The store strikes back as a connected, AI-powered space—Bain & Company and VusionGroup

• The store is back at the center of retail strategies with 75% of executives planning a large-scale store transformation in the next 2 years
• From bottom-line improvements to enhanced experiences, tech-enabled stores are delivering big wins for retailers and customers on efficiency, customer experience, and monetization
• Retailers are rapidly shifting from isolated pilots to integrated technology platforms combining AI, automation, and digital media
• 44% of retailers expect these investments to improve their bottom line by more than 1.5 percentage points

LONDON & PARIS-September 16, 2025-Far-reaching technology innovations and AI advances are reshaping the future of retailers and stores in a critical new phase of transformation for the industry, Bain & Company and VusionGroup report in a study released today.

The report, The Store is Striking Back as a Tech-Enabled Space Driving Efficiency, Experience and Monetization, unveiled in Paris at NRF Europe 2025, sheds new light on how technological advances and new in-store technologies are revolutionising retail.

Drawing on a global survey of leading retailers worldwide, the Bain/VusionGroup analysis highlights how harnessing fast-changing technology is no longer experimental for the industry but is now seen by retail leaders as essential and foundational.

Against this backdrop, the study reports that a majority of retail executives plan to increase capital spending on store technology by an average 5% to 20% over the next five years, with nearly half expecting bottom-line improvements of more than 1.5 percentage points, according to the findings from Bain, the leading management consulting firm, and VusionGroup, the global leader in digitization solutions for commerce.

Retailers are moving quickly to implement integrated platforms that combine digital shelf systems, AI-powered insights, and retail media capabilities, the report finds. Stores are becoming intelligent, connected environments where commerce, media, and data converge. The analysis shows they're evolving into hybrid spaces that fuse shopping with media, entertainment, and personalization.

"Retailers are accelerating their tech adoption not just to keep up but to lead. The winners will be those who build scalable, integrated platforms delivering measurable ROI and who future-proof store operations," said Mauro Anastasi, partner in the Retail practice at Bain & Company. "Better systems cut costs. Lower costs give customers better prices. Better prices bring in more customers. And more customers generate more data to make operations even smarter. Retailers who master these technologies first will outprice and out-serve others - and the window to catch up will get smaller every quarter as the pace of change continues to evolve."

"This report reflects what we see every day at VusionGroup: the store is no longer just a place of transaction. By combining AI, computer vision, and data with digital shelf systems, retailers are not only improving operations, but they are also achieving faster inventory turns, greater price accuracy, and unlocking new monetization opportunities through retail media," said Jérôme Hamrit, SEVP of Data & Retail Media at VusionGroup. "Connected stores deliver better shopper experiences while driving both operational efficiency and top-line growth, delivering measurable ROI at a much faster pace."

In today's findings, Bain and VusionGroup report that four key technologies are emerging as central to the transformation of physical retail spaces, aligning directly with retailers' top customer priorities: product availability (56%), price integrity (53%), and better customer engagement (45%), as well as their ambition to improve staff productivity (39%).

• Store staff co-pilots: Almost 50% of retailers are using AI-powered assistants to help store teams manage routine tasks, from inventory checks and price errors to equipment troubleshooting and training. These tools boost productivity and morale, allowing staff to focus more on customer engagement.
• AI-driven customer insights: Nearly three-quarters (73%) of retailers are exploring advanced analytics to localize assortments and personalize experiences. By analyzing purchasing behavior and in-store traffic patterns, AI helps predict demand and optimize shelf placement.
• E-commerce fulfilment integration: Stores are evolving into hybrid fulfilment hubs, serving both walk-in customers and online orders. Technologies like computer vision, demand forecasting, and pick-to-light systems ensure inventory accuracy and efficient order processing - without compromising the in-store experience. Thirty percent of retailers say in-store fulfilment is already deployed at scale in their stores.
• Digital in-store retail media: Smart displays and shelf tags are turning store aisles into monetizable media spaces. Brands can advertise directly to shoppers at the point of decision, creating new revenue streams. Nearly a third (29%) of retailers expect store layouts to evolve to support retail media and experiential formats in the next five years.

To drive technology adoption, the report notes that three in five (60%) C-level executives are prioritizing in-store technology investments over other retail strategies. Nearly half (44%) of retailers expect their store technology investments to improve their bottom line by at least 1.5 percentage points, while seven in ten (70%) anticipate recovering their investments in less than three years.

Despite the momentum, retailers continue to face internal barriers to faster adoption. Slow internal decision-making processes tops the list at 43%, followed by security and compliance concerns (40%) and high costs (32%) that the retailer would have to budget beyond their already planned capex.

To succeed with store technology, the report advises that retailers must focus on solving real pain points - such as out-of-stocks and pricing errors while building organization-wide support for change. The most effective strategies prioritize integrated platforms over isolated tools, invest in upskilling store teams, and rethink financial models to reflect today's blended online-offline shopping behaviors.

The report also outlines five key principles for success in-store technology transformation:

• Focusing on solving real pain points for customers and staff
• Building organizational alignment and change management from the ground up
• Prioritizing platform thinking over isolated tools
• Investing in talent and upskilling to support new workflows
• Breaking down silos between online and offline operations for more integrated financial performance

The full report is available here as well as to NRF attendees in Paris.

Media contacts

For questions or to request an interview please contact:

Bain & Company:

Gary Duncan (London) - Email: [email protected]

Amanda Folsom (Boston) - Email: [email protected]

Ann Lee (Singapore) - Email: [email protected]

VusionGroup: [email protected]

About Bain & Company

Bain & Company is a global consultancy that helps the world's most ambitious change makers define the future.

Across 65 cities in 40 countries, we work alongside our clients as one team with a shared ambition to achieve extraordinary results, outperform the competition, and redefine industries. We complement our tailored, integrated expertise with a vibrant ecosystem of digital innovators to deliver better, faster, and more enduring outcomes. Our 10-year commitment to invest more than $1 billion in pro bono services brings our talent, expertise, and insight to organizations tackling today's urgent challenges in education, racial equity, social justice, economic development, and the environment. We earned a gold rating from EcoVadis, the leading platform for environmental, social, and ethical performance ratings for global supply chains, putting us in the top 2% of all companies. Since our founding in 1973, we have measured our success by the success of our clients, and we proudly maintain the highest level of client advocacy in the industry.

About VusionGroup

VusionGroup is the global leader in providing digitalization solutions for commerce, serving over 350 large retailer groups around the world in Europe, Asia and North America. The Group develops technologies that create a positive impact on society by enabling sustainable and human-centered commerce.

By leveraging its IoT & Data technologies, VusionGroup empowers retailers to re-imagine their physical stores into efficient, intelligent, connected, and data-driven assets. The Group unlocks higher economic performance, facilitates seamless collaboration across the value chain, enhances the shopping experience, creates better jobs, cultivates healthier communities, and significantly reduces waste and carbon emissions.

VusionGroup consists of six families of solutions which bring the full potential of IoT, Cloud, Data, and artificial intelligence (AI) technologies to the service of the modernization of commerce: SESimagotag (ESL & Digital Shelf Systems), VusionCloud, Captana (computer vision and artificial intelligence platform), Memory (data analytics), Engage (retail media and in-store advertising), and PDidigital (logistics and industrial solutions).

VusionGroup supports the United Nations' Global Compact initiative and has received in 2023 the Platinum Sustainability Rating from EcoVadis, the world's reference of business sustainability ratings.

VusionGroup is listed in compartment A of Euronext™ Paris and is a member of the SBF120 Index. Ticker: VU - ISIN code: FR0010282822

https://www.vusion.com