Transforming Holiday Retail: Top Tech Trends for Holiday Shopping Success

Retail Online Training


As the holiday season looms, are you stepping up to capture the attention of your increasingly discerning shoppers?

Amid a whirlwind of deals and limited-time offers, one thing has become clear: traditional advertising alone isn’t cutting it anymore. 

Consumers, armed with an ever-growing range of choices, crave deeper, more interactive shopping experiences that go beyond the basic scroll. 

This is where you need to rise to the occasion, provide them with a shopping experience that will delight and excite them – make sure they choose your brand for their holiday shopping and not your competition.

I gathered here the trends and the retail tech for the holiday season to help you achieve just that.

 

Holiday Shopping Trends in 2024

As holiday shopping accelerates towards Black Friday and Cyber Monday, retailers are preparing to capture a share of the record-breaking $271 billion U.S. holiday sales forecast for 2024, with $241 billion expected in online spending. Retailers face both an unprecedented opportunity and challenge: cutting through an endless wave of promotions to stand out and convert customers amidst intense competition.

With shoppers’ preferences shifting more online, especially via mobile (projected to make up over half of all holiday sales), and flexible payment options like Buy Now, Pay Later (BNPL) projected to exceed $993 million in Cyber Monday spending alone, tech innovation is vital to streamline operations, increase personalization, and engage audiences effectively.

This guide spotlights retail tech for the holiday season, and key strategies and associated emerging tech solutions in key areas that every retailer and brand should address this holiday season. 

 

Create Personalized Experiences 

Holiday shoppers crave experiences that feel uniquely crafted to their needs. As 64% plan to shop online, the demand for hyper-personalization is high, with brands leveraging data analytics to tailor experiences. Retailers can harness tools like predictive insights, personalized offers, and AI-driven recommendations to make each customer journey feel distinct, improving conversion rates.

Startups in the space iclude platforms emphasize real-time customization, responsive product displays, and privacy-friendly insights to create a shopping environment that feels intuitive and engaging for each user: Twik (real-time personalization), Anagog (behavioral insights), Kahoona (privacy-conscious personalization), and Kimonix (AI merchandising). For creating personalized experiences, these are our top picsk for retail tech for the holiday season.

 

Use Video Commerce and User Generated Content (UGC) to Drive Engagement and Conversion

Capturing and holding attention is crucial as consumers browse dozens of deals. Video commerce comes into the forefront here, and delivers authenticity and interactive shopping experiences. Shoppers are more likely to convert when they can engage with shoppable videos, live shopping, and genuine customer reviews, which build trust and offer a unique touchpoint in crowded feeds. As such, a solution of this sort is the retail tech for the holiday season that is needed.

Leveraging tools like buywith’s video commerce platforms, brands can host live shopping sessions and embed interactive video snippets on product pages and social media, providing visual insights that drive purchasing confidence. As the challenge of gaining consumer attention has never been greater, video commerce tackles this by enabling real-time interaction and showcasing products in an authentic, dynamic way. Shoppable videos snippets created by buywith’s AI powered tool allow consumers to see short form videos and experience a product virtually and quickly find the information they need without leaving the video, streamlining their path to purchase. Shoppable snippets provide concise, targeted content that lets users purchase items directly from short clips tailored to their specific interests, giving consumers the convenience of making quick purchase decisions on the go.

What goes hand in hand with video commerce is authenticity: consumers today prioritize authenticity in their holiday purchases, with product reviews and creator endorsements resonating strongly. Around 75% of consumers view creator product reviews as highly persuasive, and Gen Z especially values content from influencers they already trust. Creating content with real users or trusted creators provides the social proof necessary to drive conversions, a strategy especially important during the holiday decision-making crunch.

Retail tech platforms for the holiday season like buywith are able to repurpose longer form creator driven content like livestreams, as aforementioned. Also, D-ID offers AI-driven video creation, helping brands humanize their content through dynamic, realistic videos. And in addition, Loox helps build trust by integrating user-generated photo and video reviews into e-commerce sites that are hosted on Shopify storefronts. These add authenticity and reliability to online shoppers, who might be shopping on the likes of TikTok, especially Gen Z. Fun fact: a survey revealed that nearly 54% of Gen Z users plan to use TikTok to shop directly this holiday season, showing a clear trend toward mobile-first, platform-native content. 

