I’m skeptical. I believe we may already be in the post-app era. As a consumer, making me download some app, then making me find it on my phone and open it each time I want to use it, is a chore, especially if the app isn’t 100 percent awesome at enhancing my life. Perhaps we’ve now skipped over apps for easier methods, such as speaking or texting our interests.

Customers shop with a purpose, to buy things. While shopping can be fun, retailers can never outcompete the entertainment industry. If AR and AI in a retail app is just a gimmick then it’ll last a few seconds because of the “cool” factor but will not be sustainable (especially if it drains extra battery life). If the AR and AI in the apps are actually useful in improving the shopping experience, then there’ll be a chance for shopper adoption. In the near future, I see staff using their mobile device with AR and AI to help enhance customer service (like showcasing their product) more so than customers downloading a retailer’s app just to use the AR/AI features.

Let’s keep in mind that most consumers don’t want this. The sample was shoppers who use retailer apps. Then you’re looking at one-third of these users thinking AI and AR are useful. So no, brick-and-mortar retailers are not investing wisely if they are worrying about this.

A virtual dressing room won’t help you if no one wants to buy your clothes. For many retailers, I believe that AR and AI are technologies that have a long way to go before they can provide a meaningful ROI. While it’s in all retailers’ best interest to understand what’s available and how it might be applied to their retail business, many of these new AR and AI technologies fall into the “shiny new thing” category. I encourage retailers to focus on establishing solid in-store execution prior to getting too carried away with AR and AI.

I attended the Millennial 2020 Conference in NYC last week (Millennials, as defined by the conference: Ages 18-34. 80 million strong. Projected $7 trillion in lifetime buying power. The demographic that will determine just what the future of our retail world will look like). At least based on certain AI presentations I attended at the conference, Gap looks to be moving in the right, future-forward, direction with their virtual dressing room app, etc. Some takeaways from the presentations were: AI in Commerce: According to eMarketer, led by Millennial shoppers, consumers now expect retailers to harness the power of AI to provide a customized and efficient shopping experience. Understanding Artificial Intelligence in Commerce: Gartner predicts that by 2020, 85 percent of customer interactions will be managed without human intervention. Race for Relevance and Engagement via Visual Search: Redshift Research shows that 73 percent of consumers complain about the inefficiencies in text-based search and nearly 75 percent of younger shoppers want visual search functionality to be integrated into their purchase journey (with a 160 percent increase in… Read more »

Give me a reason to download your app. What’s in it for me? What experience will I get? Will you blatantly promote to me (and irritate me), or will you give me an experience that is of value to me? It doesn’t matter if AR or AI is in the app if it doesn’t make me want to keep it and use it.

I would be extremely wary of consumer surveys that show findings about shoppers’ desires for AI usage by retailers. If you question consumers on what AI actually is, I’d bet Al McClain’s paycheck that 99 percent of them could not define it. Are there some basic, perennial challenges, (like in-stock conditions and mass, un-targeted discounts) that retailers still struggle with? Sure. Can AI help address these problems? Yes, it already is with some innovators today.

AR is another story. It’s flashy, yet I don’t see it replacing brick-and-mortar anytime soon.

Have you ever used the AI in the Google app? Or Siri? Or Echo? At least to a Boomer like me, it’s a dream come true. For retailers, imagine a customer simply being able to ask their phone, “please show me all your tops in a medium” or “yes, purchase” and then done. It’s a game-changer in a way, but one I think all retailers will have to come up to speed with sooner than later. Otherwise, you can count on the 900-pound gorilla to do it before you. Let’s go! Speed your way to innovation or wind up on the cutting room floor!

Let’s look at mobile app trends today. Retailers with their own apps have a challenge getting consumers to use their dedicated app. I agree that consumers use a small number of apps and specialized ones for a retailer will migrate to the bottom of their priorities. Second, there is a small number of people who have been exposed to AR and AI and would demand the retailer to have those technologies as part of their mobile apps. Third, the mobile user today is most interested in making the search, review, decision and purchase processes easy on any product they would like to purchase. These trends portend for slow adoption of AR and AI. With so many challenges in retail today, the most important thing a retailer can focus on is attaining and retaining customers through what ever means is important to the customer. If AR and AI become important to attract and retain customers, then they should invest in those technologies. I just don’t see those technologies important enough to attract customers today. Better to… Read more »

I think Stephen Needel uncovered the undermining facts. The people interviewed represent a small segment of the retail customer population and even among these folks interest in AI and AR is low. And without knowing the revenue these shoppers represent I wouldn’t feel secure even considering a new technology/app investment.

Others here have mentioned the most important point — it’s about the value the retail app brings to the consumer. If AI and AR bring new value to the consumer then they are well worth the investment. I think retailers continue to miss another key point about retail apps — they will only be downloaded by your most loyal customers. Stop trying to make apps that ALL shoppers will want to download and use. That’s just not going to happen. The occasional shopper to your store is never going to believe it has value even if you add AI and AR, focus on your mobile website for these shoppers. And either way, stop assuming it’s all about promotion. That’s not a path to true engagement. For your most loyal shoppers, AI and AR have the potential to really enhance the experience both in-store and while at home or on the go. A few years ago, Belk made this video (on YouTube here) to express their vision of the store of the future. In it, you… Read more »