The effects of AI on the retail and consumer goods industries

  • Nov. 15, 2023
The effects of AI on the retail and consumer goods industries

Artificial Intelligence (AI) is playing a prominent role in transforming the consumer goods sector, being widely adopted across the product and sales lifecycle. Brands in the consumer goods industry are incorporating AI in diverse areas, spanning research and development, supply chain analysis, ESG data management, demand forecasting, and inventory control. Additionally, AI is instrumental in customer engagement, targeted marketing efforts, and sales and post-sale interactions.

Generative AI, a specific subset of AI, is amplifying the capabilities of consumer goods and retail (CG&R) businesses. It enables the cost-effective generation of images, captions, web content, and videos, contributing to an enhanced customer experience through personalized product recommendations.

The opportunities presented by AI for business transformation are extensive, offering benefits in areas such as innovation, supply chain optimization, sustainability, and customer satisfaction. However, with the adoption of any new technology, businesses must remain vigilant about the inherent risks associated with AI deployment.

To delve deeper into the utilization of AI and generative AI in the CG&R sector, the Off the Shelf podcast series explores these topics. In Part 1 of the series, discussions center around the reasons behind the widespread adoption of AI, its current applications, potential uses in the industry, and the associated risks. Part 2 shifts the focus to evolving regulations governing AI usage, regional approaches, internal governance strategies, and practical considerations when engaging with AI-driven companies. The podcast series serves as a valuable resource for gaining insights into the dynamic landscape of AI in the consumer goods industry.