 

Improve Product Visualization with AI and Augmented Reality 

With high return rates being a costly issue, AR and 3D visualization are proving invaluable in helping shoppers better understand products before they buy. Enhanced product visualization not only improves the buyer experience but also reduces returns, contributing to a more profitable holiday season. This can be achieved with AR and AI alike, and by finding retail tech for the holiday season that can fit.

Tools like Hexa’s 3D modeling allow customers to “try” products, enhancing confidence while decreasing return rates—a major advantage during the holiday rush. D-ID offers AI-driven video creation, helping brands humanize their content through dynamic, realistic videos, while WeR is an AI+AR software that helps retailers optimize in-store sales conversions and logistical operations.

Similarly, AI is transforming retail tech for the holiday season by streamlining content creation, customer service, and marketing. From crafting visuals for social media to predicting customer behavior, generative AI helps retailers meet holiday demands without overextending their teams. There are plenty of other stellar startups in the space, like Bria (visual content generation) and Tasq.ai (AI data accuracy).

 

Integrate Online and Offline (In Store) Experiences

Even in a digitally dominated landscape, physical stores still play a critical role. AI tools now allow brands to optimize in-store operations, from inventory management to layout adjustments, aligning with online insights to create a seamless cross-channel shopping experience.

Platforms like AriGo’s AI-driven recommendations help retail teams optimize product placement and monitor stockouts in real time, making sure stores are ready for holiday shoppers’ demands. Meanwhile, iCape’s AI driven, hardware agnostic solution enables bricks and mortar environments to digitize and generate data of their physical customer behavior as that of online customer. 

Meanwhile, as online traffic surges, a well-optimized website becomes vital. AI-based testing and customization can help sites load faster, display trending products prominently, and adapt layouts to keep customers engaged. On platforms like Amazon, optimized storefronts increase discoverability and improve conversion rates. There are several retail tech for the holiday season that can aid with improving this further.

Moonshot uses AI analyzes an ecommerce site’s behaviour and measure performance versus comparable stores, construct variants using Gen-AI, and automatically changes the website’s front-end, with no developer or code needed.

With Amazon sales becoming a holiday staple, solutions like Cluster’s data analytics refine storefront performance, ensuring that brands capture holiday traffic and make the most of every site visit. And similarly, Noogata as a data intelligence platform, empowers brands hosted on Amazon, to analyze shopping patterns and behaviors. Bright Insights from Bright Data also addresses these issues by providing real-time, AI-driven ecommerce insights across all marketplaces, languages, and countries. It also delivers access to metrics like competitor pricing, consumer trends, and market share, retailers can respond swiftly to market shifts, making strategic adjustments that ensure they remain agile and competitive throughout the holiday season.

 

Manage the Operations Cycle from Analytics to Inventory and Fulfillment 

Managing inventory efficiently is essential to meet demand without overstocking or losing sales to out-of-stock products. Retail tech for the holiday season focused on analytics, real-time inventory tracking, and optimized fulfillment enable retailers to balance supply and demand, especially when trends fluctuate rapidly.

There are plenty of startups in this space: Nexite (real-time inventory), ShopperAI (in-store behavior insights), Adapt (product selection and demand forecasting), Renbizz (rental/resale models), and Belle AI (digital catalog content creation). AI-driven platforms like Marketeam provide data-rich customer segmentation and targeted campaign creation, enabling brands to deliver impactful, personalized holiday messaging without increasing team resources. These solutions provide insights from both digital and in-store activities, giving brands the data-driven clarity to forecast demand accurately, avoid stockouts, and optimize fulfillment operations—ensuring seamless holiday shopping experiences.

 

Happy Shopping

With weeks left before the shopping season, retailers can still implement select retail tech for the holiday season to make a tangible difference in their holiday performance. 

Just think about yourself as a shopper – what are the elements that will make your own shopping experience delightful? 

I bet it will be personalization, ease of finding what you’re looking for, faster fulfillment – to achieve all that brands need to be agile, data-driven, and customer-focused. Invest now and your brand will be better positioned to capitalize on this season’s shopping surge, delighting customers and driving sustained growth into the new year.



Retail Online Training