NRF Retail’s Big Show 2025: Retail Trends

As the top global retail event, NRF brought together industry leaders and innovators, showcasing trends and strategies for the year ahead. A standout highlight was WGSN’s much-anticipated session which provided a strategic vision for the next two years. WGSN’s predictions from two years ago have also been confirmed at the event, highlighting key trends such as experiential retail, the maturation of Artificial Intelligence (AI) and ecological responsibility.

Experiential retail

Retailers are redefining the role of physical stores, turning them into immersive and emotional spaces that prioritise community over commerce. Rising costs, increasing digitalisation and waning trust in institutions are accelerating this transformation.

In 2025, expect more retailers to reimagine their physical spaces as interactive, memorable experiences. These ‘third spaces‘ will offer consumers opportunities to connect, engage and immerse themselves in a brand’s story – going beyond simple transactions to create lasting impressions.

Generative AI comes of age

AI is poised to revolutionise retail and brands must move past the buzz and focus on practical, goal-driven applications. Governments worldwide are introducing new regulations around intellectual property, compelling retailers to adapt and innovate responsibly.

While AI tools are becoming indispensable, they won’t replace human creativity. Instead, they’ll empower creators to tell imaginative stories in entirely new ways. 2025 will be a pivotal year for experimenting with AI-driven initiatives, measuring audience responses and refining use cases to boost performance.

Eco-accountability

As the retail industry faces the pressing challenges of resource scarcity and the climate crisis, sustainability is no longer optional – it’s central to strategy. In 2025, brands must rethink traditional business models and prioritise ecological responsibility. 

Repair-based models, product longevity and alternatives to excessive consumption will take centre stage. Retailers that embrace these approaches will be better positioned to align with consumers’ values and build trust in a rapidly changing market.

Looking ahead to 2026: Retail forecast

The retail sector will face new complexities in 2026, from navigating the uncertain future of TikTok in the US to addressing consumers’ evolving values. Retailers will need to strengthen social proof, foster trust and explore innovative ways to connect with their audiences.

Opportunities will emerge as consumers shift their spending priorities towards live experiences amid economic challenges. Retailers leveraging cultural moments and events will stand out, demonstrating a deep understanding of their customers’ preferences.

WGSN’s new annual report outlines eight essential strategies for thriving in this landscape, including managing commercial tensions and embracing social commerce. Want to gain a competitive edge and stay ahead of the curve? Speak with our experts today.