Next

Operating in over 70 countries worldwide with franchise stores across Europe, Asia and the Middle East, Next also leverages its infrastructure by offering a complete suite of online services to third-party brands under ‘Total Platform’. 

It’s been a landmark year for Next. The clothing retailer hit the £1bn profit milestone last year and is forecast to repeat this performance in 2025. It also enjoyed a bumper Christmas performance in 2024, posting an increase in full-price sales by 6% against the same period last year.  

In addition, Next saw some festive gains in its web traffic, which grew 24.3% from November to December according to Similarweb. While web traffic declined -7.2% from December 2023 (42.5 million) to December 2024 (39.4 million), the brand boasted a strong average conversion rate of 7.13% in 2024. 

The impact of rising costs, however, hasn’t been ignored. In January 2025, Next announced its intention to offset increased wage costs following the Budget with “unwelcome” price rises. It is implementing an increase of around 1% in selling prices on like-for-like clothing over and above any factory gate price increases, which it said has “fortunately” seen 0% inflation so far. It expected price rises to remain below the Bank of England’s target for inflation of 2%.

When it comes to Next’s strategy, the past year has been all about breaking into new markets, both at home and abroad.

After highlighting overseas ambitions as a key growth strategy, in April 2024, the brand struck a franchise deal with Indian marketplace Myntra.  

Partnering with a well-established retailer in the country is a savvy way for Next to enter the Indian market, which has a huge appetite for clothing and footwear.  

The deal will see between eight and 10 Next-branded stores launched in Indian cities including Delhi, Mumbai and Bengaluru within the next few years. Next will also have “an extensive presence” online with Myntra. 

Additionally, Next expanded into the UK’s luxury market last year.  

In October 2024, it launched a new online premium fashion platform called Seasons, in a bid to serve “overlooked” customers seeking “investment-worthy pieces” to build an “elegant and timelessly fashionable wardrobe”.  

The high-quality, curated fashion offering encompasses products from luxury brands including Marc Jacobs, Paul Smith and Coach. 

Next said Seasons will offer an “unmatched” level of service including next-day delivery and 500 national collection and return points. 

It plans to expand the ecommerce platform internationally towards the end of 2025.

Ocado Retail

The joint venture between Marks & Spencer and Ocado Group, operates solely in the UK, with ambitions to “be the biggest online grocer” in the country. Parent company Ocado Group facilitates the retailer's tech infrastructure with leading logistics software. Ocado Group operates in the UK and at least 10 other countries including the US. It also partners with grocery retailers globally including Morrisons, Coles and Panda Retail.  

Ocado Retail delivered a strong performance in 2024, spending several consecutive months as the fastest-growing retailer in the Kantar UK grocery market share charts. It also enjoyed another record-breaking Christmas, hitting a new peak of 500,000 orders per week.  

Much of the growth seen in 2024 was driven by new customer acquisition, which jumped 12.1% year on year. The retailer achieved this by working hard to shake off perceptions the brand was “too pricey,” and convince consumers it delivers “reassuringly good value”.  

This was achieved through an attractive promotion for new customers – 25% off new customers’ first shops and a three-month free smart pass – and six ‘Big Price Drops’ between June 2023 and August 2024. These measures sit alongside Ocado’s Price promise, introduced in March 2023, which matches customers’ shop to Tesco.com on more than 10,000 products, including Clubcard prices. 

Ocado Group is a global leader in automation and robotics. Its fully automated Luton customer fulfilment centre is now home to 40 proprietary robotic arms, which “pick a fair proportion of the range,” in addition to 550-series robots, which enable a 50-item order to be picked from the site in just 10 minutes.

In addition, Ocado retail is working on delivering “unbeatable choice” to customers, with recent partnerships including Holland & Barrett and Virgin Wines. Over 300 Holland & Barrett products were added to the Ocado ecommerce site in January 2025, aiming to cater to a wide variety of more health-conscious shopper missions. A range of 50 wines from Virgin’s assortment was added to the site in October 2024, marking the first time Virgin Wines had been available as individual bottles, rather than multi-bottle cases.  

