[AI]Exploring AI in the APAC retail sector

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AI in the APAC retail sector is transitioning from analytics and pilots into workflows and daily operations.

Dense urban stores, high labour churn, and competitive quick-commerce ecosystems are driving the uptake. A Q4 2025 survey by

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found that 45 percent of consumers in Asia and Australasia are very or quite likely to purchase a product based on AI recommendations or endorsements.

Jaya Dandey, Consumer Analyst at GlobalData, said: “Whether shoppers realise it or not, machine-learning systems have long been deciding when to encourage consumers to make purchases, which products they can see, and what discounts they can avail.

“Now, agentic systems can also complete shopping-related tasks end-to-end.” 

Computer vision and store automation

Enterprises evaluating computer vision and machine learning can observe early implementations in the region.

Lawson, for example, introduced AI-enabled ‘Lawson Go’ stores in Japan during 2022. The retailer collaborated with technology provider CloudPick in 2025 to integrate AI, machine learning, and computer vision. This integration eliminates check-out lines and cashiers to enhance the customer experience.

In South Korea, retail AI company Fainders.AI launched a compact and cashier-less MicroStore inside a gym in 2024. This deployment improved the accessibility of autonomous retail across different businesses.

AI also aids the forecasting and automation of retail replenishment—a capability that applies well to the APAC market, where store footprints are small and replenishment frequency is high.

Japanese food retail chain Coop Sapporo uses a camera-based AI system named Sora-cam, developed by Soracom. The system helps the chain avoid overstocking and reduce unsold merchandise on store shelves. Coop Sapporo employs an analytics team to evaluate the generated images. The team determines the optimal shelf display ratio. The Sora-cam system also alerts staff members to apply discount labels on food items close to expiry to prevent wastage.

AI models track waste and markdown timing while improving promotion efficiency. In Southeast Asian (SEA) markets characterised by high price sensitivity, minor improvements in promotion efficiency increase profit margins.

AI-driven labour optimisation measures include scheduling, task priority lists, and workload balancing. These measures assist retailers in Japan and South Korea, which face structural labour shortages. They also provide efficiency benefits in high-growth SEA markets.

Agentic AI systems in retail are improving APAC consumer interaction

“In food retail, agentic AI is best understood as an AI ‘operator’ that can understand a goal, plan steps, stay within budget or allergen constraints, execute actions across systems, ask clarifying questions, and learn preferences over time,” says Dandey. 

Customers can bypass individual item searches by outlining their overall intent. A customer, for example, might request an AI agent to “Plan five dinners for a family of four, mostly Asian recipes, no shellfish, under 45 minutes.” The agent then generates recipes, builds a shopping cart, sizes quantities, and adds missing staples to the cart.

This retail agentic AI capability aligns with regional behaviours, as many APAC households cook frequently and shop fresh. AI agents that recognise local cuisines – such as Korean banchan, Japanese bentos, and Indian spice bases – fit regional habits better than generic Western meal plans.

“In many APAC markets, shopping is already deeply integrated with digital wallets, messaging apps, ride-hailing, and delivery ecosystems, making it easier for agentic AI to plug into daily routines,” explains Dandey.

“Nevertheless, some key challenges need to be overcome; ensuring private data sharing consent, minimising hallucinations in terms of allergens and ingredients, and implementing proper localisation of the system with language nuance.”

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