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How AI Can Even the Playing Field Between Independent Retailers and Large Chains

AI adoption is reshaping retail—and it’s not just the big players driving change. For small businesses, artificial intelligence could be the great equalizer, empowering local shops to compete with major retailers like never before.

📢 Hey, Retailist Roundup readers! Can AI be the game-changer that helps small retailers compete on the same level as big-box giants?

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Decision-makers can apply this technology to other business aspects to streamline processes and enhance decision-making. It can act autonomously with minimal oversight, so implementation would not significantly impact their day-to-day duties.

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In the news: Top headlines this week

US holiday sales set to top $1 trillion for the first time, NRF forecasts. U.S. holiday sales are projected to top $1 trillion for the first time, according to the National Retail Federation, though growth is expected to slow as economic pressures dampen consumer sentiment. [Reuters]

US companies step up job cuts amid uncertain economy. U.S. companies are ramping up job cuts in 2025 as they focus on cost savings and efficiency amid economic headwinds. IBM announced plans to cut thousands of jobs to refocus on its software business, following GM’s decision last week to eliminate about 3,300 positions. [Reuters]

Retailers are raising prices to meet tariffs. Amazon is hiking more than others​. Prices at Amazon, Walmart, and Target have risen this year as retailers face higher costs from tariffs. An analysis by DataWeave found Amazon’s prices increased the most across several categories, as third-party sellers passed tariff-related costs on to consumers. [CNBC]

Dollar General eyes AI optimization with new role. Dollar General has appointed Travis Nixon as senior vice president of artificial intelligence optimization, a new role focused on using AI to enhance efficiency across supply chain, store operations, and merchandising. Nixon previously led AI efforts at Dropbox and held leadership roles at Meta and Microsoft. [Retail Dive]

More Americans prefer buy now, pay later options over store credit cards. Buy now, pay later (BNPL) loans have surpassed store credit cards in popularity, according to LendingTree’s 2025 Store Credit Card Report. Over half of consumers (53%) now prefer BNPL, up from 42% last year, with the strongest adoption among parents of young children, millennials, Gen Zers, and men. [CSA]

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