Australian retailers face growing challenges to meet evolving customer expectations while maintaining operational efficiency and competitiveness.

Artificial intelligence (AI) offers unparalleled potential to address these demands; however, its adoption can expose gaps in strategy, leadership, and workforce readiness. Retailers must move beyond superficial implementations and focus on building AI maturity by aligning technology investments with business goals to deliver meaningful outcomes.

Achieving AI maturity is not just about the technology stack; it requires a culture of innovation that empowers teams through education, with leadership that drives cohesive strategies. Retailers can transform AI from a buzzword into a business enabler that enhances customer experiences, streamlines operations, and futureproofs organisations in a competitive market by addressing these elements.

Enhancing employee confidence

A foundational step in building AI maturity is enhancing employee confidence and competence. TeamViewer’s 2024 AI Opportunity Report revealed that 79 per cent of decision-makers globally use AI in their jobs at least weekly, while more than one-third (35 per cent) use it daily.[1]

The appetite for AI is strong; however, its use is inconsistent, and not all users believe they are well-versed in the technology. In fact, 59 per cent of decision-makers would not even classify themselves as “proficient”.[2]

A comprehensive training program is essential to empower staff at all levels to understand and leverage AI effectively. This involves demystifying the technology and addressing concerns about its complexity or potential impact on roles. Retailers that prioritise training create a workforce capable of engaging with AI as both an everyday tool and a catalyst for innovation and problem-solving.

Aligning AI and business objectives

AI adoption also needs to start at the top of the organisation; building trust in AI leadership is a critical strategy to bridge the gap between ambition and execution. Retailers should consider appointing a dedicated role, such as chief AI officer, to lead AI initiatives aligned with business objectives.

This ensures accountability, provides strategic direction, and bridges the communication gap between technical teams and business leaders. Leadership can set the tone for broader organisational buy-in and cohesive execution across departments by actively driving AI efforts.

Retailers must also embrace an iterative approach to AI deployment. Large-scale rollouts can be resource-intensive and risky, especially without existing AI experience. Starting with pilot projects in controlled business areas lets retailers refine strategies, measure return on investment (ROI), and identify obstacles early. These smaller-scale successes create a foundation for scaled adoption, demonstrating value to stakeholders and reducing resistance to broader implementation.

Developing a data strategy

Data and collaboration are equally critical. Retailers often operate in silos, with fragmented data sources limiting actionable insights. Developing an integrated data strategy that facilitates collaboration across departments is key to unlocking AI’s potential. Harnessing data effectively with AI will provide insights that inform decision-making, optimise inventory, and enhance customer experiences.

Interdepartmental collaboration should underpin AI implementation. For a more cohesive approach, AI should move beyond IT to intersect with marketing, operations, customer service, and more to drive adoption and deliver tangible business benefits.

Collaborating with AI partners

Fostering partnerships with AI vendors or consultants who bring expertise in navigating AI adoption complexities is critical. Retailers often face barriers in understanding how to customise AI tools for their unique challenges. Collaborating with experienced partners provides access to tailored solutions, accelerates deployment, and optimises AI systems for specific use cases. These partnerships also help mitigate risks, such as regulatory compliance or data privacy concerns, which hinder adoption.

Retailers should not underestimate continuous evaluation and feedback in AI implementation. Establishing metrics to track the performance of AI initiatives keeps efforts aligned with organisational goals. Feedback loops also support teams to adapt strategies as they learn, improving both the effectiveness of AI tools and the confidence of employees in their use. Regularly revisiting and refining these processes helps maintain momentum, ensuring that AI adoption evolves alongside the business’s needs.

Ultimately, retailers that embrace AI with a structured and strategic approach position themselves for long-term success. Investing in leadership, training, data strategies, and collaborative practices in tandem bridges the gap between AI ambition and execution. This commitment to AI maturity drives immediate gains and equips retailers to navigate future challenges with confidence.

Andrew Belger is head of sales for Australia & New Zealand at TeamViewer.

[1] https://teamviewer.scene7.com/is/content/teamviewergmbh/teamviewer/central-image-hub/pdf/en/teamviewer-ai-opportunity-report-en.pdf

[2] https://teamviewer.scene7.com/is/content/teamviewergmbh/teamviewer/central-image-hub/pdf/en/teamviewer-ai-opportunity-report-en.pdf