In today’s hyper-competitive retail environment, personalisation has become the foundation of customer engagement.
Artificial intelligence (AI) and emerging retail technologies are enabling businesses to anticipate shopper needs, deliver tailored recommendations in real-time and streamline service models so customers find the right product at the right moment.
From curated loyalty programs to intelligent chatbots, these tools are redefining what it means to create a seamless, individualised shopping journey that builds loyalty.
The opportunity for retailers is enormous. Yet as they race to personalise at scale, they also face a harder truth – that consumers’ appetite for tailored experiences comes with growing unease about how their data is collected, stored and used.
Personalisation That Performs
Australian shoppers are making their preferences clear. Almost six in ten (59%) say they favour retailers who can personalise their offerings to the customer both online and in-store.
AI is at the heart of this shift, powering recommendation engines that suggest products based on past shopping behaviours, predictive tools that prompt customers when it’s time to reorder, and chatbots that act as personal shopping assistants.
Loyalty programs are also becoming more curated, with tailored deals and memberships that deepen engagement.
Done well, personalisation builds loyalty that extends beyond the checkout. The ability to anticipate needs, surprise with relevant offers and remove friction from the shopping journey turns casual buyers into long-term customers.
The Price of Personalisation
But there’s a catch. Australians may want retailers to know them better – but not too well. According to SOTI’s latest retail report, 83% of consumers worry about entering their personal details into online or in-store systems.
A further 67% also say they’re uneasy about sharing information when shopping via social media platforms and most tellingly, 66% have abandoned an online purchase altogether because they didn’t trust the payment system.
This tension reflects a clear dilemma, as the innovations designed to make shopping more convenient also run the risk of alienating customers if they undermine confidence.
This unease runs even deeper with more than half (54%) of Australians having admitted they would avoid a retailer if they believed AI was being used to monitor their purchases. That statistic alone should give retailers pause.
Why Security and Infrastructure Matter
Personalisation will not succeed if it is not backed by strong protection. When consumers lose confidence that their data is safe, no number of tailored offers will win them back.
Australian businesses already know how damaging a breach can be. A recent major cyber-attack exposed more than 3.5 million customer records, including order histories going back a decade.
Another global breach extended to Australian and New Zealand customers, revealing names, addresses and purchase histories. These incidents show the scale of personal data at risk, and how easily weak systems or third-party providers can leave it exposed.
If retailers want to unlock the benefits of AI, they need systems that are modern, secure and transparent. Legacy technology and siloed data create too many openings for attackers. Without integration and embedded security, the very tools designed to enable personalisation can quickly become liabilities
Building Trust Through Technology
The path forward is to pair personalisation with protection. That means securing mobile devices to prevent unauthorised access, using multi-factor authentication for staff logins and keeping digital certificates up to date.
Regular software updates are also essential, closing vulnerabilities before they can be exploited. Just as importantly, third-party vendors must be held to the same standards as the retailer itself, since one weak link in the chain can put everything at risk.
Transparency matters too. Shoppers want to know how their data is collected and used. Retailers who communicate openly, and demonstrate that they are investing in safeguards, will be better placed to earn trust while still delivering personalised experiences.
This is where mobile and endpoint security solutions such as SOTI MobiControl can help. By giving businesses full visibility into their device fleet and the ability to lock down devices, push updates at scale and wipe sensitive data remotely, SOTI ensures that the mobile technologies retailers rely on every day are managed securely and consistently.
A Smarter, More Secure Future
The potential of AI in retail is undeniable. It can deliver real-time recommendations, optimise inventory, power chatbots and turn one-off transactions into long-term relationships.
But Australians are clear that loyalty depends on trust. They are willing to embrace tailored offers and digital convenience, but remain extremely cautious when keeping their personal data secure.
The retailers who thrive will be those who understand that personalisation and protection go hand in hand.
By modernising infrastructure, strengthening security practices and being transparent with customers, they can deliver the experiences shoppers want while protecting the confidence those relationships depend on.
This article was written by Michael Dyson, VP of Sales, APAC at SOTI.