What rapidly evolving consumer behaviour means for Retail

Consumer behaviour is evolving at a breathtaking pace. We’re entering an era where everyday shopping and decision-making are increasingly intertwined with artificial intelligence (AI). From asking voice assistants for product advice to relying on personalised recommendations, consumers are changing how they discover and choose products. This shift isn’t happening in a vacuum - it’s powered by new technologies and AI assistants that are rapidly becoming commonplace.
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For professionals in retail and consumer goods, these changes bring both challenges and opportunities. On one hand, traditional ways of reaching customers (like search engine optimisation and even the in-store experience) are being upended. On the other hand, understanding these emerging behaviours can unlock innovative ways to engage customers. In this post, we’ll explore current data on the rise of AI-assisted shopping, delve into the psychology driving future consumer decisions (from cognitive offloading to trust in AI), and discuss how businesses can adapt their strategies to remain relevant in this brave new world.

The rise of AI assistants and the decline of traditional search

Recent trends show a significant shift in how consumers search for and discover products online. Rather than typing queries into web browsers and sifting through pages of results, more people are turning to AI-powered assistants and chatbots to do the legwork. Forbes recently highlighted this dramatic change: research indicates that browser-based searches could drop 25% by year-end, which aligns with broader industry forecasts and early evidence by Gartner, which projected that “by 2026, traditional search engine volume will drop 25%” as people shift from search engines to AI chatbots.

We’re already seeing this play out, according to Bain’s research: 80% of consumers now rely on AI-generated direct answers (so-called “zero-click” results) for at least 40% of their searches, a behaviour that’s cutting organic web traffic by an estimated 15–25%. Put simply, more consumers are getting the answers or product recommendations they need straight from an AI summary or voice response – without ever clicking a traditional search result.

Several factors drive this trend. Convenience is a major appeal, asking a digital assistant for the “best budget smartphone” or “great vegan recipes” feels easier than wading through multiple websites. Speed is another: AI can compile information from countless sources and deliver a concise answer almost instantly. Voice search and conversational AI also play a role, especially on mobile devices - speaking a query to a phone or smart speaker is hands-free and fast. The result is that the first point of contact between consumers and products is increasingly an AI platform, not a search results page.

From a business perspective, this is a seismic change. Companies have spent years mastering search engine optimisation (SEO) to ensure their products appear at the top of Google results. Now they face a new challenge: making sure their offerings are visible to AI assistants and chatbots. As Bain & Company analysts put it, brands will need to rethink their marketing strategies to avoid falling behind in this new era of AI-driven search. Traditional SEO tactics may need to evolve into strategies for “AI visibility,” ensuring that an algorithm or voice assistant recommends your product when a consumer says, “Hey Alexa, I need a new coffee maker.”

The psychology of future consumer behaviour

The technological shift in how consumers find products is also influencing why and how they make decisions – touching on deep aspects of psychology and behaviour. One key concept is cognitive offloading: as technology handles more tasks, people tend to offload mental work onto these tools. Using GPS means we memorise fewer routes; relying on autocorrect means we might recall spellings less. Similarly, as AI assistants offer shopping recommendations or decisions on our behalf, consumers may engage less in comparison-shopping or critical evaluation of choices.

Emerging research suggests this convenience comes with a trade-off. Heavy reliance on AI for decisions can diminish our own critical thinking over time. In a recent study, participants who frequently delegated tasks like choosing products or answering questions to AI tools showed weaker critical thinking skills than those who used AI less often. The AI effectively becomes a cognitive crutch – if it always tells us what to buy, we do less mental work ourselves. Younger consumers, in particular, appear more comfortable handing off decisions to tech. In the same study, the youngest group (digital natives) offloaded far more decisions to AI and, perhaps unsurprisingly, scored lower on independent thinking tests, whereas older adults were less reliant on AI and maintained stronger evaluative skills. Over time, this could lead to a generation of shoppers who trust algorithms over their own instincts for everyday choices.

Trust in AI is another psychological factor shaping future consumer behaviour. While many people enjoy the suggestions their recommendation apps or voice assistants provide, not everyone is ready to let an algorithm make buying decisions for them – nor should they be, in some cases. According to a World Economic Forum report, “many consumers are comfortable using AI to discover and shortlist products, but fewer would let it control their transactions.” A key reason is trust: almost half of consumers who shy away from AI in shopping cite a lack of trust in the technology’s accuracy, fairness, or data security.

