Welcome to the forefront of conversational AI as we explore the fascinating world of AI chatbots in our dedicated blog series. Discover the latest advancements, applications, and strategies that propel the evolution of chatbot technology. From enhancing customer interactions to streamlining business processes, these articles delve into the innovative ways artificial intelligence is shaping the landscape of automated conversational agents. Whether you’re a business owner, developer, or simply intrigued by the future of interactive technology, join us on this journey to unravel the transformative power and endless possibilities of AI chatbots. 
The TCS Global Retail Outlook 2026, based on responses from more than 800 senior retail executives across 18 countries, found that 85 percent of retailers have not begun implementing or planning for multi-agent AI systems.
Only 24 percent of retailers said they are currently using AI for autonomous decision-making.
The study showed that AI adoption remains largely limited to basic use cases, with 51 percent of retailers citing chatbots and virtual assistants as primary AI initiative.
The findings indicate that most retailers are yet to move beyond isolated AI deployments toward enterprise-wide intelligence.
While cost optimisation remains the top priority, AI-powered technologies were ranked among the most essential capabilities for 2026, particularly for sensing market changes and tracking competitor movements in real time.
Adaptive AI-powered decision-making ranked second and third among retailers’ top priorities for the coming years.
The study also identified workforce skills gaps as one of the biggest challenges for retailers, second only to financial pressures.
The report highlighted underutilisation of customer data, with only 37 percent of retailers using loyalty insights to inform channel or store experience strategies.
Just 45 percent apply loyalty data to pricing and promotions, while 39 percent are deploying AI-powered demand sensing to improve supply chain resiliency.
TCS’ consumer business group, president, Krishnan Ramanujan, said retailers recognise AI as critical to future competitiveness but have made limited progress in embedding intelligence across the value chain.
He added that the shift from isolated AI experiments to pervasive intelligence will be key for retailers to adapt and respond in real time.
The study noted growing urgency around cybersecurity and privacy, as well as challenges in unlocking value from data held in loyalty programmes.
