Walk into almost any major retail environment in 2026 and you are likely to encounter some form of AI-driven technology. From digital signage that adapts its content in real time to sensors that track how shoppers move through a store, artificial intelligence is quietly becoming part of the fabric of modern retail. For brands and manufacturers operating in this space, understanding where AI fits into the picture is becoming increasingly important.
What AI IS Changing in Retail Display
The most visible way AI is influencing retail display right now is through personalization and dynamic content. According to Deloitte’s 2026 Retail Industry Global Outlook (a survey of 330 global retail executives) a quarter of industry executives have already invested in personalized AI capabilities, while an additional one-third expect to have personalized AI recommendations in place within the next year.¹ That means display content that adapts based on time of day, customer demographics, and real-time foot traffic patterns is rapidly moving from a cutting-edge novelty to an industry expectation.
This shift toward dynamic, data-driven displays is creating new possibilities on the retail floor. Sensors integrated into display hardware can allow for real-time content adjustment, helping brands serve more relevant content to the right shopper at the right moment. AI is also moving beyond reactive personalization toward what Deloitte describes as anticipatory experiences — retailers designing customer journeys that work seamlessly whether a human or their virtual assistant is doing the shopping.¹
Retail executives are highly aware of AI’s transformative potential. Nine in ten expect AI to be increasingly used over traditional search engines by 2026, while nearly half expect the multi-step shopping journey to collapse into a single AI-driven interaction by 2027.¹ For brands investing in retail display, this means the conversation around display design is increasingly including questions about content strategy, data integration, and technology compatibility alongside the traditional considerations of materials, structure, and aesthetics.
AI is also making its way into the design process itself. Brands are beginning to use AI tools to model how shoppers will interact with a display before it is ever built — analyzing traffic patterns, sight lines, and product placement to optimize display performance before a single piece of material is cut.
At BAW Plastics, we have embraced AI as part of our own design and pre-production process. Before a single piece of material is cut, we use AI-assisted tools to create detailed display mockups that give our customers a realistic visual representation of their finished product. This allows brands to see, evaluate, and refine their display concept early in the process; catching potential issues, exploring design variations, and making informed decisions before official drawings or production ever begins. It is a smarter, more efficient way to bring a display concept to life, and it is one of the ways we are using technology to serve our customers better every single day.
What AI IS NOT Changing
For all the ways AI is reshaping the retail display landscape, there are some things it is not changing.
The need for high-quality physical manufacturing is not going anywhere. A digital interface or AI-driven content system still needs a physical structure to live in, and that structure needs to be well-designed, well-built, and built to last. The precision manufacturing that goes into displays is just as critical in an AI-enhanced retail environment as it ever was.
The importance of first impressions has not changed either. Shoppers make snap judgments about products within seconds of encountering them in store, and no amount of AI personalization changes the fact that a poorly designed or poorly built display will fail to make that first impression count.
Brand consistency remains non-negotiable. Deloitte’s research found that 81% of retail executives believe generative AI will weaken brand loyalty by 2027, as the technology tends to focus on value or fit over brand recognition.¹ That makes the physical representation of your brand in store more important than ever — not less. The materials, finishes, and structural quality of a display are the foundation on which any technology layer is built, and they need to reflect the brand accurately and compellingly every single time.
What This Means for Brands Investing in Custom Displays
The rise of AI in retail display does not make physical display manufacturing less important, it makes the quality of that manufacturing more important. As digital and physical elements become more integrated, the displays that perform best will be the ones that combine smart technology with exceptional physical construction.
For brands exploring AI-enhanced displays, it is worth thinking carefully about how the physical structure of a display will support and complement any technology layer — whether that is a digital screen, an interactive element, or a sensor-based system. The best displays in 2026 are not just technology platforms. They are physical and digital experiences working together seamlessly.
At BAW Plastics, we manufacture the physical foundation that makes great retail displays possible. Our thermoforming capabilities, precision CNC routing, and wide range of material options give brands the flexibility to design displays that are built for the retail environments of today, and adaptable for what comes next.
Still Have Questions?
Whether you’re looking for a countertop display, floor fixture, acrylic sign holder, custom store fixture, or a complete nationwide merchandising program, BAW Plastics is here to help. Contact us today to discuss your next retail display project and bring your ideas to life! Contact Us | BAW Plastics Inc. | Custom Retail Displays
Sources:
- Deloitte — 2026 Retail Industry Global Outlook (survey of 330 global retail executives, conducted October to November 2025).
🔗 https://www.deloitte.com/us/en/insights/industry/retail-distribution/retail-distribution-industry-outlook.html
