1. Leverage AI To Enhance Inventory Management 

Many technologies already integrated into your point-of-sale systems have begun incorporating AI into their overall offerings. Through AI-powered POS systems, artificial intelligence can be used to enhance various aspects of retail operations, such as customer data for personalized inventory recommendations, predictive analysis for future inventory buys, fraud detection, and much more. AI can predict future sales based on historical data and seasonal trends, helping retailers optimize stock levels and minimize waste — while also ensuring shelves are never empty. 

To identify if your existing POS has implemented AI into their offerings, contact your POS rep or provider. If they have not, however, it may be time to consider a POS that does … especially knowing AI is not going anywhere but only strengthening its benefits to retail operators. 

2. Use AI To Enhance Customer Loyalty and Overall Support 

Let’s face it — independent retailers are known for customer care that big box retailers cannot usually keep up with. But are all the independent stores you know truly optimizing their customer service? 

To help busy merchants strengthen their customer support, AI can analyze past purchases and browsing history to suggest relevant products or offers to customers. This analysis saves time for busy employees while also serving meaningful purpose for stores to reach out to customers to get them back into their stores. 

That old saying of work smarter, not harder? Well, AI sums it up when it comes to customer and retail management alike. 

3. Incorporate AI To Boost Target Marketing Goals 

Do you ever wonder how retailers narrow in on who to pitch products to and who not to? Or what about why some customers should be invited to an event versus others? 

Customer relationship management (CRM) systems do an excellent job at this but imagine your CRM system power-boosted with AI. This combo can help retailers identify the right target audience for marketing campaigns — whether through email blasts, cold calls, or even physical invites — that will lead to more effective and efficient marketing efforts. Factor in the cost savings of time as well, and this is a win, win. 

John Lawson, a digital commerce expert and author of The AI Power Move Blueprint: Street-Smart Systems for Strategic Business, believes retailers have an incredible opportunity when it comes to using AI for their small businesses. 

“The small business advantage has always been authenticity, AI just helps you scale it without selling your soul. It offers the ability to compete with larger chains without losing their unique local touch. AI isn’t about replacing human connection but enhancing it — whether through smarter inventory management that ensures products are available when customers want them, personalized marketing that feels genuine rather than invasive, or streamlined operations that free up time to focus on what independent retailers do best — building community relationships that big box stores simply can’t match,” Lawson said. 

Finally, retail businesses that move quickly to adopt AI into their operations will best position themselves for longevity and success, as commerce and AI both continue to evolve. To ensure you are not left in the dust — both figuratively and literally — consider how AI can begin supporting your business to ensure you are not among the stores that fall behind.