Retail AI use has surged over the past year. Ungoverned AI tool use by employees fell from 70% to 44%. Approved AI tool use rose from 40% to 73%. Two-thirds of retail employees now use standalone AI tools. Nearly all use software with AI features trained on customer data. Retailers struggle to track where sensitive data is shared with AI tools. 56% of AI-related data policy violations involved regulated data. Agentic AI use has grown as a security concern. Retail AI agents interacting with remote MCP servers rose 400%. Hackers increasingly use AI-themed phishing lures. Netskope recommends blocking unnecessary apps and inspecting web traffic. The report covers data from July 1, 2025, to July 30, 2026.
What changed
Retail employees widely used ungoverned AI tools without central oversight.
What it unlocks
Retailers can now centrally manage AI tool access and reduce shadow AI risks.
- 70% to 44% drop in ungoverned AI tool use
- 40% to 73% rise in approved AI tool use
- 66% of retail employees use standalone AI tools
- 56% of AI data violations involved regulated data
Sources