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AI and Personalisation Shape Future of UK Retail

A recent study highlights a growing trend among UK shoppers towards personalised shopping.

Personalisation
Personalisation and data responsibility will be crucial for brands looking to build trust in today’s retail world. Credit: AI Image Generator via Shutterstock.

Anew report from Intuit Mailchimp reveals British consumers’ growing preference for personalised shopping experiences, with technology playing a key role.

The study, which surveyed 1,500 UK consumers, highlights a trend towards personalisation in marketing, suggesting that this shift may ease the burden of searching for products while reducing the fear of missing out.

According to the report, nearly half (48%) of UK shoppers believe that data-driven technology and audience segmentation will streamline the shopping process by offering automatic recommendations.

This sentiment is particularly strong among younger consumers, with 72% of those aged 18 to 34 expecting personalised shopping to become the norm.

Personalisation on the rise

Personalisation is becoming increasingly important to British shoppers, with 60% expressing a positive view of tailored content.

Over a third (36%) believe personalised marketing helps them avoid missing out on new trends, products, and deals.

Additionally, 43% appreciate receiving notifications about limited stock or exclusive offers, indicating that personalisation is not just about convenience but also about creating value.

While many consumers are willing to share their data in exchange for relevant content, however, 62% want to see more value in this exchange.

Shoppers expect that their personal information will be used thoughtfully, with personalised campaigns ranking as the third most favoured marketing strategy.

AI integration and data privacy

As AI continues to shape the marketing landscape, 65% of UK consumers are comfortable with AI-generated content in some form.

However, concerns about data privacy remain high, with 80% of respondents stating they need reassurance that brands are handling their data responsibly.

While many shoppers are willing to share data with trusted brands, only 15% express discomfort with sharing personal information.

Interestingly, younger generations, particularly those aged 18 to 24, show less concern about data use compared to older shoppers, highlighting a generational divide on the issue.

Future of retail: convenience and trust

The study points to a future where consumers expect brands to offer both convenience and personalised experiences.

Nearly half of UK shoppers believe that technology will make it easier for them to find the products they want without effort.

Brands will need to balance the benefits of personalisation with ethical data practices to maintain consumer trust.

As e-commerce continues to evolve, businesses will increasingly rely on AI tools to meet customer expectations for personalised, efficient, and convenient shopping experiences.

However, companies must remain mindful of data privacy concerns, ensuring that their use of personal information aligns with consumers’ preferences.

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