A surge in AI-powered shopping is reshaping the retail landscape, with searches on platforms utilizing the technology increasing by 4,700% between 2024 and 2025. This trend signals a significant shift in how consumers are interacting with brands and making purchasing decisions.
A recent report by State of Fashion indicates that consumers are increasingly fatigued by dopamine-driven trends and endless product launches. Instead, they are turning to artificial intelligence to streamline their shopping experiences. The report highlights a growing preference for AI-generated search results, with 41% of consumers now trusting them more than traditional advertising.
The fashion industry, valued at $1.7 trillion globally, is undergoing its most significant reset since the pandemic, according to Independent. This transformation is being driven by rising costs, evolving consumer values, and rapid advancements in artificial intelligence. These factors are forcing brands to rethink their operations, hiring practices, and customer loyalty strategies.
The State of Fashion report, produced by Business of Fashion and McKinsey & Co, identifies nine major forces shaping the industry in the coming year. For consumers in the United Kingdom, artificial intelligence, wellness, and resale are particularly prominent.
AI is no longer an emerging trend in fashion; it’s now integrated into the supply chain. Looking ahead to 2030, it’s anticipated that up to 40% of workers in developed economies will need to reskill as generative AI automates roughly one-third of work hours across all industries.
Within the fashion sector, this automation is already happening discreetly in areas like customer service, logistics, and inventory management, boosting efficiency and revealing critical skills gaps.
The 4,700% increase in searches on AI-powered shopping platforms between 2024 and 2025 underscores this shift, with 41% of consumers now placing greater trust in AI-generated search results than traditional advertising. This could translate to fewer sponsored posts and more personalized, conversational shopping experiences – and AI “agents” that compare prices and even make purchases on our behalf.
Consumers Prioritize Emotional Connection with Brands
Consumers in the UK are showing a growing disinterest in micro-trends fueled by dopamine and constant product drops. The report reveals a decisive move towards emotional connection, depth, and community, with nearly nine out of ten people stating that belonging to a brand community with shared values strengthens loyalty more than influencer marketing.
In response, brands are creating “third spaces” focused on wellness – blending retail with social hubs designed to encourage people to spend time, not just money. While still developing in the UK, this trend reflects a broader shift from buying more things to investing in lifestyle, experiences, and connection.
Nearly two-thirds (62%) of consumers report an emotional connection with the brands they shop from most often, and wellness is becoming a business imperative rather than a marketing add-on. Globally, the wellness market is projected to grow by up to six percent annually through 2028, and UK brands that authentically integrate it will be best positioned to win loyalty in a competitive market.
One change UK shoppers are readily seeing and feeling is the rise of resale. With household budgets under pressure, the secondhand fashion market is growing faster than the primary market, with the UK leading the way thanks to its long-standing love of charity shops, boot sales, and vintage finds.
All of this unfolds against a challenging economic backdrop. Trade tariffs, rising taxes, and fragile consumer confidence are weighing heavily on the industry. Three-quarters (76%) of fashion executives say trade disruptions will significantly impact growth in 2026, while 78% identify declining consumer confidence as the biggest threat.
However, there are signs of resilience. Nearly one-third of consumers say they are still willing to “splurge” if the product feels right. Jewelry, for example, is outperforming other categories as shoppers gravitate towards pieces that feel meaningful, durable, and emotionally resonant.
