) By 2027, a minimum of 50 percent of retailers in the Asia-Pacific region are anticipated to utilize GenAI-driven content creation and distribution for creating dynamic product content, enhancing conversion rates, and reducing content management expenses by 30 percent.
An IDC report indicates that generative AI is set to enhance efficiency, personalization, and drive business growth.
As AI-powered content creation emerges as a critical advantage, retailers in the Asia-Pacific are expected to establish new standards in digital engagement and operational effectiveness.
The retail landscape in the Asia-Pacific is undergoing substantial transformation, propelled by economic recovery, evolving consumer behaviors, and swift digitalization.
Data from IDC's '2024 Global Retail Survey' indicates a rise in retailer optimism, leading to increased technology investments aimed at improving employee experience, optimizing operations, and enhancing data utilization.
These initiatives are focused on bolstering agility and resilience, empowering organizations to adeptly handle market fluctuations and disruptions.
“AI and GenAI are revolutionizing the retail sector, transforming customer engagement, operations, and supply chains. IDC emphasizes other AI-driven forecasts that are set to redefine the retail environment, providing unparalleled opportunities for personalization, efficiency, and growth,” the report stated.
By 2026, it is predicted that 90 percent of retail tools will incorporate AI algorithms, with over 30 percent of these employing standalone AI or modular, agnostic AI models that can be replaced with suitable retail-specific models.
During the same period, it is expected that 40 percent of retailers will achieve a 2 percent reduction in workforce costs through the integration of GenAI into core business processes and tasks across corporate operations and in-store activities.
As the retail sector in the Asia-Pacific continues to advance, the incorporation of AI is poised to significantly alter the industry. GenAI is creating new prospects by automating content generation, decreasing operational costs, and providing more pertinent product information across both digital and physical platforms.
The report also disclosed that retail tools throughout the region will increasingly integrate AI algorithms, with one-third of these adopting standalone or modular, agnostic AI models.
“As we navigate the digital transformation of retail in the Asia-Pacific, it is evident that AI will lead this evolution,” remarked Vijay Sarathi Gollapalli, research manager for the Retail Technology Strategies Research Programme at IDC Asia/Pacific.
