In 2026, Retail Will Be Immersive, Intelligent, and Circular
Aidan Scollard · Posted on: January 28th 2026 · read
Retail is on the cusp of a transformation that will change everything about how we shop and how businesses create value. In 2026, the experience of walking into a store will feel completely different. It won’t just be about buying products, it will be about engaging with a brand in ways that are immersive, intelligent, and sustainable.
Augmented and virtual reality will make physical spaces interactive, with virtual changing rooms and AR-enhanced displays turning shopping into a whole event, rather than a transaction. At the same time, artificial intelligence will offer another level of personalisation, predicting what we customers want before we even know it ourselves.
From tailored offers to loyalty programs built on real-time data, AI will deepen relationships and drive efficiency behind the scenes, such as automating returns and streamlining operations to cut costs and improve service.
That being said, technology isn’t the only force reshaping retail.
Sustainability continues to be an expectation, rather than an aspiration. The circular economy (think of resale platforms, repair services, and recycling initiatives) will become an even greater part of everyday retail as consumers demand greener choices.
Fast fashion will give way to a more responsible approach, and brands that embrace this shift will earn trust and loyalty.
For retailers, the message is that the future isn’t something to wait for, it’s something to prepare for now. Those who invest in immersive technologies, embed sustainability into their business’ roots, and harness AI responsibly will define the next era of retail. These trends aren’t obstacles—they’re opportunities.
Our Consumer team helps businesses turn insight into action, building strategies that drive growth and resilience in a rapidly changing market. Let’s talk about how these shifts will impact your business and how we can help you stay ahead.
Predictions 2026 e-book
MHA Predictions 2026
Download our e-book now
For more information
Contact the teamView additional insights in this series
MHA’s Industry Predictions for 2026
Staying Competitive in 2026: Why Retailers Must Rethink Costs
Hannah Black
Audit and Accounts Director
Beauty Businesses Face a Cost Crunch in 2026, But Opportunity Awaits
Mark Lumsdon-Taylor
Executive Development & Sustainability Lead