According to a new report issued by tech giant Nvidia titled “State of AI in Retail and CPG: 2026 Trends,” nearly all retail businesses are engaged with AI solutions as of this writing. The data provided indicates that a vast majority, 91% to be precise, of retailers are either actively using or assessing AI tools in some way, shape, or form.

“Across the business landscape, companies are transitioning from running numerous AI pilots to selecting and scaling solutions with proven business value. This trend is especially pronounced in retail and CPG, where active AI usage has significantly increased, and the share of organizations assessing AI has fallen 14 percentage points year over year,” a portion of the executive summary read.

Among the shifts noted by Nvidia: The maturation curve appears to be deepening. More than half (58%) of respondents indicated that their operations were actively rolling out AI tools, up 16 percentage points from the 42% figure registered in 2024. Conversely, about one-third (33%) suggested their businesses were engaged in assessing the viability of AI integrations, a statistic which fell by nearly the same measure (down by 14%, from 2024’s figure of 47%).

Other notable data points pulled from the report:

Retailers say AI is slashing costs while boosting income: An overwhelming majority of those surveyed (95%) stated that AI deployment was decreasing annual operating costs, and only a slightly smaller cohort (89%) said that it was driving increases in yearly revenue.

Retail enterprises remain optimistic on AI-enhancements in supply chain: When it comes to streamlining the supply chain, retailers who responded to the Nvidia poll were near unanimous in stating that AI solutions were helping curtail supply chain costs on an yearly basis (91%). A little over half (51%) said that they were currently leveraging AI to address “operational throughput and efficiency” in their supply chains.

Objective versus outcomes: Retailers suggested three major objectives tied to AI usage — creating operational efficiencies (45%), improving customer experiences (38%), and improving employee productivity (29%). However, those same respondents indicated that they were not only meeting, but beating their initial goals. On the creation of operational efficiencies, 52% reported progress due to AI; on the improvement of customer experiences, 41% said as much; and concerning employee productivity based on AI involvement, 54% noted improvements.

Agentic AI was deployed by 20% of retailers, with an even greater proportion (21%) planning deployment at some time in 2026: Over half of those planning to do so, or whom had already done so, cited increased process and efficiency outcomes as the primary motivator (57%). The next motivating factors were an enhanced customer experience and personalization measures (40%), improved decision-making involving real-time data (40%), increased ability to maneuver to address volatility or demand shifts (30%), and the reduction of operational costs (27%).

The Top Barrier to AI Adoption in Retail, Per Nvidia? A Lack of Talent

Nvidia was quick to highlight one massive problem tied to the breakneck pace of AI adoption in the retail and CPG spheres: a distinct lack of skilled manpower at hand.

“The AI talent shortage has intensified, rising from 31 percent last year to 46 percent this year, and is now the primary implementation barrier. This increase reflects both the surge in AI adoption and the rise of specialized technologies like agentic AI,” the study authors wrote.

“The shortage has real business implications. While 92 percent of executives plan to increase AI budgets, the lack of skilled talent can create a bottleneck where investment appetite exceeds execution capacity. Organizations that address this gap through hiring, strategic partnerships, or upskilling will gain a decisive advantage, translating AI ambitions into operational impact,” they added.