Retailers Lean into AI Personalisation as Competition Intensifies in 2025

In a crowded and competitive online retail world, standing out is harder than ever. That’s why retailers across the UK — and globally — are doubling down on artificial intelligence to personalise the shopping experience like never before.

From curated product recommendations to tailored email campaigns and smarter search results, AI is now at the centre of how retailers are trying to connect with their customers. And for affiliate marketers, this shift brings both new opportunities and new expectations.

So, what’s driving the growth of AI personalisation in retail? And how can affiliates tap into it?

Let’s break it down.

The personal touch – powered by algorithms

At its heart, AI personalisation is about making every shopper feel like the site was built just for them.

Using data from browsing history, purchase behaviour, and even location, AI tools can now predict what a customer wants — sometimes before they even know it themselves. Whether it’s suggesting a matching pair of shoes, highlighting items left in a basket, or adjusting homepage layouts based on previous visits, AI is reshaping how people shop online.

Retailers like ASOS, Boots and Argos are using these technologies to reduce bounce rates, increase basket size, and drive repeat purchases — all with minimal human input.

Why now?

There are a few reasons AI-powered personalisation is seeing a boom in 2025:

• Rising ad costs: With Google and Meta’s platforms becoming more expensive, retailers are turning to retention and conversion improvements to get more value from existing traffic.
• Improved tools: Advances in machine learning and automation have made personalisation faster, more accurate, and easier to implement — even for smaller brands.
• Consumer expectations: Shoppers are used to Netflix-level recommendations. They want retail sites to offer the same seamless experience — not endless scrolling and irrelevant offers.

The affiliate angle

So, what does all this mean for affiliates?

In short: you need to get more relevant.

Retailers are investing in smart on-site experiences, so the content you deliver needs to match. Sending generic traffic to a home page and hoping for the best won’t cut it anymore.

Here’s how affiliates can align with the shift toward personalisation:

1. Deepen your audience understanding: Know your readers. Are they parents shopping for school supplies? Tech fans looking for the best laptop under £1,000? The better you know your audience, the more targeted your content can be — and the better it will perform when paired with a personalised retail site.
2. Segment your content: Create landing pages or product guides for specific user types, price ranges, or product categories. This makes your traffic easier for retailers to personalise on their end — and gives you more chance of earning the commission.
3. Use dynamic affiliate tools: Some affiliate platforms now offer dynamic product feeds and widgets that adjust based on user data. These are especially useful if you’re working with large catalogues (fashion, beauty, tech) and want to stay relevant without updating every page manually.
4. Collaborate on tailored campaigns: Retailers investing in AI personalisation often want to run segmented campaigns — think “gifts for new parents,” “eco-friendly fashion,” or “home office upgrades.” Affiliates who can support these campaigns with niche content and smart placements are more likely to get top billing.

Opportunities for future growth

AI isn’t just about product recommendations. It’s also powering:

• Smarter search functions – helping users find what they need faster
• Predictive restocking and pricing – offering deals when users are most likely to buy
• Chatbots and support – solving problems before they become abandoned carts

All of these elements improve conversion rates — which is good news for affiliates. If you send quality traffic, there’s now a better chance it will convert thanks to the retailer’s AI-driven tools.

But don’t forget the human touch

While AI is incredibly powerful, it doesn’t replace the need for trust and storytelling. That’s where affiliates still have an edge.

Reviews, product comparisons, “best of” lists, and personal recommendations remain hugely influential. When combined with a personalised on-site experience, they can deliver serious results.

Think of it this way: AI personalisation is the engine. Your content is the fuel.

Final thoughts

Retailers are leaning heavily on AI personalisation in 2025 — and that shift is reshaping how online shopping works. For affiliates, it’s a call to evolve.

Understand your audience. Create content that helps users make confident choices. And work with retailers who are ready to convert that traffic through smarter tools.

When you combine thoughtful content with a personalised retail experience, you don’t just drive clicks. You drive conversions — and that’s what keeps the commissions flowing.