This report explains that retail companies that adopt an AI first mindset are pulling ahead because AI systems, especially autonomous agents, now handle complex reasoning, automate full workflows, and reshape both customer experiences and internal operations . It argues that this is the right moment to invest because AI models have recently become faster, cheaper, and easier to deploy, consumers already shop through AI assistants, competitors are accelerating spending, and top AI talent is scarce. The paper shows that leading retailers use AI to lift conversion, personalize experiences, improve pricing and supply chain decisions, and streamline support functions, often achieving major gains in speed, quality, and cost. It also highlights that shoppers increasingly begin and complete their buying journey inside agents, which pressures retailers to become discoverable on third party systems while also building their own first party agents for direct engagement. Finally, it emphasizes that becoming an AI first organization requires new operating models, flatter structures, focused leadership priorities, investment in people, and smarter tech spending so companies can fund AI enablers while modernizing old systems.
