Generative AI is rapidly transforming the retail and consumer products (CPG) sectors, ushering in a new era of growth, efficiency, and customer-centric innovation. As organizations navigate a landscape marked by shifting consumer expectations, economic pressures, and technological disruption, generative AI offers a powerful toolkit to unlock value across the entire value chain. Drawing on executive insights, industry research, and Publicis Sapient’s deep expertise, this page explores practical strategies for deploying generative AI, overcoming data and integration challenges, and balancing innovation with core business objectives.
Retailers and CPG companies face a narrowing path to growth, with decreased consumer spending and rising expectations demanding new approaches. Generative AI is emerging as a game-changer, enabling organizations to:
As Helen Merriott, Consumer Products Lead for EMEA & APAC at Publicis Sapient, notes: “Ultimately, it comes back to: Where is the value for consumers? And also, where’s the margin for retailers and CPGs? Using AI in this big generative transformation resettles how the whole value chain, and the businesses in that chain, do business for the good of consumers and also for themselves.”
Despite the promise, many organizations remain stuck in the pilot phase—61% of retail and CPG firms have yet to move beyond initial experiments. The most successful leaders strike a balance between vision and practicality, focusing on:
A clear generative AI strategy is essential. This means aligning technology investments with business objectives, prioritizing high-value use cases, and developing the organizational capabilities to scale. Publicis Sapient’s SPEED model—Strategy, Product, Experience, Engineering, and Data & AI—ensures multidisciplinary teams can move from ideation to execution rapidly and responsibly.
At the core of retail and CPG is data. Generative AI enables organizations to create clean data foundations more efficiently, opening doors to value creation even with imperfect data. As Julian Skelly, Retail Lead for EMEA & APAC, emphasizes, “Data doesn’t have to be perfect for it to have an impact. Gen AI enables organizations to optimize and reinvent, even with imperfect data.”
Key steps include:
Generative AI should amplify—not replace—human creativity and decision-making. Embedding ethical frameworks, transparency, and human oversight is critical to building trust and ensuring responsible use. Publicis Sapient’s approach emphasizes:
Rather than chasing the next big thing, leading organizations focus on incremental, high-impact use cases that can be quickly tested, refined, and scaled. Value Alignment Labs and AI workshops help teams identify gaps, prioritize opportunities, and develop actionable roadmaps.
Generative AI is already delivering tangible value across the sector. Key use cases include:
For example, retailers can use AI to auto-generate weekly meal plans and shopping lists for customers, compare prices, and facilitate seamless online ordering—transforming the grocery experience. CPG brands leverage conversational AI to analyze sentiment across channels, enabling faster, more accurate decision-making.
While the opportunities are vast, challenges remain:
Retail and CPG leaders agree: the path to value lies in balancing bold innovation with operational excellence. As organizations deploy generative AI, they must:
Publicis Sapient is uniquely positioned to guide retail and CPG organizations on their generative AI journey. With award-winning AI solutions, deep industry expertise, and a human-centered approach, we help clients:
Whether you’re just starting out or ready to scale, our experts are here to help you harness the full potential of generative AI—driving growth, efficiency, and customer delight in a rapidly evolving marketplace.
Ready to unlock new paths to growth with generative AI? Connect with Publicis Sapient’s retail and CPG experts to start your transformation journey.