Few topics are more salient to business leaders than understanding consumer behavior. Knowing how and where consumers buy products, as well as what they are buying, can make or break manufacturers and retailers. Ali Furman, Carla DeSantis, and Paul Leinwand, analysts at PwC, observe, “Every generation of commerce has its defining shift — from general stores to supermarkets, from shopping malls to ecommerce. But what’s coming next is going to be a full-scale upheaval in how people discover, choose and buy household essentials.”[1] McKinsey & Company analysts, Katharina Schumacher, Roger Roberts, and Katharina Giebel, agree that big changes are coming to the shopping experience. They write, “Agentic AI promises to radically remake the entire shopping experience.”[2]

Today’s Trends are Tomorrow’s Realities

A couple of years ago, Vered Levy-Ron, CEO of Syte, observed, “The future of shopping is now.”[3] By that she meant that many of the future developments in shopping are “already in progress.” The staff at YOOBIC agrees with that observation. They note, “As the pace of innovation accelerates, retailers are breaking boundaries to engage customers, empower employees and optimize operations. Price and convenience are no longer the only driving factors — shoppers now demand seamless omnichannel experiences, immersive environments and innovations that blend the best of digital and physical worlds.”[4] This blend of the digital and physical has been given its own name: "phygital." The phygital environment offers a highly personalized, efficient, and engaging omnichannel experience powered primarily by artificial intelligence (AI) and Augmented Reality (AR).

Analysts at J.P. Morgan insist, “Reimagining shopping is more important than ever.”[5] They add, “Consumers are changing how they discover, try and buy products and services. This colossal shift has resulted in companies reimagining what they do, how they do it and who they partner with to create lasting and revenue-driving customer relationships.” Below are some of the trends that will become tomorrow’s realities.

• Invisible Shopping. Furman and her PwC colleagues foresee a future in which AI agents leverage connected devices “to autonomously perceive, decide and act across the shopping journey.” Schumacher and her McKinsey colleagues add, “Shopping powered by AI agents acting on our behalf represents a seismic shift in the marketplace. It moves us toward a world in which AI anticipates consumer needs, navigates shopping options, negotiates deals, and executes transactions, all in alignment with human intent yet acting independently via multistep chains of actions enabled by reasoning models.”

• Instant Shopping. Levy-Ron predicts the days of “going shopping” could soon be obsolete. She predicts, “Opportunities to purchase will be enmeshed in our daily lives, instantly bridging the gap between inspiration and purchase.” She predicts instant buying opportunities will be available during streaming programs, in video games, while wearing smart glasses, and on billboards.

• Phygital Shopping. McKinsey analysts predict phygital shopping will dominate the future. They explain, “[Phygital shopping will involve] sophisticated customer analytics, personalized sounds and smells, digital mannequins that ‘know’ your clothing preferences, [and offer] automated home delivery. These are just some of the elements that will shape the shopping experience in the coming years.”[6]

• Hyper-personalization. The YOOBIC staff notes, “Hyper-personalization is no longer optional. Retailers analyze data to tailor everything, from AI-powered product recommendations to frontline tools that enable staff to provide bespoke service. Empowering frontline employees with real-time updates and training tools ensures that every interaction — whether online or in-person — feels personal.”

• Immersive, Experiential Shopping. To attract buyers to physical stores, retailers will continue to transition to more experiential shopping environments. The YOOBIC staff notes, “Stores are evolving from mere shopping hubs into immersive destinations. Experiential retail prioritizes meaningful interactions that build deeper connections with customers.” James Robins, Chief Marketing Officer at Yodeck, agrees. He writes, “The store of the future will evolve beyond being a place to buy — it will be a hub for engagement, storytelling, and connection.”[7]

Winning Consumers in the Phygital World

Furman and her colleagues believe that continuing to innovate in the retail space is an imperative. They explain, “Innovation used to mean building a better product. Today, it means building for a more unpredictable life. Consumers aren’t looking for features, they’re looking for solutions and outcomes. Products are no longer one-dimensional. They’re contextual. Emotional. Disposable when they need to be, enduring when they don’t. And yet, most innovation cycles are still optimized for scale, not speed. Marginal improvements. Delayed timelines. Launches packed with complexity. Meanwhile, consumer behavior is already five steps ahead and AI is starting to catch up.”

Schumacher and her colleagues agree. They write, “Agentic commerce requires a fundamental rethinking of how value is created, captured, and delivered. Companies that adapt quickly will not only meet evolving consumer expectations but also redefine their industries. Those that hesitate risk losing ground as AI agents become the new gatekeepers of commerce.” The YOOBIC staff agrees that technological advancements will change the face of retail. They nevertheless caution, “Technology is only part of the equation. Frontline teams are the heart of experiential retail. Knowledgeable, confident employees elevate the customer experience, whether they’re managing AR displays or sharing in-depth product knowledge. Tools like real-time microlearning ensure staff are prepared to handle the complexities of modern retail. … Experiential retail doesn’t just sell products — it creates memories that inspire customers to return again and again.”

I agree with Robins who insists that the promise of future shopping environments only succeeds when people and technologies work together to make the consumer’s journey seamless. Robins explains, “Today's shoppers expect a seamless and personalized experience across both digital and physical channels. They might research products online, visit a store to try them, and then complete the purchase through an app or website. Integrated technology and smooth synchronization ensure an effortless transition between these channels. … By integrating digital convenience with physical interactions, retailers can enhance personalization, create frictionless shopping experiences, and revolutionize the retail landscape.”

Concluding Thoughts

Robins concludes, “The fusion of digital precision and in-store sensory experiences is transforming the way consumers shop. Forward-thinking retailers that invest in innovative technologies will lead this transformation, redefining how customers discover, interact with, and select purchases. Those who embrace these advancements will set new standards, delivering an immersive, personalized, connected experience that drives loyalty and sales.” Furman and her PwC colleagues predict, “The most successful CPG companies won’t just respond to demand — they'll anticipate it, at the speed of life.” As I told Furman and her colleagues, “To use AI strategically is to use it to drive sustainable advantage — not just to cut costs, but to outthink, outmaneuver and outwit the competition by encoding responsiveness.”

Footnotes

[1] Ali Furman, Carla DeSantis, and Paul Leinwand, “From shelves to systems: Why the future of consumer goods will be unrecognizable,” PwC, 17 September 2025.

[2] Katharina Schumacher, Roger Roberts, and Katharina Giebel, “The agentic commerce opportunity: How AI agents are ushering in a new era for consumers and merchants,” McKinsey & Company, 17 October 2025.

[3] Vered Levy-Ron, “The Future of Shopping: Here’s What Retail Will Look Like in 2030,” Syte Blog, 18 April 2022.

[4] YOOBIC, “The future of shopping: 3 trends that will define 2025,” Retail Dive, 13 January 2025.

[5] Staff, “The Future of Shopping Reimagined,” J.P. Morgan 2023.

[6] Praveen Adhi, Eric Hazan, Sajal Kohli, and Kelsey Robinson, “Omnichannel shopping in 2030,” McKinsey & Company, 9 April 2021.

[7] James Robins, “The future of shopping in retail: What to expect in the next 10 years,” Retail Customer Experience, 18 June 2025.