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£92m investment at risk as 77% of UK ecommerce retailers admit AI initiatives are falling short

WL Writing Staff by WL Writing Staff
November 6, 2025
in Business
Reading Time: 4 mins read
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6th November, 2025: Most UK ecommerce retailers are failing to get AI right, despite consumers becoming increasingly accustomed to AI in online shopping, according to new research commissioned by ecommerce agency Quickfire Digital – https://www.quickfiredigital.com.
The survey results, released today, reveal that 77% of retailers admit there are areas where their AI initiatives need work, while 27% of consumers say they haven’t had any positive experiences with AI at all.
At the same time, around a third of consumers value automated returns/refund systems (33%), AI-generated product descriptions or images (32%), and AI-powered customer support (31%) – signalling receptiveness to long-term AI adoption if experiences are delivered effectively.
However, with the UK e-commerce sector having invested an estimated £120 million in AI technologies** in 2024, roughly £92 million of that spend could be at risk of underperformance***- a figure rising to £230 million by 2030 if current trends continue.
Despite consumers becoming increasingly familiar with AI in online shopping, friction remains a barrier: 37% of shoppers abandon purchases due to complicated checkouts, 19% dislike being forced to use a chatbot, and high delivery fees remain the top deterrent (54%).
Retailers also know AI still has work to do. When asked which AI applications underperformed, they said AI-powered chatbots (29%), Data analysis applications (27%), AI-driven marketing activities (23%) and Content generation tools (20%).
It sends a clear message to retailers: AI experimentation is valuable, but only if it enhances convenience without replacing human choice or transparency.
Martin Harper, Co-founder of Quickfire commented: “AI can transform ecommerce, but it must remove friction and give customers what they actually want to work. Our research shows that things like chatbots and basic AI marketing are not meeting expectations. While failure can be costly, both in terms of wasted investment and abandoned sales, it does leave significant opportunities on the table for retailers willing to invest in smarter, more intuitive solutions.”
Despite the challenges, 23% of retailers reported all AI initiatives had been successful, demonstrating that effective AI can provide a competitive advantage.
Looking ahead, Martin said retailers should focus on four priorities to make AI investment count:
  • Prioritise Experience & Retention: Consumers want seamless, reliable interactions; retailers know this and are aligning strategies accordingly.
  • Fix Loyalty Execution: Programmes must be omnichannel and personalised, not just points-based gimmicks.
  • Rethink AI in Service: Chatbots and surface-level AI are failing; the opportunity lies in deeper analytics and customer insight tools.
  • Back-to-Basics: Even as AI scales, checkout, payments, and trust remain decisive factors for success.
Martin added: “My main piece of advice for retailers is to focus on experience first – investment alone is not enough. And remember that the fundamentals still matter most. Even with AI investment, checkout, trust, and support basics remain critical areas to fix.”
~ Ends ~
*  Both consumer and retailer independent surveys were carried out by Research Without Barriers – RWB
 between 1st August 2025 and 11th August 2025
, based on a sample of 2,005 UK adults and 201 eCommerce retailers (10+ employees), respectively.
**Estimate based on applying e-commerce’s approximate 25% share of the UK retail market to total UK retail AI investment (£472.5 million in 2024, projected to £1.23 billion by 2030).
***Estimate based on applying the 77% of ecommerce retailers reporting gaps in AI initiatives to total e-commerce AI spend.
WL Writing Staff

WL Writing Staff

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