Using holistic, tailored retail intelligence software, our Retail AI by BCG X 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
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 by BCG X to drive its future loyalty, promotion, and marketing transformation. Retail AI 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 by BCG X, 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 Boston Consulting Group, and he is the European topic leader for pricing and promotions in retail.
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 BCG X, the firm's tech build and design business unit, 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 leads the retail work for Boston Consulting Group's Consumer practice for Europe, the Middle East, South America, and Africa (EMESA), as well as leading the retail marketplaces work globally.
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 by BCG X 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.
Retailers are increasingly using AI-powered solutions and dynamic pricing models to outperform rivals that rely on traditional tools and approaches.
BCG's Silvio Palumbo discusses AI's role in reshaping the marketing function, including how platforms like Fabriq Personalization AI can translate complex data into powerful customer insights.
Artificial intelligence can provide optimized solutions to three key retailer concerns: rising cost of goods, declining consumer spending, and supply chain volatility.
Overwhelming consumers with elaborate promotions, discounts, coupons, and loyalty rewards can weaken consumer loyalty, tarnish brand reputation, and suppress new revenue opportunities. Instead, retailers should adopt a streamlined, customer-centric approach.
Understanding every warehouse archetype, developing critical use cases, and improving existing ROI before the work begins are key to warehouse automation success.
We help the world's leading retailers compete in the digital era by developing and delivering cutting-edge tech strategies and identifying new sources of growth.
Scaling artificial intelligence can create a massive competitive advantage. Learn how our AI-driven initiatives have helped clients extract value.
BCG X disrupts the present and creates the future by building new products, services, and businesses in partnership with the world’s largest organizations.