March Retail Roundup

Moving faster but carrying more weight

Looking back at March, it felt like momentum and moving shifts everywhere. Reflecting back, it’s a bit of a stormy time for the retail community.

AI accelerated, costs climbed, tariffs returned, consumers became harder to read and retail somehow tried to hold optimism and anxiety in the same hand.

It was also a month where the industry stopped talking about AI as future-state innovation and started confronting what it actually means operationally, commercially and culturally.

Here’s what stood out.

Shoptalk: AI is now expected

If February was about proof points, March was about operational expectation.

Shoptalk Spring 2026 landed with a very clear message: AI is no longer a pilot programme. It’s becoming infrastructure.

The phrase repeated throughout the event? “Keep humans in the loop.”

Well, that's good to hear.

If you were at Shoptalk you would have noticed that the tone shifted, noticeably! Retailers are no longer being asked whether they’re experimenting with AI. The pressure now is proving where it’s delivering meaningful value.

We’ve spent months hearing “AI is finally here.” But March felt different because retailers started showing measurable impact at scale, while simultaneously being challenged on execution, integration and ROI.

Adobe reported AI-driven shopping traffic surged 393 percent year-on-year in Q1, with March alone up 269 percent. Even more interesting, shoppers arriving from AI-driven discovery sources showed 12 percent higher engagement than traditional traffic.

The shift from search-driven commerce to AI-assisted discovery is happening in real time.

And the examples kept coming.

Macy’s AI shopping assistant showed users spending 400 percent more than non-users. Shopify confirmed merchants’ products will soon be discoverable and purchasable directly inside ChatGPT. FedEx announced plans to integrate AI agents across more than half its systems by 2028.

Even PUMA launched an AI Store Concierge at its Las Vegas flagship, offering multilingual support and athlete performance insights.

AI is no longer sitting in the innovation lab. It’s moving onto the store floor.

Retail media became the power play

One of the biggest strategic shifts of March sat inside retail media.

At Shoptalk, Google unveiled its Commerce Media Suite, combining Kroger’s first-party shopper data with YouTube reach and Google AI targeting capabilities.

Retail media is now way more than banner ads on retailer websites. It’s becoming the connective tissue between shopping behaviour, intent, content and advertising ecosystems.

As Kroger Precision Marketing’s Christine Foster put it:

“If you know the cart, you know the heart.”

That line stuck with me. It perfectly captures where the value now sits; not in impressions, or even traffic but rather in behavioural intelligence.

The middle of retail is getting squeezed

March crystallised something that’s been building for a while now too. Retail is increasingly splitting into two ends of the spectrum: value and premium. And the middle ground is becoming a very uncomfortable place to operate.

Amazon overtook Kroger to become America’s second-largest grocer, a milestone that somehow didn’t make nearly enough noise. Meanwhile, Albertsons continued store closures and job cuts following the blocked Kroger merger, while Aldi accelerated plans to open around 180 new US stores next year.

Value players are winning. Premium players are holding their ground.

Mid-market retailers are finding life harder.

The same thing showed up elsewhere; Papa John’s announced plans to close 300 stores while Domino’s surged ahead with value-led momentum. Saks continued restructuring. Target expanded Levi’s into more stores while simultaneously cutting prices on thousands of items.

Consumers are still spending but from the data, they’re shopping with far more intention.

Consumers felt anxious… but shopping continued

This contradiction sat underneath almost every retail story in March.

Consumer sentiment fell to 55.5 amid concerns around rising fuel prices, mortgage pressure and broader instability linked to the Iran conflict.

More than 37 percent of Americans used Buy Now Pay Later services within the previous 90 days, up significantly year-on-year.

And yet Easter spending was forecast to hit record highs. Limited-edition drops still sold out instantly. TikTok Shop continued exploding. Walmart kept growing.

The consumer right now feels cautious, stretched and emotionally tired. But good news, they are still active. I'm not sure this even makes any sense. 

GLP-1. Wellness trend to retail reality

March was also the month the fashion industry stopped treating GLP-1 drugs as a niche conversation.

Analysts estimated up to $13 billion in additional apparel spending could emerge as users replace wardrobes following weight loss.

Activewear, denim and off-price retail emerged as likely winners.

At the same time, plus-size shoppers increasingly raised concerns around shrinking size availability and the cultural shift back toward thinner body ideals.

Culture is now driving commerce almost instantly

Retail and entertainment now move almost simultaneously. Let me explain:

Build-A-Bear expanded through Walmart. Sally Beauty leaned further into TikTok Shop. POP MART announced plans for a Labubu feature film with Sony. JCPenney hosted “The Other Paris Runway” in Texas, leaning hard into accessible, community-led fashion storytelling.

(Last month the Super Bowl reminded us that visibility still drives velocity).

The difference now is speed. Moments become products almost instantly.

War, tariffs + economic pressure

It felt impossible to separate retail from geopolitics in March.

Conflict in Iran pushed oil prices higher, placing fresh pressure on transport, logistics and supply chains. Tariff turbulence returned after the Supreme Court struck down sweeping global tariffs, triggering lawsuits and fresh trade investigations.

Brands including L’Oréal, Dyson and Bausch + Lomb became caught in the fallout as retailers braced for renewed pricing volatility.

At the same time, Amazon announced massive AI infrastructure investment while continuing layoffs. Block cut 4,000 jobs. eBay reduced headcount shortly after major acquisition activity.

Retail is still investing aggressively, just much more selectively.

March = sprinting through treacle?

There’s momentum everywhere. AI is scaling. Retailers are investing. Consumers are still spending. But there’s also resistance coming from every direction; economic pressure, geopolitical instability, rising costs and growing expectations.

Everything is moving fast, but it's not friction-free!