In plain terms, people worry if the AI truly has their best interests at heart. Will it pick the product that’s actually best for me, or the one it was nudged (by advertising or biases in data) to pick? This wariness means that even in a highly automated future, human judgement and oversight remain important. Shoppers might use an AI concierge to get options, but still want to make the final choice themselves, especially for high-stakes or personal purchases.

That said, consumer attitudes are gradually warming up to deeper AI involvement. As technology improves and earns trust through consistent performance, people may become more willing to offload decisions. One forward-looking global survey by the World Economic Forum (30,000 people across 26 countries) found that by 2035, half of all consumers expect to use AI “clones” as personal shoppers or agents to handle routine purchases and tasks. In this scenario, consumers envision having a digital assistant so reliable that it can act almost like a stand-in self – an agent trusted to reorder household goods, book services, or even filter which ads and offers get through to us. This level of trust implies a significant psychological shift: technology moves from a mere tool to a kind of proxy for consumer choice.

For businesses, understanding this psychology is crucial. If customers are increasingly letting AI pick or even buy products, factors like brand loyalty might be rewired. A consumer might tell their AI, “Get me my usual brand of coffee”, which preserves traditional loyalty – or they might just say, “Find the best coffee at the lowest price”, effectively outsourcing the decision to whatever the AI deems optimal. In the latter case, brand recognition alone might not secure the sale unless that brand also ranks top in the AI’s criteria (which could include user reviews, price, sustainability, etc.). The habit loop of consumers could change, with fewer deliberative steps: rather than remembering a brand and seeking it out, a future shopper might simply state a need and let their AI present a solution. The emotional and cognitive process of shopping – browsing, weighing options, seeking reassurance – could shorten or become more passive as these tasks are automated.

This means consumer engagement will hinge on both technological trust and the subtle psychology of letting go: companies will need to foster trust not just directly with consumers, but with the algorithms consumers rely on, all while reassuring customers that they remain in control.

Implications for Retail and Consumer Goods sectors

What do these seismic shifts mean for those in the retail and consumer goods industries? In a nutshell, customer engagement, product visibility, and marketing strategies will need an overhaul. Here are some of the key changes and how businesses can start adapting:

• Competing for algorithmic attention: In the age of AI assistants, getting a product in front of customers increasingly means getting it recommended by an algorithm. Much like brands adapted to be visible on Google’s first page, now they must ensure they’re favoured by AI recommendation engines. This might involve new forms of optimisation, call it “AI optimisation”, such as structuring product data so that AI platforms can easily ingest and evaluate it, or providing rich metadata (specifications, reviews, compliance info) that AI shopping agents use to compare options. Retailers should start exploring partnerships or integrations with popular AI assistant platforms. For example, if a grocery chain can integrate its inventory with smart fridge assistants or voice shopping services, its products are more likely to be suggested when a consumer says “Order milk”. The traditional fight for shelf space is turning into a fight for screen space or voice space on an AI interface.
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• Reimagining customer engagement: As more of the shopping journey is mediated by AI, brands will need to find creative ways to engage customers who may no longer be browsing their website or visiting a physical store as often. One strategy is to make interactions more personalised and omnichannel. If a consumer’s AI assistant knows their preferences, brands should ensure they can feed into that knowledge base, for instance, through loyalty programmes or apps that share preference data (with consent and privacy safeguards). Another strategy is to focus on experiential and human-centred touchpoints: since purely transactional interactions might be handled by AI, the moments where human service shines (expert advice, community building, immersive experiences) become even more critical for differentiation. Retailers might offer live expert chats, virtual try-ons, or interactive online events to complement the AI-driven parts of shopping. The goal is to become not just chosen by the AI, but also to remain memorable and trusted in the mind of the consumer.
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• Brand trust and loyalty in an AI era: Building brand loyalty has always been important, but now it has a new twist. Consumers might delegate choices to AI, but they will likely set parameters for those choices. A shopper might instruct their AI, “always buy eco-friendly brands” or “I prefer Brand X for my skincare”. This means brands must continue to cultivate direct loyalty and clear value propositions so that customers program their AI to favour them. Trust signals like quality, sustainability, and strong customer reviews will be vital because AI algorithms heavily weigh these factors. If an AI assistant is comparing products, having a higher user rating or a verified sustainability badge could make the difference in being recommended. Transparency is also key – companies should be open about how their AI-driven recommendation systems work and ensure they are not inadvertently biased against certain products or segments. In fact, there’s a case for brands to develop their own AI tools (like chat advisors on their sites or apps) so they can maintain a direct line to consumers and gather first-party data, rather than ceding all influence to third-party AI platforms.
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• Adapting digital marketing strategies: Marketing in the consumer goods sector will need to adapt from a SEO-driven playbook to an AI-era playbook. Content still matters, but it might be consumed by AI summarizers before a human ever sees it. Companies should ensure that their product information and marketing content are "AI-readable" meaning clear, factual, and structured in a way that AI systems can interpret correctly. We may also see the rise of “AI influencers” or recommendation systems that function like curated marketplaces. For instance, an AI shopping assistant might have default “preferences” or deals with certain retailers. This suggests businesses may need to negotiate placement on AI platforms, similar to buying ad space or paying for prominence, but in a more recommendation-driven context. Additionally, analytics will shift: instead of just tracking click-through rates, companies will track how often their product was suggested by an AI and whether the consumer accepted that suggestion. Brands might start optimising for a metric like “AI recommendation rate.”

