As retail navigates an increasingly complex and uncertain landscape, success is less about making changes and more about mastering the ability to see clearly and move with precision. It’s not enough to just “shift gears” when needed—today’s winning retailers are fine-tuning the details of their business strategy and building the agility to react and move faster than ever before with granular insights. 

The pressures facing the industry aren’t new—economic shifts, supply chain bottlenecks and changing customer expectations have all been top of mind for years. What’s different today is the pace and unpredictability of it all. The retailers that once thrived on high-level forecasts and broad strategies are realizing that old playbooks no longer work. Now, it's the companies that hone in, stay nimble and make confident, data-driven decisions down at a product level that are coming out on top. 

Competitive agility through granular decisioning in the age of trade tariffs 

For years, retailers have relied on assumptions and gut instincts to make decisions—factoring in observed trends, broad customer personas and general inventory cycles. However, today, success depends heavily on a retailer’s ability to get deeply granular. It’s about understanding not just what’s happening across categories, but what’s happening within each category—down to each SKU, store and channel. 

A recent McKinsey & Company study highlights how leading retailers are embracing "micro-segmentation"—moving beyond broad trends like "shoes are popular" to pinpoint exactly which styles are selling, in which locations and for which customer groups. This hyper-focus on granular data enables retailers to understand demand in real-time and make decisions that are highly tailored and targeted, improving accuracy and increasing revenue and margin.

Further, this need for detail is particularly clear in how companies manage inventory. A recent Bloomberg article highlights how companies are leveraging AI insights to determine which specific orders should be canceled amidst rising tariffs, instead of making broad cuts. Rather than pulling products off the shelves without insight, they’re leveraging AI-powered technology to make distinct, strategic decisions that protect revenue and avoid missing out on key opportunities to gain market share in the midst of massive uncertainty.

Building nimble strategies for long-term growth

Spotting shifts in the market is important, but the real advantage comes from moving quickly. Today’s retail leaders aren’t just seeing changes earlier, they’re acting on them faster than their competitors. In a world where customer preferences can shift overnight, the ability to react in real-time is critical.

Research from Deloitte shows that 64% of retail executives are investing heavily in real-time inventory systems to give their teams the flexibility to respond to market shifts faster. These technologies enable companies to adapt fast, reduce the risk of overstocking or understocking and maximize sales and customer experience across all channels.

And, it’s not just large retailers adopting these technologies. Mid-sized and specialty retailers are also leveraging AI-powered inventory and pricing tools to make data-driven decisions at the SKU, regional and customer segment levels. These systems provide localized teams with the agility to adapt quickly and refine their strategies as needed, enhance their customer experiences and stay ahead in times of uncertainty. 

The secret to resilience: Selecting the right tech provider

It’s not just about adopting the latest tech—it’s about finding a partner who can empower teams to make more informed, granular decisions with the flexibility to respond fast. 

Look for a provider that not only supports real-time forecasts and helps adjust stock levels, promotions and shipments as soon as conditions change but also provides AI-decisioning. The ideal partner will help teams be strategic and execute with confidence, ensuring businesses can respond fast without being paralyzed by complexity.

The technology shouldn’t require an AI expert on staff. The right provider will offer ongoing support, regularly fine-tuning the system for maximum results. The best provider equips retailers with agility—empowering informed decision-making at a granular level. Today’s technology is agile, which can be implemented in two to three months, so given the ever-changing environment, the time to start is now.