One in four retail technology providers at RTS 2026 say AI is overhyped, ASPR research finds

New research from ASPR, a retail and hospitality technology PR agency, reveals a market ready yet sceptical about AI.

Its survey, conducted among attendees at Retail Technology Show 2026, which took place in London last week, found that one in four believe AI is either overhyped or actively creating confusion.

When it comes to differentiation, AI presents both an opportunity and a challenge. 34% say it helps them stand out, while 30% say it is raising expectations from buyers, making it harder to differentiate in practice. A further 18% believe AI is creating noise or making it harder to stand out.

48% of respondents describe AI as promising but still early, suggesting confidence in its direction but caution in adoption. A further 28% say it is already delivering measurable impact, indicating that real use cases are emerging.

Proving return on investment is the single biggest challenge facing retailers when it comes to technology, cited by 28% of respondents. This sits ahead of both integration complexity and budget pressures, each at 16%.

AI and vendor overload follow closely behind at 20% each, pointing to a market where there is no shortage of innovation or options, but limited clarity on what actually delivers results.

The findings suggest a clear gap between what technology claims to do and what it can prove commercially. For vendors, that gap is becoming harder to bridge. What was clear from respondents at the show is that technology providers must clearly link their offering to revenue growth, margin improvement or operational efficiency. Without that, they risk being overlooked, regardless of how advanced the product may be or how much media hype there is.

Beyond technology itself, the research points to a visibility and positioning challenge across the sector. 32% of respondents say standing out in a crowded market is their biggest business challenge, closely followed by 30% who cite reaching the right buyers. Integration concerns at 14% and long sales cycles at 10% suggest that even when interest is there, converting it into closed deals remains complex.

Integration emerges as a consistent theme across both technical and commercial challenges, indicating that it is not just a product issue but a barrier to adoption. Retailers are increasingly cautious about introducing new tools that do not fit seamlessly into existing systems.

Buying behaviour reinforces the shift towards evidence led decision making. 36% of respondents say proven results and case studies are the most important factor influencing purchase decisions, followed by pricing at 26%. Brand reputation accounts for 14%, while product features sit at just 4%, suggesting that theoretical capability is far less persuasive than demonstrated impact.

The broader market outlook reflects this pressure. 40% describe the retail technology market as highly competitive, with a further 28% calling it saturated. Only 24% focus on its pace of change, and just 2% describe it as full of opportunity.

Looking ahead, efficiency is set to dominate priorities over the next 12 months. 36% say cost reduction and efficiency will matter most, ahead of AI and automation at 28% and customer experience at 22%.

Abi Spencer, ASPR founder, says: “The retail technology market is not short of ideas, but it is short of clarity and proof. Buyers are being asked to navigate a huge number of similar propositions, many of which sound compelling but struggle to demonstrate real impact. What we are seeing is a shift towards proof over promise. Case studies, measurable outcomes and clear commercial narratives are becoming the deciding factors.”

“For vendors, that changes the role of communications. It is not just about visibility, it is about translating complexity into something that buyers can trust and act on. The brands that can do that effectively will be the ones that cut through.”

2026 RTIH Innovation Awards

AI will be a key focus area at the 2026 RTIH Innovation Awards.

The awards are now open for entries and celebrate global retail technology innovation in a fast moving omnichannel world.

Our winners will be revealed at the 2026 RTIH Innovation Awards Ceremony, taking place at The HAC in Central London on Wednesday, 4th November.

Check out our 2025 winners here.

Our 2025 hall of fame entrants were revealed during a sold out event which took place at The HAC on 16th October and consisted of a drinks reception, three course meal, and awards ceremony presided over by award winning comedian, actress and writer Tiff Stevenson.

In his welcome speech, Scott Thompson, Founder and Editor, RTIH, said: “This is the awards’ fifth year as a physical event. We started off with just 30 people at the South Place Hotel not far from here, then moved to London Bridge Hotel, then The Barbican, and last year RIBA’s HQ in the West End.”

“But I’m conscious of the fact that, to quote the legend that is Taylor Swift, You’re only as hot as your last hit, baby. So, this year we’ve moved to our biggest venue yet, and also pulled in our largest number of entries to date and broken attendance records.”

He added: “This year’s submissions have without doubt been our best yet. To quote one of the judges: The examples of innovative developments across both traditional and digital retail spaces were truly remarkable.”

Congratulations to our winners, and a big thank you to our sponsors, judging panel, the legend that is Tiff Stevenson, and all those who attended our 2025 gathering.