Observed Signal · Jan 30, 2026 · Product & Technology Development · Source: https://marketingtechnews.net/feed/ · Impact: 2/5 · Sentiment: Positive
AI Revolutionizes Retail: Enhancing Customer Experience in 2026
Tesco Media's We Know the Nation 2026 report identifies AI as a primary driver reshaping the British retail landscape and retail media over the next year, while emphasising that value lies in how AI is implemented rather than AI alone. Built on insights from Clubcard shopper activity, the report highlights evolving shopper behaviours grouped under two patterns — 'culture' (emotional, social influences) and 'cognition' (decision-making changes and information processing). Tesco Media argues AI can improve customer experiences by simplifying choices, streamlining journeys, and strengthening brand relationships, but that delivering value and protecting customer confidence remains crucial amid cost-of-living pressures.
A major UK retail media owner (Tesco) issued a data-backed report showing AI and behavioural shifts are shaping retail media strategy; relevant for retail media planning and customer experience but not an industry-wide policy or platform-level change.
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Key Takeaways & Evidence Grounding
- Tesco Media published the We Know the Nation 2026 report.
- The report is based on insights from Clubcard shopper activity.
- The report identifies AI as a key influence on retail media but stresses implementation matters more than AI alone.
- Tesco Media categorises evolving shopper behaviour into two patterns: 'culture' and 'cognition'.
- Tash Whitmey, Managing Director at Tesco Media and Insight Platform, emphasised that value and customer confidence are increasingly important amid the cost-of-living crisis.
Connected Companies & Entities
3 Entities mappedRelated Market Signals & Shifts
Recent verified developments and strategic activity across this market segment.
Tesco and Adobe partner on AI using Clubcard data
Tesco has partnered with Adobe to expand use of AI across its marketing and digital channels by combining Adobe’s AI tools with data from Tesco’s Clubcard loyalty programme. Clubcard data (covering more than 24 million UK households) will be used within Tesco’s existing customer data framework to support more precise targeting on its website, mobile app and marketing communications; the companies said no changes to data terms or consent mechanisms were outlined. The collaboration includes a co-development Tesco x Adobe Innovation Lab, and will use technologies such as agentic AI and Adobe Firefly to generate and deliver personalised images, copy and offers in near real time. The article also notes Tesco’s parallel AI initiatives (an assistant trial and a Mistral agreement) and ongoing retail media activity.
BCG study: AI becomes top influence on purchases
A Boston Consulting Group (BCG) study cited by Retail-News finds artificial intelligence is rapidly gaining importance in consumers' purchase decisions. Roughly 31% of consumers already use AI during some phase of the shopping process, and respondents expect trust in AI to increase by 15 percentage points by 2030. About 19% are identified as “AI-loyalists,” and roughly 70% of those subsequently purchase products recommended by AI. The study also reports that more than half of consumers do not fully trust any single information source, that AI drives discovery of previously unknown brands, and highlights structural retail trends such as the rising share and spending power of single-person households in developed markets.
Report: Retailers Speed AI but Lack Customer Readiness
Arktic Fox and Six Degrees Executive, in partnership with Amperity, published the Inside Digital & eCommerce 2026 report based on surveys of 100+ Australian retail and brand leaders. The study finds retailers are rapidly increasing investment in AI, personalization, omnichannel experiences and retail media, but many lack the real-time customer context, integrated data foundations, and operational agility to act on customer signals. Key metrics include 89.1% of retailers rating personalization as strategically important yet only 10% claiming mature capability, and just 12% confident their customer and product data foundations can support AI use cases. The report highlights developing identity resolution, partial martech integration, and growing emphasis on CDPs, closed-loop measurement and privacy-safe data collaboration to connect media investment to business outcomes.
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