2025 Grocery Tech Predictions: Hyper-Personalization, Sustainability, and AI

As 2025 begins, Canadian grocers face mounting pressure to deliver more personalized, efficient and eco-conscious experiences. This year, technology will be the critical enabler for meeting these demands. From AI-driven logistics that streamline home deliveries to sustainability-focused inventory systems, the grocery sector is transforming. Let’s explore the trends driving this change and their implications for the future of grocery retail.

Hyper-Personalized Grocery Logistics

Consumers expect grocery retailers to deliver speed and convenience at every stage of their shopping journey. According to SOTI’s latest retail report, 72% of Canadian shoppers made online purchases for home delivery in the past six months, highlighting the increasing importance of efficient logistics. This trend is amplified in the grocery sector, where freshness is paramount.

AI-powered mobile technologies are helping grocers provide hyper-personalized logistics by enabling real-time order tracking, same-day delivery options and tailored adjustments to meet customer preferences. For example, grocery retailers leverage data analytics to predict customer needs and streamline supply chains to ensure timely delivery. Retailers that integrate these technologies into their operations will not only enhance customer satisfaction but also differentiate themselves in a crowded market.

Sustainability in Grocery Retail

Sustainability is no longer just a buzzword—it’s an expectation. Canadian consumers increasingly seek eco-friendly options, both in the products they buy and the processes behind the scenes. According to SOTI’s research, 50% of Canadian consumers prioritize sustainability when choosing where to shop, and grocers are taking notice.

Mobile technology plays a critical role in supporting greener grocery operations. Digital inventory systems reduce waste by accurately predicting stock needs, while optimized logistics help lower carbon emissions during transportation. Additionally, adopting energy-efficient practices in-store, such as smart refrigeration systems and automated lighting, can significantly reduce energy consumption. By embedding sustainability into their operations, grocers can appeal to environmentally conscious consumers while cutting costs.

Mobile Security Integration

With mobile payments and shopping apps becoming central to the grocery experience, security is more critical than ever. Eighty-three percent (83%) of Canadian shoppers are concerned about entering personal data online or through in-store devices. This concern is magnified in a retail landscape reliant on mobile transactions.

Grocers must invest in robust mobile security measures to safeguard customer data. Integrating AI-driven fraud detection tools into payment systems and offering secure, user-friendly checkout experiences can help build trust. Retailers that prioritize security will protect their customers and strengthen their reputation as reliable, forward-thinking businesses.

Generative AI in Grocery Operations

Generative AI is poised to transform grocery operations in 2025, bringing smarter, faster interactions to both the front and back ends of the business. A recent study from KPMG shows that 67% of retailers are using generative AI to offer personalized product recommendations in customer-tailored conversation styles, while 68% are using these tools to predict product demand and optimize inventory levels. From personalized recommendations on shopping apps to streamlined customer service via AI-powered chatbots, this technology is enhancing the consumer experience.

In addition to customer-facing applications, generative AI is improving operational efficiency. By analyzing historical sales data, grocers can optimize inventory levels, anticipate demand fluctuations, and reduce costs associated with overstocking or stockouts. For example, predictive models can help grocery stores prepare for seasonal surges or disruptions, ensuring smooth operations throughout the year.

Embracing the Future of Grocery Tech

The grocery industry in Canada is at a crossroads, with technology serving as both a challenge and an opportunity. By adopting mobile-first platforms, integrating advanced AI, and prioritizing sustainability, grocers can meet consumer expectations and position themselves for long-term success.

As we look ahead, the message is clear: innovation is no longer optional—it’s essential. Grocers that embrace these trends and invest in the right technologies will be well-equipped to thrive in 2025 and beyond. The question for Canadian grocers isn’t whether to adapt but how quickly they can rise to the challenge.

As SVP of Product Strategy at SOTI, Shash Anand oversees the company’s evolution from a single product centred around Mobile Device Management (MDM) to an integrated platform that solves many of the challenges around Enterprise Mobility Management (EMM).