"The retail media landscape is only becoming more crowded, but Target's guest insights are often cited as a key differentiator," said our analyst Sarah Marzano during EMARKETER's recent Commerce Media Summit.
As consumers grow more comfortable with using AI, retail industry leaders see 2026 as a pivotal year in shaping how the emerging technology disrupts the way people shop.
Later has transformed from a scheduling tool into a full-scale creator-commerce engine. One year after acquiring Mavely, the combined platform is processing more than $2.4 billion in annualized GMV and has paid out over $250 million to creators. During Black Friday–Cyber Monday alone, creators drove $50 million in sales through Later and Mavely systems. With link-in-bio tools, affiliate rails, workflow software, and AI-powered attribution stitched into one stack, Later now acts as a performance channel for brands like Southwest and Bissell. Its EdgeAI engine ties creator posts to SKU-level results, reflecting a broader shift toward creator marketing as a full-funnel, revenue-driving discipline.
WPP Media and YouTube are expanding their partnership to bring non-public YouTube video and creator data into WPP’s AI system WPP Open, per a press release. Taking advantage of WPP Media’s offering gives advertisers the ability to partner with creators on the most popular social platform in a far more measurable, practical, and effective way than before.
Agencies are increasingly acting as commerce media guides, helping brands move past outdated structures, sort through measurement standards, and bring AI into their planning. While commerce media networks (CMNs) have expanded to capture more than just retail media dollars, the silos between brand, retail, and sales teams make integration a challenge.
Healthcare AI startup OpenEvidence is aiming to raise $250 million in equity funding, amping its valuation to $12 billion, which doubled from just two months ago, per The Information. OpenEvidence’s surge in valuation underscores physicians’ growing demand for AI tools that surface credible, peer-reviewed information.
OpenAI’s GPT-5.2 is its answer to advancing models from Gemini and what the company calls its best model yet for professional use. The latest model improves spreadsheet creation, presentation building, code generation, understanding of images and long contexts, tool use, and handling of complex projects, per an OpenAI blog post. As brands expand past using AI for image generation and into higher-level tasks, experiment with GPT-5.2 by testing each mode to see which offers the most dependable outputs for analytics, planning, and creative development.
AI is permeating retail and playing a substantial role in the purchase journey for many holiday shoppers this year, though many didn’t notice its presence. More than three-quarters (78%) of US adults said AI touched their holiday shopping experiences—including via “delivery notifications, return systems, or virtual assistants”—per Liveops’ Holiday AI and Customer Service report. Gen Zers led the charge with 89% using AI in some way during holiday shopping. Gen Z’s comfort with automation makes them a great testing group for AI copilots, and retailers should experiment with genAI-driven personalization, on-site product suggestions, and conversational assistance.
Meta is shifting strategy from mining its online social networks to tapping more real-world conversations as original posts on Facebook and Instagram fade, per Social Media Today. Its acquisition of Limitless and partnership with ElevenLabs open up new data channels for its AI models. Meta’s alternative AI training sources could deepen personalization and predictive insights if these conversation flows feed next-gen recommendation engines. Advertisers might gain richer behavior signals and context that go beyond scroll patterns and likes.
AI chatbot use has crossed from novelty to habit for US teenagers. Nearly half (46%) of teens ages 13 to 17 use chatbots at least once a week, per Pew Research, including 16% who access AI several times a day or almost constantly. A new generation of AI-native users is emerging and could soon define which chatbots and AI services become the industry standard. Marketers should pressure-test AI integrations for age-appropriate use cases. As teen AI use grows, safety-first design can earn trust and long-term loyalty.
Meta has rolled out major upgrades to partnership ads on Facebook and Instagram, introducing new AI-enabled tools, broader creator discovery surfaces, and an API that lets advertisers programmatically convert UGC and creator posts into paid ads at scale. Partnership ads already outperform standard formats—19% lower CPAs and 13% higher CTRs—and with Gen Z more receptive to creator messaging and most consumers taking action quickly after seeing creator content, Meta is formalizing the path from organic influence to paid performance. For marketers, the message is clear: creator content is now a foundational performance lever, not an experimental add-on.
Even as consumer attitudes toward AI in advertising remain mixed, agencies are rapidly expanding their use of AI across the marketing lifecycle. But significant resistance remains, especially when AI is used in ad creative. As agencies scale AI adoption, consumer sentiment underscores the need for restraint and intentionality—using AI for work behind-the-scenes, but resisting entire AI creative.
AI scribe tools that transcribe doctors’ notes save doctors only a minimal amount of time, according to a recent UCLA Health study. Healthcare AI scribe developers already face high provider churn due to a crowded market and the ease of switching between competing products. They must now prove their product's value extends beyond time savings (modest or significant) to include areas like improving patient care, enhancing the patient experience to drive retention, or ensuring more accurate clinical notes for billing and coding.
On today’s podcast, we will cover a few of the takes from our Top Trends to Watch in 2026 report. Our analysts (or bakers) will compete in a Great British Bake Off style episode discussing if the micro-drama craze will mint a new generation of creators with dual support from social networks and entertainment studios, and why AI’s content takeover will shake consumer trust in the internet. Join Senior Director of Podcasts and host Marcus Johnson, along with Analyst Jacob Bourne and Principal Analyst Max Willens. Listen everywhere, and watch on YouTube and Spotify.
New York has enacted the first US laws requiring disclosure and consent for AI-generated performers and posthumous likenesses in advertising and entertainment. The measures mandate clear labeling when synthetic or digitally altered performers appear onscreen and require approval from estates before deceased individuals’ likenesses are used commercially. The laws sharpen a state–federal divide: President Trump has warned states against AI rules that could hinder US competitiveness, favoring a single national framework instead. For media companies, New York’s move creates immediate compliance obligations—and a preview of regulatory uncertainty ahead.
Shopify has introduced 150 updates, headlined by two major tools aimed at expanding reach and boosting conversions: an “agentic storefront” that lets consumers buy products directly through AI platforms like ChatGPT and a new Shopify Product Network that helps merchants fill product gaps via cross-store recommendations. The agentic storefront should give merchants an early advantage in AI-powered commerce, while the Product Network should boost conversions, and create new revenue streams without adding inventory or operational burdens.
Over half (52%) of senior data and technology executives worldwide use generative AI to boost internal productivity, according to a June survey from MIT Technology Review Insights.
Amazon's recent business moves, examining corporate layoffs, AI-powered shopping features, and new smart glasses technology for delivery workers paint an interesting view of its immediate future and what it could mean for consumers.
ChatGPT is closing 2025 as the most downloaded iPhone app in the US, vaulting past entrenched social platforms, search, and shopping apps, per TechCrunch. Google Gemini was the only other AI app in the top 10, landing in the final slot. This is the first time an AI assistant has outranked every social and utility app in the US. AI assistants are the new entry point for mobile discovery, and brands should optimize content, creative, and ad journeys for users who start—and often finish—inside conversational interfaces.
Retailers are investing in AI to improve operations and customer service. From design trend predictions to intelligent assistance, AI is moving from back-office functions to visible, customer-facing applications. Retailers that don’t explore AI risk losing out on positive outcomes, from efficiency gains and cost reductions to stronger personalization and customer loyalty. The winners will be those that use AI to solve real consumer pain points such as finding matching makeup shades or suggesting recipes based on nutrition goals.