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NRF 2025: How Social Commerce, AI, and In-Store Innovation Are Shaping the Future of Retail


This year’s NRF 2025 conference in New York was a milestone event for the retail industry, bringing together over 40,000 attendees to explore the innovations shaping its future. For us at StoryStream, it was a privilege to attend as part of a UK trade mission organised by the Department for Business and Trade. With our CEO, Alex Vaidya, and CTO, Joe Baskerville, on hand to share insights and discuss key innovations for retail eCommerce, the event highlighted to us the incredible potential of social commerce, AI, and in-store digitisation. Here are the five trends that stood out as the most transformative for the industry’s future.

 

Key Takeaways

👑 Visual Content Reigns: Social Proof That Sells

🤖 AI Takes Centre Stage: From Supply Chains to Personalisation

🔮 Revolutionising Stores: Digitising the In-Store Experience

📈 Social Commerce Booms: Platforms Driving the Retail Revolution

⚖️ Tech Meets Humanity: Why Balance Matters in Retail Innovation

 

1. Visual Content Reigns: Social Proof That Sells

Insights from a panel with Daniel Finley, CEO of Boohoo Group PLC, Kim Miller, President of Saks OFF 5TH Avenue, and Ashley Kechter, Brand President of Fabletics, explored the growing importance of social proof in retail. The discussion highlighted how User-generated Content (UGC) forges authentic connections with consumers and how shoppable video content is transforming customer engagement.

With nearly half of Gen Z shoppers (47%) turning to social media for shopping inspiration¹, platforms like TikTok, Instagram, and Pinterest have become critical for brands aiming to resonate with younger audiences². The panel’s key takeaway? A visual-first approach is no longer optional but essential to building trust and driving meaningful engagement.

 

2. AI Takes Centre Stage: From Supply Chains to Personalisation

AI was a dominant theme at NRF, with retailers showcasing how it is reshaping operations and customer experiences. Nvidia’s Azita Martin highlighted the role of AI in transforming supply chains, citing the company’s Mega platform that uses digital twins to optimise inventory and operations³. Lowe’s adoption of similar technology across 1,700 stores demonstrates the practical benefits of AI-driven tools.

AI is also revolutionising personalisation. Tapestry, the parent company of Coach and Kate Spade, is piloting AI-generated imagery to create bespoke shopping experiences⁴. However, privacy concerns remain top-of-mind, with Macy’s CEO Tony Spring, stressing the need for responsible data use⁵.

 

3. Revolutionising Stores: Digitising the In-Store Experience

The in-store experience is evolving with the integration of advanced digital tools. Retailers are adopting dynamic pricing displays, holograms, and clienteling solutions to enhance engagement. Red Ant’s tools empower associates by merging online and offline data to deliver hyper-personalised service⁶.

These innovations are turning traditional stores into immersive, tech-driven environments that cater to modern consumer expectations.

 

4. Social Commerce Booms: Platforms Driving the Retail Revolution

Social commerce continues to gain momentum, with TikTok Shop at the forefront. Pacsun’s sale of 60,000 pairs of jeans in just four days underscores the platform’s potential to drive massive sales². The US social commerce market is projected to hit $183.17 billion by 2025, and the UK market is following a similar trajectory⁷.

This rapid growth highlights the importance of meeting consumers where they spend their time—on social platforms.

 

5. Tech Meets Humanity: Why Balance Matters in Retail Innovation

While technology plays a pivotal role in retail’s future, human connection remains indispensable. Target CEO Brian Cornell emphasised that blending technology with human interaction is essential for building trust and loyalty⁸. American Eagle’s careful approach to AI adoption further reflects the importance of maintaining authenticity and diversity in customer experiences.

Retailers must strike a balance, ensuring technology complements rather than replaces human engagement.

 

NRF 2025 demonstrated that the future of retail lies in embracing technological innovation while staying grounded in authentic human interactions. Social proof, AI, and digitised in-store experiences are driving the industry forward, but the importance of trust and balance cannot be overstated.

 

References

  1. Exploding Topics. Gen Z Spending: Trends in Shopping Behaviour. Retrieved from Exploding Topics.
  2. Modern Retail. Despite a Looming TikTok Ban, Social Commerce Takes Centre Stage at NRF. Retrieved from Modern Retail.
  3. Retail Dive. At NRF, 40,000 Humans Contemplate AI. Retrieved from Retail Dive.
  4. NRF Blog. Catching the Social Shopping Wave with H&M and Havaianas. Retrieved from NRF.
  5. NRF Blog. At NRF, 40,000 Humans Contemplate AI. Retrieved from NRF.
  6. Red Ant. Clienteling Solutions for Retail. Retrieved from Red Ant.
  7. Yaguara. Social Commerce Market Size Predictions. Retrieved from Yaguara.
  8. Retail Dive. At NRF, 40,000 Humans Contemplate AI. Retrieved from Retail Dive.