Sectors & markets
AI isn't just changing retail. It is transforming how consumers discover, decide and buy
Retail and Retailtech
- Date: September 1, 2026
- Zone: ASEAN-O
- Country: Singapore
- Sector: T&S
- Sub-sector(s): Retail and Retailtech
- Format type: Brief
- Section: Market Trends
- Theme: Retail and Retailtech
Title: AI isn't just changing retail. It is transforming how consumers discover, decide and buy.
In Singapore, artificial intelligence is no longer just streamlining what happens behind the scenes in retail. It is genuinely changing how people discover a product, weigh up their options, and ultimately decide to buy. That's the finding of the latest Adyen Index 2026: Singapore Retail Report, and what's unfolding in Singapore looks set to foreshadow what's coming for the rest of Southeast Asia.
First finding: AI has become something like a trusted advisor for shopping decisions. 72% of Singaporeans have already turned to it, particularly younger consumers. For brands, this changes the game: ranking well on Google is no longer enough. Brands now need to exist within the conversation with AI itself, where a recommendation can carry more weight than a strong position in search results.
Second finding: more choice doesn't necessarily mean more clarity for consumers. 87% of AI-assisted shoppers say there's too much information to sift through on social media. AI acts as a filter for them, a bit like a friend cutting through the noise to keep only what matters. Among younger consumers, the line between social media, online stores and physical shops has all but disappeared — they move between them without a second thought, and expect everything to follow seamlessly, everywhere.
But this widespread adoption doesn't mean blind trust. More than half of Singaporeans (58%) still hesitate to let AI complete a purchase entirely on its own, and 59% say a single glitch at checkout is enough to dent their trust in a brand. Security, long invisible and confined to the technical backend, is becoming a genuine selling point — something customers want to see and feel.
Ultimately, the real question facing retailers is no longer whether to adopt AI — that's already happened. The real challenge is appearing intelligent without becoming intrusive, and seamless without ever giving customers reason to doubt.
Source: "Ben Wong, 17/08/2026, The Edge Singapore"