Tesco

According to the World Economic Forum, Tesco is the third-largest retailer in the world by gross revenues, and the ninth largest by revenues. This isn’t surprising based on its global reach; it has stores in seven countries across Asia and Europe, and is the market leader in the UK, Ireland, Hungary and Thailand. 

Tesco has long been a leader in customer experience (CX), thanks to its trailblazing loyalty scheme that operates in multiple countries including the UK, Ireland, the Czech Republic, Slovakia and Hungary. The scheme gives the grocer access to valuable customer data, allowing the brand to better serve shoppers.

In January, Tesco boss Ken Murphy hailed the supermarket’s “biggest ever Christmas” trading period, citing investments in value, quality and service.

Investments included “improving quality across all ranges” and “providing the best experience for [their] customers in-store and online,” which was supported by an extra 28,000 colleagues over the Christmas period.

As Tesco’s Clubcard celebrates its 30th birthday in 2025, the brand is piloting an exciting change to its loyalty scheme. ‘Your Clubcard Prices’ will offer customers bespoke discounts based on their shopping behaviour.

Every Wednesday, participating customers will receive new offers, which will be valid for seven days, and they will be able to buy their discounted products more than once.

Reflecting the ongoing popularity of its Clubcard, the Tesco app was the fourth most downloaded app in the UK in 2024 – the highest of any grocer. 

Meanwhile, in June, Tesco launched the ‘one-stop-shop’ online marketplace, which displays third-party goods alongside the grocer’s own range after data insights revealed customers were searching for products the supermarket didn’t sell.

The platform launched with around 9,000 products across DIY, garden, home, pet care and toys, but by August, more than 20,000 products were on its virtual shelves.

While goods from external sellers are listed next to Tesco groceries, deliveries are fulfilled directly by suppliers. 

The Very Group 

The Very Group aims to be a world-class digital leader and boasts over 2,000 brands across home, fashion and electricals. Its focus on fully digital experiences, deep understanding of customer data and commitment to offering flexible ways for customers to pay, earns it a place on our list.  

The Very Group enjoyed a strong golden quarter in 2024, delivering 2.3% growth in year-on-year UK retail sales in the seven weeks to December 27. This followed a “resilient” full-year performance reported in October. 

While its web traffic for the last year has been challenged by tumultuous market conditions (traffic dropped -9.6% year on year in December 2024 and -12.3% month on month), the retailer maintains a strong conversion rate, with average conversion at 4.43% in 2024. The Very Group said in October that “careful cost management” coupled with a “loyal and growing customer base” are driving resilience.

Forward-thinking Very has truly embraced the ecommerce opportunities of AI and data, with this tech embedded across many elements of the business. 

Through a partnership with Amazon Web Services, the brand uses AI-driven time series modelling and seasonality profiling to improve stock level predictions, ensuring better product availability – particularly during peak trading periods like Black Friday and Christmas.

Its generative AI Innovation Lab was developed to “deliver interactive and personalised digital shopping experiences to millions of customers”. It has trialled new generative AI-powered retail solutions to revolutionise how customers shop through its platform. Speaking on the launch in November 2023, chief information officer Matt Grest said: “We want to be recognised as one of the UK’s leading AI-powered retailers,” emphasising their drive in this space.

Recognising the evolving nature of AI, The Very Group is prioritising upskilling its workforce. In September 2024, it partnered with Multiverse to launch a new data academy to develop 11 of its data professionals who will enrol onto a 39-month degree-level Advanced Data Fellowship course.

In September 2024, The Very Group announced its ambitions to “become the choice retail media network for brands”, on the launch of its retail media proposition dubbed ‘Very Media Group’. Working alongside retail media operator SMG and advertising company Criteo, the brand aims to create the right campaigns for the right customers, driving sales for brand partners.

The Very Group claims 1.4 million daily site visits, with a strong 4.4 million customer base, so it has a lot to offer its potential clients.

