How AI Is Revolutionizing Omnichannel Retail
Wednesday’s panel, titled “From Digital Natives to Legacy Institutions: Omnichannel’s Next Era,” highlighted how omnichannel is transforming customer experiences in retail. Industry leaders discussed how AI is changing the way brands interact with customers across digital and physical channels.
Shenk explained that AI now recommends products based on customer problems rather than specific brand names. This means brands must adapt their strategies to align with how AI-driven systems and large language models process consumer queries.
She also noted that AI-generated search journeys do not always lead directly to purchases. Many customers still prefer returning to trusted platforms where they already have loyalty rewards and personalized shopping experiences.
Friedman shared that Ulta’s loyalty program has 47 million members, with 95% of sales linked to it. By combining AI with customer loyalty data, Ulta has improved personalization, content generation, and overall shopping experiences.
Loyalty Programs Remain Key to Customer Retention
Jon Kosoff of Boot Barn emphasized that loyalty remains the strongest connection across online, in-store, and app-based shopping. Around 30% of orders are picked up in-store, while 40% are shipped from stores, showing strong omnichannel engagement.
He also shared that Boot Barn recently relaunched its app and tier-based loyalty program. These updates are designed to strengthen customer retention and create smoother shopping experiences across all touchpoints.
Debbie Woloshin from Stitch Fix highlighted that technology should focus on customer relationships rather than just transactions. She explained that the company uses both digital tools and human expertise to build stronger customer connections.
Customers often share highly personal details with Stitch Fix, making trust and personalization critical. This deeper understanding helps the brand deliver more meaningful and personalized experiences.
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Personalization and Human Connection Drive Growth
Mandeep Bhatia of Tapestry explained that consistent omnichannel experiences are essential for long-term customer relationships. Brands must ensure customers receive the same quality experience both online and in stores.
He shared that Tapestry trained AI bots using real conversations from store associates. This helped create digital interactions that reflect the brand’s in-store customer service experience.
Bhatia stressed that omnichannel is ultimately about consumers, not technology. Businesses should focus on understanding customer needs first and then use AI to solve pain points and improve overall satisfaction.