UK consumers lose trust as retailers invest more in AI
New research highlights that UK consumers remain sceptical about brands' use of artificial intelligence (AI), despite retailers' growing investments in the technology.
The AI in Retail Report from SAP Emarsys, based on a survey of 2,000 UK consumers and 250 UK marketers, indicates that a significant divide has formed between what companies are delivering with AI and what shoppers actually value or expect.
Trust gap
According to the report, 57% of UK consumers have little-to-no trust in brands to use AI responsibly. Confidence in AI's data privacy has also decreased sharply, with 76% of UK shoppers lacking confidence in data privacy when AI is involved - a drop of 41% compared to 2024 figures.
Despite improvements in convenience, with 57% agreeing that AI makes shopping easier, a majority remain unconvinced that their data is being used in a beneficial way. Only 19% of consumers surveyed thought they receive sufficient value in exchange for their data.
The report further highlights that British shoppers now rank as the least confident globally regarding the way brands use their data. Consumers routinely share information such as personal details, purchase history, and browsing behaviours, but many feel the return is unsatisfactory. Issues include repetitive or irrelevant messaging and a lack of clarity over how their information is used.
Retailers' response
In contrast to consumer hesitancy, brands appear to be increasing their embrace of AI solutions. 87% of UK marketers are already utilising AI in some form, and 63% plan to increase their AI investments this year. The intention is to use AI to personalise experiences and communicate more effectively, yet the perceived gap in value exchange remains prominent among shoppers.
"We're in a new kind of loyalty economy - driven by AI, but built on trust," said Sara Richter, CMO at SAP Emarsys. "Many brands are now in what we call the Engagement Era - where speed and personalisation are expected, but it's the value exchange that sets leaders apart. The real magic happens behind the scenes, when brands like Gibson use AI to better understand their customers and connect in a way that feels meaningful, not manipulative. That's where SAP Emarsys helps, empowering marketers to build trust, deliver relevance, and earn lasting loyalty.
She added, "We do this by helping brands personalise with purpose, act on data in real time, and cut through complexity. Most importantly, we make it easier to build loyalty through transparency and relevance, turning dark data into something useful, not just something collected."
Case study: Gibson Guitars
The report includes a case study from Gibson Guitars, a brand that transitioned from traditional retail to a direct-to-consumer model with support from SAP Emarsys. As a result of adopting AI-driven engagement, Gibson reported a 50% increase in email revenue, doubled engagement rates, and grew automation-led revenue from 0% to over 40%.
Reflecting on this transformation, Sterling Doak, Head of Marketing at Gibson, stated, "We're not selling t-shirts, we're selling guitars. AI helps us personalise with purpose, without losing the soul of the brand."
Methodology
The research was conducted by Opinium and included 10,000 general respondents and 1,250 marketers across the United Kingdom, United States, Germany, Taiwan, and United Arab Emirates. Data was collected between 11-18 March 2025, with methodology adhering to the Market Research Society and ESOMAR codes and British Polling Council membership confirmed.
Globally, the data reflects a changing landscape in customer expectations concerning data privacy and personalisation, particularly in the retail sector, driven by increased use of AI by brands and subdued confidence in its responsible use among shoppers.
