Using holistic, tailored retail intelligence software, our Retail AI technology unlocks critical advantages across the six vital components of the value chain. Establish competitive advantage with Retail AI by ensuring the availability of goods and services, examining customer data, and predicting future behavior.
5%–7%
uplift in sales
2pp–5pp
increase in operating profit margin
Up to 50%
boost in EBITDA
10%
gain in functional productivity
Artificial intelligence is transforming retail, and today's resilient retailers are preparing for the future with Retail AI. Retail AI by BCG offers end-to-end solutions, managing labor and workforce issues while also optimizing pricing, personalizing offers for customers, and driving category performance.
WHY RETAIL AI
Combining the power of traditional AI with generative AI, our Retail AI solutions include six teams working together to boost effectiveness, efficiency, and innovation.
Retail AI takes BCG’s deep retail strategy experience and unites it with BCG X’s Retail AI technology for up-to-the-minute business solutions, using a comprehensive AI execution model built on BCG’s 10/20/70 rule: 10% dedicated to creating a portfolio of high-impact use cases, ignited by an initial strategy that delivers value fast; 20% to building an integrated data and technology system; and 70% to transforming people and operating-model capabilities.
The solutions we develop are targeted to provide differential value, seamlessly integrating into your tech and data environment without unnecessary spending or replatforming. Retail AI accelerates progress by taking a business-first, algorithm-backed approach to support the scaling of these tools, demonstrated by six synergistic domains unlocking unprecedented value.
A leading European grocer used Retail AI to drive its future loyalty, promotion, and marketing transformation. BCG’s Retail AI software helped reconfigure the client’s mass and personalization campaigns by building a state-of-the-art analytics system, optimizing promotion effectiveness and delivering 140 bps in margin improvement, equivalent to $150 million.
An international tire company faced a complex assortment and geographical diversity problem, needing to stock the right tire, in the right store, at the right time. Using Retail AI, BCG helped the company’s retailers shift to a data-driven selling model, resulting in significant value creation across several dimensions while increasing sales by up to 12%.
EXPERTS
Our team of experts delivers custom-made solutions for clients across the retail industry. Here are some of the team members creating Retail AI solutions and crafting modern business technology for retail sustainability.
Javier Anta Callersten is a core member of the Consumer and the Marketing, Sales & Pricing practices at The Boston Consulting Group, and he is the European topic leader for pricing and promotions in retail. He is also the London leader of BCG’s GAMMA team, which helps clients create competitive advantage by optimizing their big data and analytics capabilities.
Gavin Parker leads Boston Consulting Group’s global work in retail transformation and reinvention and is a core member of the firm’s Consumer practice. He also leads BCG`s Transform practice in the Asia-Pacific Region.
Nicholas Goad came to The Boston Consulting Group in June 2003. He is a member of the firm’s Consumer and Marketing, Sales & Pricing practices, where his special expertise is in retail pricing and promo effectiveness. He previously worked in BCG’s Sydney and London offices.
Silvio Palumbo is a core member of The Boston Consulting Group’s Technology practice area and of BCG GAMMA, specializing in the Big Data and Analytics topic. He is analytics lead in North America for the Personalization topic. He focuses on bringing machine learning and an AI-enabled approach to multi-channel marketing platforms and solutions.
Khaled Tawfik is a core member of the Consumer practice at Boston Consulting Group. Since joining BCG in 2008, he has mainly worked with retail clients in food and non-food consumer industries. Most of his client engagements have focused on multi-year transformations, typically with a strong focus on commercial topics underpinned by advanced analytics/artificial intelligence, and consumer-led strategy. He has worked on a variety of topics in retail, including growth strategy, category performance improvement, assortment optimization, pricing and promotions, format design, private label, and data and analytics.
Shishir Agarwal is a core member of Boston Consulting Group’s Consumer and Operations practices. He also leads the firm’s operational transformation topic in North America and is part of the global retail leadership team.
Matt Clarke joined Boston Consulting Group in September 2021, bringing 22 years of experience implementing and rolling out commerce platforms and digitalcommerce infrastructures. Matt is a leader in the Consumer practice at the firm, with an emphasis on retail clients. He leads the Retail Technology team, advising FTSE 250 CIOs, CTO, and boards on their technology strategy—particularly scaled AI, digital and data capabilities, core operation platforms, next-generation ERP, people and operating models, ways of working, and technology governance.
France Joris joined Boston Consulting Group in October 2008. She is a core member of the People & Organization practice, and the people lead for the newly created Retail AI team. France advises clients on people and organizational challenges, with a focus on operating model transformation. She is also the chair of the Brussels career advising team.
Sebastian Bak is core member of Boston Consulting Group’s leadership team focused on retail and AI. He co-leads pricing globally and has over 15 years of experience working in the intersection of retail strategy with data, advanced analytics, and AI.
Robert Xu is a core member of BCG X, Boston Consulting Group’s tech build and design unit, as well as the firm’s Consumer; Marketing, Sales & Pricing; and Technology Advantage practices. He has global experience launching AI and GenAI solutions to transform leading retail, telco, energy, and private equity clients in all aspects of their core business operations and supply chain. Robert’s approach to these topics combines strategy and change management, AI and GenAI, industrialized solutions, and infrastructure and hardware.
Chris Biggs is a core member of the Consumer practice at Boston Consulting Group and a member of the firm’s global retail leadership team. He leads BCG's work in digital retail. Chris is a topic expert for grocery e-commerce.
Caroline Blanch Israel is a core member of Boston Consulting Group’s Consumer practice. She is an expert in retail and has worked in Australia, the US, and Europe in the grocery, convenience, foodservice, apparel and accessories industries.
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There’s gold at the end of the personalization rainbow. To get it, retailers need to focus on the customer experience, technology, and operating models.
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