ai

Top 10 Jobs at Risk Due to AI in the Retail Industry

Top 10 Jobs at Risk Due to AI in the Retail Industry

Top 10 Jobs at Risk Due to AI in the Retail Industry

Artificial intelligence (AI) is transforming the retail industry. Automation and machine learning are driving efficiency, personalization, and cost reduction.

However, this shift is also putting numerous jobs at risk. By examining studies, surveys, and case studies, we can identify the top 10 retail jobs most vulnerable to AI advancements and gain insights into how professionals can adapt to this evolving landscape.

1. Cashiers

Impact of AI: Self-checkout systems and AI-powered kiosks are replacing store cashiers. These technologies reduce wait times and operational costs.

Case Study: Walmart’s deployment of AI-powered self-checkout kiosks resulted in a 20% reduction in cashier staffing across its U.S. stores by 2022. According to a 2021 McKinsey report, 52% of cashier roles globally could be automated by 2030.

2. Stock Clerks

Impact of AI: Robots and AI systems take over restocking and inventory management tasks. AI tools track inventory levels, predict demand, and optimize supply chains.

Survey Data: A Deloitte 2022 survey found that 45% of retailers use AI for inventory management. Walmart’s Bossa Nova robots scan shelves to monitor stock, reducing manual restocking needs by 30%.

3. Customer Service Representatives

Impact of AI: Chatbots and virtual assistants handle customer inquiries, complaints, and product recommendations. These systems operate 24/7 and offer instant responses.

Study Insight: Gartner’s 2023 report predicts that AI will handle 70% of customer service interactions by 2027. Sephora’s AI-driven chatbot, for instance, successfully resolved 80% of customer queries without human intervention.

4. Visual Merchandisers

Impact of AI: AI tools are automating the creation of store layouts and visual displays, using data-driven insights to optimize customer engagement.

Case Study: Zara’s AI system designs store layouts based on shopper behavior, increasing sales by 15% in pilot locations. A 2022 PwC study found that 40% of visual merchandising roles are at risk of automation within the next decade.

5. Sales Associates

Impact of AI: In-store AI tools personalize shopping experiences, reducing the need for human sales associates. Smart mirrors and recommendation systems guide customers without requiring staff.

Survey Data: A Capgemini survey conducted in 2022 revealed that 35% of shoppers prefer to interact with AI-driven tools for product recommendations over human staff.

6. Pricing Analysts

Impact of AI: AI algorithms analyze market trends, competitor pricing, and customer behavior to optimize pricing strategies, replacing manual pricing analysis.

Study Insight: According to a 2023 report by Forrester, AI-driven pricing systems reduce the time spent on pricing tasks by 50%. Amazon’s dynamic pricing AI adjusts prices in real-time, increasing profitability by 20% in certain categories.

7. Warehouse Workers

Impact of AI: Automated robots and AI systems are streamlining warehouse operations, including picking, packing, and sorting. This reduces the demand for human labor in distribution centers.

Case Study: Amazon’s Kiva robots improved warehouse efficiency by 40%, enabling faster order fulfillment while reducing human roles by 20% in certain facilities.

8. Inventory Planners

Impact of AI: AI systems forecast demand and manage inventory levels more accurately, reducing the need for manual planning.

Survey Data: A 2022 Deloitte study revealed that 60% of retailers using AI for demand forecasting experienced a 25% reduction in overstock and stockouts, minimizing the need for manual planners.

9. Security Personnel

Impact of AI: AI-powered surveillance systems and facial recognition technologies are replacing traditional security roles, offering real-time monitoring and threat detection.

Real-World Example: Target’s AI-driven security cameras reduced theft incidents by 30% in pilot locations. A 2021 Allied Market Research report predicts a 45% adoption rate for AI in retail security by 2028.

10. Delivery Drivers

Impact of AI: Autonomous delivery vehicles and drones are reducing the need for human drivers in last-mile delivery.

Case Study: Domino’s partnered with Nuro in 2022 to roll out autonomous delivery vehicles, completing 15% of deliveries in select locations without human drivers. A 2023 PwC report estimates that autonomous delivery technologies could replace 35% of delivery roles by 2035.

Read Top 10 Jobs at Risk Due to AI in the Transportation Industry.

Why These Jobs Are at Risk

  • Repetitive Tasks: Jobs involving routine or predictable tasks are highly susceptible to automation.
  • Cost Efficiency: AI systems reduce labor costs, making them appealing to retailers.
  • Customer Expectations: Consumers increasingly prefer fast, seamless, personalized AI-enabled experiences.

How Retail Professionals Can Adapt

  1. Upskilling: Learn to work with AI tools and systems, such as inventory management software and customer analytics platforms.
  2. Specialization: Focus on roles requiring creativity, empathy, and problem-solving, such as personalized customer care or strategic planning.
  3. Collaboration: Embrace AI as a partner to enhance productivity rather than a competitor.
  4. Continuous Learning: Stay informed about emerging technologies and retail trends to remain competitive.

Broader Implications of AI in Retail

While AI poses risks to certain jobs, it also creates new opportunities in areas like AI system development, data analytics, and customer experience design. Retail professionals who adapt to these changes can transition into higher-value roles, contributing to innovation and growth in the industry.

Conclusion

AI is reshaping the retail industry by automating repetitive tasks and enhancing operational efficiency. While certain jobs are at risk, adopting AI also presents opportunities for growth and innovation. Retail professionals can navigate this transition by focusing on upskilling, specialization, and collaboration and securing their roles in an AI-driven future.

Author
  • Fredrik Filipsson has 20 years of experience in Oracle license management, including nine years working at Oracle and 11 years as a consultant, assisting major global clients with complex Oracle licensing issues. Before his work in Oracle licensing, he gained valuable expertise in IBM, SAP, and Salesforce licensing through his time at IBM. In addition, Fredrik has played a leading role in AI initiatives and is a successful entrepreneur, co-founding Redress Compliance and several other companies.

    View all posts