Retail enterprises are reimagining operational intelligence by integrating generative and agentic AI to autonomously create, reason, and decide across the retail value chain. They are using geofencing, embracing avatars and immersive technologies to deliver hyperpersonalized engagement, and modernizing physical stores into intelligent, experience-led environments. As consumer expectations shift toward more relevant and personalized advertising, retailers are scaling retail media networks (RMNs) to harness first-party data, enabling brands to deliver targeted campaigns that maximize ROI and drive deeper shopper engagement.
Both demand- and supply-side trends are covered in Avasant’s Retail Digital Services 2025 Market Insights™ and Retail Digital Services 2025 RadarView™, respectively. These reports present a comprehensive study of digital service providers in the retail industry, including top trends, analysis, and recommendations. The reports also closely examine the leaders, innovators, disruptors, and challengers in this market.
We evaluated 42 service providers across three dimensions: practice maturity, investments and innovation, and partner ecosystem. Of the 42 providers, we recognized 23 that brought the most value to the market during the past 12 months.
The reports recognize service providers across four categories:
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- Leaders: Accenture, Capgemini, Cognizant, HCLTech, IBM, Infosys, TCS, and Wipro
- Innovators: Genpact, Kyndryl, LTIMindtree, Tech Mahindra, and UST
- Disruptors: CGI, EPAM, Reply, Sutherland, and Zensar
- Challengers: DXC Technology, Fujitsu, Hitachi Digital Services, NTT DATA, and Persistent Systems
Figure 1 below from the full report illustrates these categories:
“Retailers are expanding their retail media networks to capitalize on first-party data and open new revenue opportunities,” said Rachit Bhagat, managing partner at Avasant. “By leveraging AI-driven demand forecasting, tailored ad placements, and dynamically adjusting campaigns, retailers are boosting engagement, precision, and the overall marketing ROI.”
The reports provide several findings, including the following:
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- Retailers are transitioning from traditional automation to intelligent, self-optimizing retail systems to scale personalization, automate back-office functions, and enable smart decision-making across the value chain.
- Retailers are leveraging AR/VR, virtual try-ons, and geofencing to deliver hyperpersonalized, real-time experiences that seamlessly blend online and offline channels to help them boost engagement, loyalty, and sales through immersive, preference-driven interactions.
- Retailers are elevating physical stores into immersive, experience-driven hubs to increase footfall, build brand affinity, and offer differentiated value beyond online channels through AI, computer vision, and IoT to enable smart infrastructure.
- They are improving supply chain resilience and agility by using real-time data and predictive technologies to navigate demand fluctuations and fulfillment complexities while ensuring sustainability.
- Retailers are scaling retail media networks (RMNs) to monetize first-party data, personalize advertising, and elevate shopper engagement. AI/ML and demand forecasting are being used to tailor ad delivery, optimize media spend, and dynamically adjust campaigns, driving precision, engagement, and ROI.
“Service providers are equipping retailers with AI-powered retail media platforms that activate first-party data for monetization,” said Harvey Gluckman, principal at Avasant. “They are using analytics and demand forecasting for real-time ad targeting, optimizing campaign performance, and maximizing media ROI across channels.”
The RadarView also features detailed profiles of 23 service providers, along with their solutions, offerings, and experience in assisting retail enterprises in their digital transformation journeys.
This Research Byte is a brief overview of Avasant’s Retail Digital Services 2025 Market Insights™ and Retail Digital Services 2025 RadarView™ (click for pricing).