This blog gives retailers insights on how AI is reshaping marketing in the industry. Based on a survey of more than 150 senior retail executives, Optimove and Total Retail have published a report: AI and the Future of the Retail Marketer. It gives insights into how leaders are applying AI across data, content, and personalization, and reveals what sets high-performing strategies apart.
The findings also show how marketers can use AI to improve journey orchestration, drive long-term customer engagement, and build more agile and effective teams. Together, the conclusions serve as a practical blueprint for where to focus next.
The Big Picture:
Most retail marketers are using AI, but only a few are applying it to orchestrate full customer journeys
Top-performing brands are seeing measurable gains in efficiency, revenue, and personalization
AI is reshaping team structures by enabling faster, more autonomous execution
Positionless Marketing is emerging as a model for greater flexibility, creativity, and speed
The biggest roadblocks to AI success include a lack of training, data quality, and balancing automation with a human touch
The Big Picture
AI is ubiquitous in retail marketing. According to our latest report with Total Retail, 94% of retail marketers already use AI. But most aren’t tapping its full potential. For example, only 46% are applying AI to orchestrate cross-channel customer journeys, which delivers powerful personalized engagement at scale.
The gap between usage and impact is exactly where the opportunity lies. Leading retailers are closing that gap with Positionless Marketing. In this model, marketers are empowered by AI to move seamlessly across data, content, and optimization. This allows them to execute faster, smarter, and more independently.
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AI Use Is High, Yet Not Strategic
Retail marketers are actively using AI in several key areas. However, many of these applications happen in silos. The top use cases focus on speed, personalization, and scale:
Chatbots and data analysis (73%)
Personalized offers and recommendations (71%)
Content generation (69%)
Predictive analytics (63%)
Customer segmentation (62%)
These are valuable tools. But in many cases, they are being used in isolation. Marketers are still relying on AI to complete individual tasks rather than using it to connect and ensure that personalized, timely, relevant marketing messages are delivered throughout the customer journey.
Only 46% are applying AI for journey orchestration, which is one of its most powerful and transformative uses.
Still, the benefits of AI are showing up across the board. Marketers in the report pointed to a range of positive outcomes reflecting operational improvements and stronger business performance. The most common results include:
Improved employee efficiency (78%)
Increased customer lifetime value (63%)
More personalized messaging (56%)
Higher revenue (54%)
Cost savings (51%)
Higher conversion rates (51%)
These outcomes show that AI is helping marketers do more with less. It streamlines execution, improves targeting, and drives measurable growth.
One standout benefit is smarter segmentation. Instead of offering the same promotion to everyone, marketers can identify which customers truly need an incentive to convert and which do not. This leads to stronger margins and fewer wasted discounts.
AI is also changing how teams operate. Campaigns that once required input from multiple departments can now be built and launched by a single person using the right tools. That shift creates more agile teams, faster decision-making, and fewer bottlenecks.
Unsurprisingly, 80% of marketers plan to increase their AI budgets in the next 12 months. Most expect growth to be between 6% and 25%.
Challenges Marketers Still Face with AI
Despite strong adoption and precise results, many marketers are still navigating challenges when it comes to using AI effectively. The most common barriers highlighted in the study include:
Balancing automation with human interaction (54%)
Privacy concerns (52%)
Data quality issues (48%)
Implementation costs (47%)
Algorithmic bias (39%)
Lack of employee training (38%)
Brand messaging control (32%)
These challenges reflect the complexity of integrating AI into daily marketing operations. Having the right tools is essential, but not enough. Success depends on reliable data, well-prepared teams, and clear internal processes.
One of the biggest concerns is balancing automation with the human touch. While AI can support segmentation, copywriting, and timing, marketers are still responsible for the brand’s voice, creative direction, and judgment.
Internal alignment is another frequent hurdle. Even the most advanced tools can fall short without proper training and collaboration across teams. AI is a powerful engine, but people still need to steer it. The teams seeing the best results are those that use AI to enhance their capabilities, not replace them.
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AI is not just changing tools. It is changing how marketers think, work, and deliver results. According to the study, 95% of respondents said their role has already shifted because of AI.
With the right technology in place, marketers are stepping beyond traditional job boundaries. They are taking on tasks that once required entire teams, including:
Data analysis
Audience segmentation
Content creation
Campaign optimization
This evolution is giving rise to a more agile and independent professional: the Positionless Marketer. With the support of generative AI, they can move from concept to execution more quickly, creating, and personalizing content across channels with less friction.
In the report, 85% of marketers responded positively to the idea of Positionless Marketing. When asked what it meant to them, they highlighted:
Greater flexibility and autonomy
Fewer boundaries between roles
Stronger collaboration across functions
A sharper focus on customer outcomes rather than job titles
In Summary
AI is already changing how marketing works, but its real potential lies in how it empowers teams to operate with more flexibility, speed, and ownership. This is the foundation of Positionless Marketing, where AI gives marketers the tools to execute independently and the focus to deliver real value to customers.
Rony Vexelman is Optimove’s VP of Marketing. Rony leads Optimove’s marketing strategy across regions and industries. Previously, Rony was Optimove's Director of Product Marketing leading product releases, customer marketing efforts and analyst relations. Rony holds a BA in Business Administration and Sociology from Tel Aviv University and an MBA from UCLA Anderson School of Management.
