The global market reached $30t in 2025, with e-commerce accounting for 20% of total sales and physical stores accounting for 80%. Although nearly 48% of retailers report having modernised their IT infrastructure, many retail leaders still face technical debt and rising operational costs, according to the Kyndryl report.
Investment in artificial intelligence has increased by 33% over the past year, driving retailers to operate faster and smarter. However, 63% of retail leaders feel pressure to demonstrate a return on AI investment, while 89% expect AI to reshape their job roles within one year. In addition to technology, 39% of companies mentioned facing cultural barriers: around 44% lack skilled workers, and 33% of employees said they need more training.
Only 15% of retailers report full utilisation of their omnichannel systems, and 52% admit their cloud adoption was accidental. Due to new regulations and geopolitical pressures, 64% have changed their cloud strategies, and 56% are struggling with inaccessible data in environments that lack proper decommissioning.
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Looking ahead in 2026, retailers aim to improve inventory precision, rationalise stock-keeping units, consolidate fragmented data into unified data platforms and deploy AI frameworks to better connect with buyers and managers.
