Asia-Pacific region set to lead AI-powered shopping growth

THE ASIA-PACIFIC region is expected to lead the adoption of agentic artificial intelligence (AI) in shopping within the next two years, backed by its fast-growing middle class that will support retail sales and commerce, according to professional services firm Deloitte.

Deloitte’s “The future of commerce: Agentic shopping in Asia Pacific” report showed that 76% of consumer businesses are expected to adopt agentic AI within two years, surging from just 29% at present.

“Agentic AI will redefine commerce in Southeast Asia because this is a region where discovery, conversation and transaction already converge across super apps, social platforms and physical retail. As autonomous agents begin to act on behalf of consumers and businesses, they will sit at the center of the journey. This necessitates a redesign of product and service experience and data,” said Vivek Sharma, consumer industry leader, Deloitte Southeast Asia.

“Competitive advantage will not come from technology alone, but from strategic vision and systemic transformation with trust and governance at the core. Those who stay ahead of the curve will stand the best chance of staying visible and capturing value in a new commerce landscape.”

Deloitte’s research shows that consumer businesses in Asia-Pacific are already moving past AI pilots, with more than half already having live AI implementations across IT, cybersecurity, marketing, sales and customer support, and a third already using AI to transform their business models. Consumers are also already using AI to discover and compare products sold by retailers.

It added that nine in ten retail executives expect AI to be used more than traditional search engines by 2026, while half expect today’s multi-step shopping journey to collapse by 2027, with a larger share of e-commerce activity seen to be influenced or handled by AI agents in the coming years.

“Two-thirds of retail leaders surveyed by Deloitte do not expect customers to fully embrace agents purchasing on their behalf before 2028 — however, search, comparison and AI-powered recommendations are more imminent,” it said.

Retailers across the region are now using agentic AI for hyper-personal engagement to provide more targeted offers to customers, with some also using specialized AI agents across other areas of their operations, including forecasting, inventory, pricing, fulfilment, and customer services, Deloitte said.

“Physical stores in markets such as China, Singapore and India are already evolving beyond transactional spaces into environments where intelligence is embedded directly into the shopping experience connecting digital engagement, in-store experience, and the full retail supply chain into a unified, responsive whole,” it added.

“Shopping agents or ‘shopping bots’ are emerging as one of the most visible expressions of agentic commerce as consumers use AI to search, compare and evaluate options, and, in some cases, to complete purchases on their behalf.”

But even as they continue to ramp up their investment in AI technologies, only about 30% of Asia-Pacific consumer businesses report that at least 40% or more of their AI initiatives reach production, with implementation challenges among the top barriers, Deloitte said.

This highlights the need to strengthen technology foundations, business models, governance, security, and trust.

“A growing share of the industry now faces pressure to adapt quickly as consumer behaviors shift, platforms evolve, and AI begins to reshape the retail value chain.”

Deloitte said that to remain competitive in the agentic commerce age, Asia-Pacific retailers and consumer brands should invest in their data, operating models, skills, and partnerships.

“Agentic commerce has the potential to unlock new levels of productivity and personalization, while also enabling Asia-Pacific businesses to extend their influence globally and export not only their products, but also their operating models, services and standards to the rest of the world,” it said.

“Yet the threat of a “winner-takes-all” scenario is real, where dominant platforms could control critical data and customer relationships. Emerging agentic commerce models could undermine progress and marginalize local businesses if shopping bots favor large, established players.”

It added that businesses must also consider interoperability, design around behavior, reinvent their core operations, and embrace the fast-evolving agent ecosystem, but continue to enhance the human connection and experience even while embracing emerging technologies.

“Success in the future of retail will depend on being discoverable, trusted and preferred by both consumers and their autonomous agents… In markets, where social commerce, livestream and creator-led ecosystems are central to shopping behavior, relevance is built through community, culture and participation. Technology plays a crucial role, but its true purpose is to enhance the human connection at the heart of every great retail experience,” Deloitte said.

“For consumer-facing businesses, agentic commerce must be built with trust by design, reflecting consumer interests, privacy and security expectations and regulatory oversight. As agents begin to act for both customers and enterprises, organizations must intentionally test and govern their actions to understand their risks and outcomes. In the end, trust and security, not technical sophistication alone, will shape customer adoption and regulatory responses.” — Bettina V. Roc