Retailers Bet on AI to Survive a Holiday Season Nightmare

A new Accenture survey reveals a collision course for the holiday season: seven in 10 retail executives fear supply chain disruptions will torpedo sales, while roughly three-quarters of shoppers feel so stressed and overwhelmed by choice that they’re abandoning purchases entirely.

• Shopper's remorse: While nearly nine in 10 shoppers plan to spend more this year, that cash is driven by inflation, not confidence. The pressure is mounting, with consumers feeling bombarded by ads and anxious about finding the right gift. The result is a staggering 84% of shoppers ditching their online carts out of sheer frustration, a major pain point for retailers bracing for a tough season.

• Frontline frustration: The disconnect between online promises and in-store reality is boiling over on the floor. 82% of frontline workers report that items listed as 'in stock' online are frequently missing from store shelves. According to a report from SupplyChain247, stock shortages have become the single biggest source of job-related stress for 30% of these employees.

• AI to the rescue?: Into this chaos, retailers are pitching generative AI as a lifeline. Consumer adoption is surging, with 66% having used gen AI in the last three months, and 77% now plan to use it for holiday shopping help. The bet is that AI can sift through endless options to deliver smart, personalized suggestions and give retailers a much-needed edge in demand forecasting.

This holiday season is shaping up to be a high-stakes, real-world test of whether AI can solve some of the retail industry’s oldest and most frustrating headaches, or if it's just more noise in an already chaotic market.