How the AI Revolution is Changing the Game for Retail Brands

It’s no surprise that consumers are becoming more reliant on generative artificial intelligence tools. The emerging technology is rapidly becoming a go-to solution for everyday tasks, from managing schedules and paying bills to serving as an expert shopping companion that can find products and scope out deals. A recent survey of nearly 900 consumers conducted by Emplifi discovered that 73 percent are using tools like ChatGPT for brand discovery or product suggestions. The introduction of AI agents is shifting consumer behaviors and having a massive impact on brand loyalty.

Soon, AI agents will become indispensable for shoppers, managing how they buy groceries, search for flights, find their next favorite fashion item or beauty product, and more. Consumers are already more than comfortable with the convenience provided by AI. According to Emplifi’s survey, 71 percent of respondents reported being satisfied or “very” satisfied with customer support experiences involving AI-driven answers. Nearly 80 percent said they're positive about AI in shopping.

For retail brands, this shift presents a unique challenge: How do retailers build brand loyalty when so many of their customers are turning to AI for product discovery, especially when many retail brand security and IT teams have placed tight controls on AI usage? Rather than emotional brand connections, AI agents analyze product details with lightning speed, scouring the web to find exactly what a consumer wants. Price, value and logistics assessed by AI will soon drive consumer decisions, and the brands that aren’t paying attention risk losing their most loyal customers.

The Power of Reviews and Forums in the Age of AI

To adapt in this new era of AI-powered shopping, retailers must recognize the increasing importance of product reviews and user-generated content (UGC) when it comes to building brand loyalty. AI agents rely heavily on review aggregators, social proof (including comments), and forum discussions to assess products and make decisions for their human counterparts. While traditional advertising might appeal to human emotions, AI agents are built to parse through vast quantities of data and identify what really matters: reputation, performance, value and consumer satisfaction.

For retail brands, eliciting customer reviews and UGC will be imperative to gain a competitive edge. This means encouraging honest feedback, incentivizing firsthand feedback, and ensuring that customers feel heard. Offering incentives like loyalty points, discounts on future purchases, or exclusive offers for detailed reviews and posts can motivate consumers to contribute. Companies can also create feedback loops where customers are regularly asked to add to or update reviews, keeping content fresh and relevant.

Moreover, forums like Reddit are increasingly important sources of information for AI agents. In fact, any online platform where frequent discussions about products, services and brands take place — with unfiltered and genuine customer feedback — are being analyzed by AI agents to generate responses. Retailers can engage in these spaces by responding to customer inquiries, addressing concerns, and offering solutions. Actively participating in these discussions not only helps with visibility but also strengthens the brand’s credibility in spaces that AI agents frequent.

The Road Ahead: Optimizing for AI Agents

As AI agents become an integral part of the consumer decision-making process, retailers will have to adjust their strategies and prioritize how their brand shows up on multiple platforms, including review sites and forums. Understanding where AI agents are "listening" and what content they're processing will be key to building brand loyalty.

To stay competitive, retail marketers must first understand how consumers are leveraging AI agents and refocus their marketing strategies to address this rapid shift in consumer behavior. In addition to leveraging solutions that can help predict consumer trends and scale their efforts accordingly, retail brands will need to monitor and, if necessary, encourage more online reviews. They'll need to lean further into UGC tactics and engage in the very same forums and online discussions where consumers are showing up. Reusing content from users becomes a powerful tool.

The reality is the retailers that stand out in this new age of AI-assisted shopping will be the ones that provide such an exceptional customer experience that consumers can’t stop talking about them. In this brave new world of AI-assisted shopping, the game has changed. Retailers must adapt or risk being left behind.

Susan Ganeshan is chief marketing officer of Emplifi, an AI-powered social media management and marketing platform.