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Retail execs debate where AI belongs—and where humans must stay in charge | AI Best Practices for Commerce | AI Best Practices for Commerce
  1. News
  2. › Retailers adopt AI agents while guarding sensitive operations
  3. › Jun 25, 2026
Retailers adopt AI agents while guarding sensitive operationsThursday, June 25, 2026
  • Retail / DTC › Clothing and Clothing Accessories Retailers
  • Retail / DTC › Department Stores
LLMJD Finish LineKendra ScottPandoraTecovasUltaAI tool · ulta

Retail execs debate where AI belongs—and where humans must stay in charge

At CommerceNext Growth Summit, retail leaders shared where they're deploying AI—from email management to customer service—and where they're drawing hard lines, such as in-store customer interactions and creative imagery. The emerging consensus: AI should augment employee capability and guest experience, not replace human judgment or erode brand authenticity.

AI-generated. Summaries are AI-generated from cited sources. Click through for the original report.

Retail and brand executives are becoming more intentional about where AI fits into their operations and where it does not. At the CommerceNext Growth Summit in New York, leaders discussed deploying AI for internal tasks like email management and customer service, while explicitly excluding it from certain customer-facing touchpoints. Tecovas Chief Retail Officer Kim Heidt emphasized that store associates should focus on authentic human conversations with customers rather than relying on technology. In contrast, Ulta launched an AI tool that associates can use to access product information and trends, designed to help employees spend more time with guests by removing friction from the interaction.

On the creative front, retailers are drawing clear boundaries around AI's role. Pandora's Vice President of E-Commerce Elizabeth Garry stated that the brand will never use AI-generated imagery for model photos or on-skin product displays, believing that customers need to see real people wearing jewelry to psychologically connect with products. However, Pandora is testing AI for 360-degree product rotations and has deployed AI agents for customer service and intent-recognition during shopping. Authentic Brands Group has built brand-specific knowledge bases that include public brand information and internal communication guidelines, with humans remaining in the loop to prompt, iterate, and fine-tune AI responses before they reach customers. JD Finish Line uses AI propensity modeling to route customer inquiries—directing high-risk cases (such as difficult delivery addresses) directly to humans while using AI agents for other interactions.

The overarching theme is that commerce leaders view AI as a competency to be deployed strategically around clear business objectives, not as a universal replacement for human judgment. Executives emphasize that AI should make employees' lives easier and elevate the guest experience; if it does not deliver on both fronts, it should be questioned. This measured approach reflects a maturing understanding of AI's role in retail—one where authenticity, brand voice, and human connection remain non-negotiable, while operational efficiency and data-driven personalization drive adoption in back-office and service functions.

Sources:1 report
  • Modern Retail
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ShareLast updated: June 25, 2026