AI Agents Can Usher in an Era of Increased Personalization
Renner began by noting the heightened expectations that retail shoppers have, saying, “I think one piece of it is just the constant strive to get more personal to the customer and how their expectations continue to go higher and higher.”
Kalmbach explained how that level of personalization is being realized at Kroger. “One of the things that’s been foundational for us was our loyalty program. And what was so important about that is that has now created this data asset that has really become foundational to the entire agentic commerce experience.”
The volume of data Kroger has been able to collect is allowing the company to hyperpersonalize its interactions with customers. “We have about a billion personalized touch points every month with customers, but many of those are sort of reactionary based on data that the customer has given us. We now have this new agentic shopping chapter. We’re really turning into something that’s much more proactive, something that can anticipate needs.”
Kalmbach also said Kroger sees agentic AI driving brand loyalty through increased personalization. “If you look at grocery shopping historically, it was a functional experience. You have your list, you go in, you buy your groceries. This next chapter, we’re really going into something that’s going to be much a more inspirational, more emotional connection with customers, deepening loyalty and actually expanding a relationship through discovery.”
The plan is to find ways AI agents can do more than just filling a customer’s grocery list. Services could expand to help with meal planning that involves dietary restrictions so that “agents are going to help solve problems for customers, develop the right plan and take it all the way through that e-commerce transaction.”
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How AI Agents Can Reduce Friction To Make Shopping More Seamless
The benefits of agentic AI go beyond personalization and brand loyalty, however. Kalmbach spoke about the possibility of reducing friction in an omnichannel shopping experience so customers can go all the way from the discovery process to a final purchase in one visit.
“It’s really challenging to think about the start and finish all in one place, and yet, we’ve seen and expect that 40% of consumers for this holiday season will start their discovery online,” Gill said. “Wouldn't it be wonderful if, within that contextual first conversation that is personalized, they did complete that transaction as well, and you wouldn’t have all of this drop-off that happens in between.”
But Gill noted some significant challenges for merchants, such as how to ensure continued access to their data and their consumers while delivering a pleasant post-purchase experience that can bring back customers not only online but to physical stores, as well. “As we think about the rails that we’re collectively building and the protocols, it’s how do you make that experience seamless, but at the same time continue to give merchants control, and allow consumers to have the delightful experiences that they’ve come to expect.”
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