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The 5G team recently had the pleasure of attending the Future of Commerce Summit hosted by the University of Arkansas. The presentations at the summit were unique in that the focus was not simply AI in retail; the deep dive was retailers adapting to agentic AI.
Today’s agentic AI acts autonomously, anticipating customer needs, recommending actions, and even executing tasks, transforming commerce from end-to-end. From chatbots that answer questions to digital employees that proactively run campaigns, manage inventory, or book orders, agentic AI is reshaping how suppliers, platforms, and consumers interact.
In this article, we’ll share highlights from the summit that explain the promise, reality, and practical applications of agentic AI for Walmart suppliers, helping you navigate this new era of retail innovation.
What is Agentic AI?
Agentic AI (sometimes called autonomous AI) is technology that doesn’t wait for human input. Instead, it observes patterns, makes recommendations, and takes action. Think of it as your digital employee:
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- A traditional chatbot responds when asked.
- An agentic AI proactively places reorders, adjusts marketing campaigns, or even analyzes campaign results to optimize performance.
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A striking example of AI adoption is ChatGPT, which hit Google’s 27-year search volume in just four years. As recently announced, Walmart is partnering with OpenAI to enable direct shopping via ChatGPT, letting customers browse and purchase from Walmart and Sam’s Club within a conversation. This is a glimpse into a future where commerce is proactive, personalized, and platform-driven.
Why Is This Important for Walmart Suppliers?
Agentic AI is not just a tech trend. Walmart suppliers should understand it’s a fundamental shift in where power and profit reside:
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- Traditional commerce gives merchants control over discovery and engagement.
- With agentic AI, platforms increasingly own the full customer relationship, from discovery to checkout.
- Suppliers who understand and leverage this shift can remain relevant and profitable in an ecosystem increasingly dominated by AI-driven platforms.
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For Walmart suppliers, this means thinking beyond product availability and pricing. It’s about aligning your operations, marketing, and customer experience with autonomous, AI-powered commerce.
The Promise of AI-Powered Commerce vs. Reality
The potential of agentic AI in retail is enormous. However, it is still “potential.” The hope and promise of agentic AI is:
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- Hyper-personalization: Tailored experiences anticipate customer needs.
- Seamless interfaces: Customers interact without friction, often invisibly.
- Radical transparency: Ingredient or product insights delivered instantly.
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Imagine a customer browsing Walmart.com: AI can highlight the most relevant products, recommend complementary items, and even optimize delivery (all without a single click beyond the initial search!). This is commerce designed around the customer’s journey, not the merchant’s convenience.
Great potential, but then there’s reality.
While the promise is exciting, the reality of implementing AI in retail comes with challenges:
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- Fragmented tech stacks and siloed data: AI is only as good as the data it can access.
- Shrinking attention spans: Consumers spend over an hour per day on TikTok but only 11 minutes on major retail sites.
- Reduced dependency on traditional discovery: Analysts forecast a 25% drop in paid search by 2030, driven by AI recommendations.
- Disruption fatigue: Constant tech changes can overwhelm brands and shoppers alike.
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For suppliers, this underscores the need to focus on practical solutions that deliver measurable value. How do Walmart suppliers bridge that gap between agentic AI hype to implementation?
To succeed with agentic AI in retail, suppliers need a strategic approach:
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- Solve real problems: Start with customer needs worth solving, not every shiny AI trend.
- Orchestrate, don’t control: Break silos and align systems, teams, and processes to work seamlessly with AI platforms.
- Measure what matters: Move beyond vanity metrics. Track KPIs like customer satisfaction, trust, and long-term value.
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Suppliers who adopt this mindset can transform AI from a buzzword into a competitive advantage.
Walmart Suppliers’ Advantage in an AI Era: Humans
Even in an era of autonomous commerce, humans still have the edge. AI can automate processes, analyze data, and even make recommendations, but it cannot replicate the uniquely human capabilities that drive innovation.
These capabilities remain critical:
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- Imagination: Seeing what’s possible before it exists.
- Insight: Understanding deeper truths behind data.
- Innovation: Creating from the unexpected.
- Intuition: Navigating gray areas machines can’t interpret.
- Interaction: Building relationships with empathy and trust.
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For Walmart suppliers, leaning into these human strengths ensures that AI amplifies your strategic vision, but does not replace it.
The Way Forward for Walmart Suppliers to Win with AI
For your company to be a success tomorrow, accept the fact that agentic AI in retail is here today. Suppliers who embrace it will gain an edge by:
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- Understanding the evolving AI-driven shopper journey
- Integrating AI into operations and marketing strategically
- Leveraging human strengths to complement AI capabilities
- Focusing on adding value, not just increasing transactions
- Changing how you play, not the game itself: Adapt to AI without losing your core strengths
- Driving impact remotely; AI allows influence beyond physical locations
- Solving short-term needs to earn long-term conversations: Build trust step by step
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Data informs customer decisions, but emotion drives them. Successful suppliers build systems that feel intuitive, solve real customer needs, and keep people (not just platforms) at the center.
Learn More From 5G!
There’s more to learn about making AI work for you, and the team at 5G is here to help. Do you have questions about which AI tools to use, how to integrate them into your processes, or even where to start? That’s where our team comes in!
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