Smart Retail Market Report 2025

This Smart Retail report covers market characteristics, size and growth, segmentation, regional and country breakdowns, competitive landscape, market shares, trends and strategies for this market. It traces the market’s historic and forecast market growth by geography.

The smart retail market size has grown exponentially in recent years. It will grow from $54.56 billion in 2024 to $67.73 billion in 2025 at a compound annual growth rate (CAGR) of 24.1%. The growth in the historic period can be attributed to consumer demand, data analytics, mobile connectivity.

The smart retail market size is expected to see exponential growth in the next few years. It will grow to $162.71 billion in 2029 at a compound annual growth rate (CAGR) of 24.5%. The growth in the forecast period can be attributed to 5G implementation, contactless solutions, sustainability initiatives. Major trends in the forecast period include augmented reality (AR) and virtual reality (VR), technology advancements, expanded use of internet of things (IoT), localization and personalization, blockchain for supply chain transparency, multi-channel retailing.

The growth of the smart retail market is anticipated to be propelled by the increasing utilization of robots and automation. Automation involves deploying autonomous physical devices, computer programs, and other technologies to perform tasks traditionally carried out by humans. Robotics entails designing, developing, and deploying machines for task execution. By automating processes related to alerts and real-time monitoring of client opinions, robots and automation enhance collaboration between R&D, manufacturing, and marketing departments. The convenience offered by robots and automation in shopping significantly boosts the demand for the smart retail market. As per a report from the International Federation of Robotics in October 2022, there was a 31% year-on-year increase, with 517,385 industrial robots in use globally. Hence, the escalating use of robots and automation is a driving force behind the smart retail market's growth.

The increasing adoption of artificial intelligence (AI) is expected to drive the smart retail market's growth. Artificial intelligence, a field of computer science focused on creating intelligent machines capable of human-like tasks, optimizes inventory management and enhances customer experiences through personalized recommendations and efficient supply chain operations. According to The International Business Machines Corporation (IBM), a US-based technology company, 35% of businesses worldwide utilized artificial intelligence (AI) in 2022, marking a 4% increase from 2021. Thus, the rising adoption of AI is a significant factor propelling the smart retail market's growth.

Technological advancement is a significant trend gaining traction in the smart retail market. Leading companies in this sector are concentrating on creating new technological solutions to enhance their market position. For example, in February 2023, Singtel, a telecommunications company based in Singapore, introduced the country's first 5G-enabled smart retail showcase. This innovative initiative employs 5G technology to improve the retail experience for both consumers and businesses. Launched as part of Singapore's efforts to digitize and modernize its retail sector, this showcase highlights the potential of 5G to deliver immersive and interactive shopping experiences.

Major companies in the smart retail market are intensifying their focus on introducing innovative retail solutions to gain a competitive advantage. Innovative retail solutions involve creative and technology-driven approaches that enhance the shopping experience, optimize operations, and drive customer engagement and satisfaction. For example, in September 2023, LTIMindtree, an India-based information technology company, launched AdSpark and Smart Service Operations solutions tailored for the retail industry. AdSpark, powered by LTIMindtree and Salesforce, provides self-service capabilities across various channels, including digital, social, in-store, out-of-facility (OOF), and print. Smart Service Operations focuses on delivering self-service capabilities and support across channels like digital, social, and in-store.

In April 2024, Advantech Co., Ltd., a Taiwan-based provider of embedded and automation products and solutions, acquired Aures Technologies SA for an undisclosed sum. The purpose of this acquisition is to reinforce its position in the intelligent retail sector and improve its product offerings within the expanding market for retail automation and digitalization. Aures Technologies SA is a France-based company that specializes in designing and manufacturing Point of Sale (POS) systems and self-service kiosks.

Major companies operating in the smart retail market include Honeywell International Inc., Huawei Technologies Co. Ltd., LG Display Co. Ltd., Intel Corporation, Samsung Electronics Co. Ltd., Verifone Inc., International Business Machines Corporation (IBM), Cisco Systems Inc., Ingenico Group S. A., Amazon. com Inc., NCR Corporation, PAX Global Technology Limited, Fiserv Inc., Google LLC, AWM Smart Shelf, Bossa Nova Robotics Inc., Robert Bosch GmbH, Microsoft Corporation, NVIDIA Corporation, NXP Semiconductors NV, Trigo Vision Ltd., PTC Inc., Prismview LLC, NEC Display Solutions Ltd., Elo Touch Solutions Inc., E Ink Holdings Inc., Diebold Nixdorf Inc., ComQi Inc., Bluebird Inc., Advantech Co. Ltd., 3M Company.

North America was the largest region in the smart retail market in 2024. Asia-Pacific is expected to be the fastest-growing region in the smart retail market share during the forecast period. The regions covered in the smart retail market report are Asia-Pacific, Western Europe, Eastern Europe, North America, South America, Middle East, Africa. The countries covered in the smart retail market report are Australia, Brazil, China, France, Germany, India, Indonesia, Japan, Russia, South Korea, UK, USA, Italy, Canada, Spain.

Smart retail involves the application of intelligent technologies in commerce to enhance the purchase experience for consumers and businesses, providing a better, faster, safer, and more convenient shopping experience through digital enhancements to traditional retail.

The primary systems in smart retail include digital signage solutions, smart labels, smart payment systems, intelligent vending machines, augmented reality solutions, virtual reality solutions, and others. Digital signage utilizes digital screens to display information, advertisements, or other content, serving purposes such as wayfinding, communications, marketing, and outdoor advertising. Various technologies, including visual recognition, blockchain, artificial intelligence, and mobile applications, are employed in foot-traffic monitoring, inventory management, loyalty programs, payment processing, predictive equipment maintenance, brand protection, and other applications within smart retail environments.

The smart retail market research report is one of a series of new reports that provides smart retail market statistics, including smart retail industry global market size, regional shares, competitors with a smart retail market share, detailed smart retail market segments, market trends and opportunities, and any further data you may need to thrive in the smart retail industry. This smart retail market research report delivers a complete perspective of everything you need, with an in-depth analysis of the current and future scenario of the industry.

The smart retail market includes revenues earned by entities by data management, business consulting, data analytics, internet of things (IoT), and cloud. The smart retail market value includes the value of related goods sold by the service provider or included within the service offering. Only goods and services traded between entities or sold to end consumers are included.

The market value is defined as the revenues that enterprises gain from the sale of goods and/or services within the specified market and geography through sales, grants, or donations in terms of the currency (in USD, unless otherwise specified).

The revenues for a specified geography are consumption values that are revenues generated by organizations in the specified geography within the market, irrespective of where they are produced. It does not include revenues from resales along the supply chain, either further along the supply chain or as part of other products.

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