Connect with us

Hi, what are you looking for?

AI Business

IGD Urges Retailers to Prepare for Agentic AI’s Rapid Transformation of Grocery Shopping

IGD warns retailers to prepare for agentic AI’s rapid ascent, as only 3% of UK shoppers currently use AI tools, a figure set to rise dramatically.

The Institute of Grocery Distribution (IGD) has urged retailers and suppliers to “prepare now” for the impending transformation in shopping driven by agentic AI. The organization emphasizes that the industry must strategize its approach to this technology before automated retail fundamentally alters consumer behavior. According to IGD, agentic AI is already capable of automating basket-building and replenishment, comparing prices across multiple retailers, optimizing purchases based on budget and health goals, and facilitating checkout processes without shopper input.

A recently released report by IGD indicates that the US market is witnessing a shift from pilot programs to practical implementations of agentic AI, highlighting the rise of autonomous shopping assistants, end-to-end automated purchase flows, and personalized meal-planning agents. However, adoption remains low in the UK, where only three percent of shoppers currently utilize AI tools for grocery shopping. The IGD cautions that this uptake could “accelerate rapidly” once trust in these systems is established, reminiscent of the growth seen in online grocery shopping and in-home delivery services.

The report reveals a wide range of expert opinions regarding the timeline for agentic AI to become mainstream in the UK. Some predictions suggest that the technology could achieve mass market status by the end of this year. Unlike other retail sectors, food and grocery shopping is characterized by habitual, repetitive behavior, making it particularly amenable to automation.

Toby Pickard, retail futures senior partner at IGD, remarked, “Retailers and supplier products risk becoming invisible when AI agents build baskets.” He noted that traditional factors such as impulse, emotion, and human discovery may diminish in importance as machine visibility surpasses shelf visibility in influencing consumer choices. He cautioned that society often “underestimates” the long-term ramifications of transformative technologies.

“Agentic AI won’t change everything overnight, but once shoppers trust it, convenience becomes the accelerator and habit becomes the lock‑in,” Pickard explained. He urged businesses to begin preparations now to influence how “intelligent shopping scales,” warning that those who delay may find that the future has “already been decided without them.”

In a related report issued last month by the Information Commissioner’s Office, the organization indicated that agentic commerce could lead to the emergence of personal shopping ‘AI-gents’ within the next five years. Such AI-powered agents are expected to anticipate shopping needs and make proactive purchases based on learned preferences, upcoming plans, and individual behaviors, rather than requiring explicit instructions.

The report elaborated that this technology could facilitate various functions, such as checking personal bank accounts to ensure purchases align with monthly budgets, assessing the impact on other spending plans, scheduling purchases around seasonal sales, and even negotiating prices directly with sellers.

IGD’s insights come as retailers like Coach, Kate Spade, and URBN have begun rolling out Stripe’s newly launched suite of agentic commerce solutions. In December, Visa partnered with Amazon Web Services (AWS) to enable developers and enterprises to deploy agentic AI commerce systems, marking significant strides in the sector.

As the retail landscape evolves, the call for preparation resonates across the industry. The interplay between technology and consumer behavior continues to develop, presenting both challenges and opportunities for businesses willing to adapt. The shift towards agentic AI may redefine the shopping experience, compelling retailers to rethink their strategies in an increasingly automated marketplace.

Marcus Chen
Written By

At AIPressa, my work focuses on analyzing how artificial intelligence is redefining business strategies and traditional business models. I've covered everything from AI adoption in Fortune 500 companies to disruptive startups that are changing the rules of the game. My approach: understanding the real impact of AI on profitability, operational efficiency, and competitive advantage, beyond corporate hype. When I'm not writing about digital transformation, I'm probably analyzing financial reports or studying AI implementation cases that truly moved the needle in business.

You May Also Like

Top Stories

China conditionally approves DeepSeek's purchase of Nvidia's powerful H200 chips, signaling a shift in chip import policies amid US-China tech tensions.

AI Marketing

IAB forecasts a 9.5% increase in US ad spending for 2026, fueled by agentic AI systems transforming campaign execution and driving market share growth.

Top Stories

IREN's $9.7 billion AI cloud contract with Microsoft ignites valuation debate as shares plummet 10.19% amidst investor scrutiny of funding and GPU expansion.

AI Tools

Facebook unveils AI-driven Marketplace updates, enhancing social shopping for 200M users with collaborative features and personalized insights aimed at young adults.

AI Technology

Former Google engineer Linwei Ding convicted of espionage for stealing over 2,000 AI trade secrets, risking national security and facing 15 years per count.

Top Stories

IPPR calls for UK tech firms like Google to compensate publishers as AI-generated news reaches 2 billion users monthly, risking journalism's sustainability.

Top Stories

Bloom Energy's stock surges 79% after securing a $2.65B power deal with American Electric Power for AI-driven data centers, amid valuation concerns.

AI Government

UK government announces £1.5 billion AI growth zone in Scotland, set to create 3,400 jobs and generate £8.2 billion in private investment.

© 2025 AIPressa · Part of Buzzora Media · All rights reserved. This website provides general news and educational content for informational purposes only. While we strive for accuracy, we do not guarantee the completeness or reliability of the information presented. The content should not be considered professional advice of any kind. Readers are encouraged to verify facts and consult appropriate experts when needed. We are not responsible for any loss or inconvenience resulting from the use of information on this site. Some images used on this website are generated with artificial intelligence and are illustrative in nature. They may not accurately represent the products, people, or events described in the articles.