In light of these changes, agility and learning will be crucial. The organisations that thrive will likely be those that experiment early, for example, running pilots with AI-driven shopping channels, investing in understanding how different AI algorithms make choices, and training their marketing teams in data science and AI literacy. It’s a time for cross-functional collaboration: marketing, IT, and data teams must work together more than ever to ensure the company’s offerings remain visible and appealing in a tech-mediated marketplace. In fact, companies that scale up their AI initiatives will gain an edge by delivering consistent value and better engaging customers. The bottom line is that while the tools and touchpoints of consumer engagement are changing, the fundamental task remains: understand what the consumer wants (convenience, trust, value) and deliver it better than competitors - now with an assist from intelligent machines.

Takeaways for future-proof strategies

Adapting to the future of consumer behaviour may seem daunting, but it boils down to staying customer-centric in a tech-driven world. Here’s a summary of actionable takeaways for professionals in retail and consumer goods:

• Embrace “AI-SEO”: Optimise your digital presence not just for human eyes, but for AI assistants. Ensure product data, reviews, and content are structured and accessible so that algorithms readily pick up your brand when making recommendations.
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• Invest in trust and transparency: Build trust with consumers so they want their AI to choose you. Highlight quality, verify claims (sustainability, safety), and maintain transparent practices. An AI will favour products with strong ratings and reputable backgrounds, and consumers will feel better about those recommendations.
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• Personalise and humanise the experience: Use AI within your own channels to personalise recommendations and streamline shopping, but also provide easy access to human support. Consumers should feel that they get the best of both worlds -efficient AI suggestions and empathetic human help when needed.
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• Monitor emerging behaviours: Keep a close eye on how your customer base is using AI. Are they asking voice assistants for your opening hours? Using chatbot stylists or shopping bots? Conduct surveys or use analytics to gauge these trends, and adjust your engagement strategy accordingly. Being data-driven in understanding new customer habits will help you stay ahead of the curve.
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• Adapt your marketing funnel: Rethink the classic marketing funnel in light of AI-driven shortcuts. The awareness and consideration stages might happen via an AI summary or agent. Ensure your brand is present in those channels, whether it’s getting featured in voice assistant responses or being listed in an AI-curated marketplace. At the same time, reinforce brand recall so that when a consumer sets preferences (like default brand choices) your name comes up.

By taking these steps, retail and consumer goods professionals can remain not just relevant, but thrive as consumer behaviour shifts. The methods of search, decision-making, and purchasing are changing, but a focus on insightful data, understanding psychology, and strategic adaptation will help businesses continue to connect with the consumers of tomorrow.

The future of consumer behaviour is still being written, and with the right approach, your brand can play a leading role in that story.

Additional sources:

● Bernard Marr - Forbes Contributor. (2025, April 30). Selling To Robots: The Marketing Revolution That Will Make Or Break Your Business. https://www.forbes.com/sites/bernardmarr/2025/04/30/selling-to-robots-the-marketing-revolution-that-will-make-or-break-your-business/

● Gartner. (2024,  February 19). Gartner Predicts Search Engine Volume Will Drop 25% by 2026, Due to AI Chatbots and Other Virtual Agents. https://www.gartner.com/en/newsroom/press-releases/2024-02-19-gartner-predicts-search-engine-volume-will-drop-25-percent-by-2026-due-to-ai-chatbots-and-other-virtual-agents

● Eric W. Dolan - PsyPost. (2025, March 21). AI tools may weaken critical thinking skills by encouraging cognitive offloading, study suggests. https://www.psypost.org/ai-tools-may-weaken-critical-thinking-skills-by-encouraging-cognitive-offloading-study-suggests/

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