Nearly all large US retailers plan to use AI to enhance the shopping experience this holiday season: Survey

FedEx Corp’s recent 2025 Holiday Season E-Commerce Trends report reveals that nearly all large US retailers (97%) surveyed plan to use AI to enhance the shopping experience this holiday season. Retailers are expected to incorporate AI tools including chatbots for improved customer service, audience targeting, inventory management and pricing optimisation, highlighted a release.

Survey highlights

* AI is enhancing online shopping for retailers and consumers:

AI and personalisation are at the forefront for large businesses as consumers prioritise free shipping, flexible return policies and avoiding shipping fees. Retailers seek to personalise the shopping experience by leveraging past customer behaviour to make recommendations and incorporate AI chatbots, tools for audience targeting, inventory management and more. On the consumer side, four in 10 plan to use AI this holiday season primarily to find the best deals, get gift ideas, compare product features and research brands.

* Cost and returns shape decisions:

Shipping costs (82%), promotions (74%) and return policies (54%) are the top factors influencing where consumers shop. Returns are especially influential this season, as 65% of shoppers expect retailers to offer free return options, reinforcing the importance of a seamless post-purchase experience.

* Merchant return policies are split by size: 

Thirty-six per cent of merchants are offering free returns or exchanges within 30 days and 26% are not offering any free returns or exchanges. This difference is driven primarily by the size of the business. Eighty-four per cent of large businesses offer free returns or exchanges for up to two months, while 37% of small and 39% of medium businesses do not offer free returns or exchanges.

Please visit our youtube channel https://www.youtube.com/@ikargos2719 for fortnightly logistics news analysis and more!