Its media proposition is said to also integrate above-the-line, experiential and influencer marketing, collaborating with brands on bespoke campaigns targeting specific audiences online.

Walmart 

The world’s biggest retailer by revenue according to the NRF, last year saw Walmart increase its investments in tech-driven innovations across its over 10,500 stores in 19 countries. Not only did the retailer expand its AI capabilities –  implementing generative AI-powered search on iOS – and increase its drone delivery capabilities, but it introduced two key innovations targeting younger shoppers.

In April 2024, Walmart partnered with online game platform Roblox to launch a new shoppable experience in the metaverse called ‘Walmart Discovered’. Through the platform, customers can purchase real products, such as bags, water bottles or wireless headphones.

After clicking ‘buy’ users complete the transaction with payment and shipping details on a webpage, while also receiving a digital version of the item for their avatar.

For the initial test, Roblox did not earn any revenue, instead gaining valuable insights into demand and consumer reactions.

Walmart is also targeting younger consumers through its ‘Shop with Friends’ social platform, which it developed after a company leader witnessed their daughter sending photos of different outfits in a store to friends.

Users can choose from a series of models to find the closest likeness and create a virtual fitting room of outfits they like. They are then shown how the outfits look on their chosen model and can share a link to their fitting room with friends, who can virtually like their favourite picks.

Vitally, there’s no way to give negative votes or more detailed feedback – this is the company’s way of avoiding ‘negative trolling’. Users are also not required to install any apps or create an account to vote, allowing potential shoppers to browse without barriers.

This follows similar online shopping initiatives from Walmart, including virtual glasses try-ons, launched January 2024, and an AR view-in-your-home feature for furniture, launched June 2022.

Walmart’s groundbreaking omnichannel efforts are reaping rewards. Its 2024 full-year performance figures revealed 6% revenue growth, which the brand put down to its omnichannel model continuing to “resonate” with customers.

Delighting customers with personalised experiences

In November 2024, 81% of customers surveyed admitted to preferring companies that offer a personalised experience in the State of Customer Service and CX study by Shep Hyken.

It’s unsurprising, then, that the majority of retailers have prioritised personalisation. From unique adverts and dynamic pricing to customised landing pages and product recommendations.  

So, how are retailers continually improving personalisation?

While many brands make use of customer data to personalise customer experiences, fashion retailer Levi’s – which sells its products in over 110 countries –  is actively surveying customers to ensure they have the best experience possible.

Buying jeans online is a pain point for many customers who need to ensure the right fit. To overcome this obstacle to purchase, Levi’s launched a jeans fit guide in November 2024 on Amazon’s Alexa device in Germany.

After commanding: ‘Alexa, start the Levi’s fit guide,’ customers are guided through questions that determine their gender, style and fit preferences, before the tool recommends the best fit.

Metaverse shopping

When shopping in the metaverse, customers experience browsing, purchasing, and interacting with products in virtual, immersive environments via virtual reality (VR), augmented reality (AR) and 3D technology.

This pioneering tech merges ecommerce, gaming and social experiences, offering personalised and immersive retail journeys.

The metaverse concept has faced challenges like user experience, technology accessibility and consumer readiness, but there is still customer appetite for the tech. In Feburary 2025, YouGov surveyed 1,000 US adults. It found 26% have used the metaverse in the past 12 months, with this rising to 80% for those owning a VR headset. In fact, 22% had shopped for physical products and 14% purchased virtual products. 37% said they’d be more likely to use the metaverse in the next year if there were more opportunities for virtual shopping or exclusive deals.

So, who’s trying it out?

Ikea launched on game platform Roblox in June 2024, opening a virtual UK store and recruiting 10 real-life employees to work in-game for £13.15 per hour.

The Co-Worker Game allows players to experience retail roles, serving meatballs, assisting customers and managing virtual showrooms. The initiative aims to engage a new demographic, showcasing retail careers in an interactive, innovative way.

Meanwhile, Benefit is enhancing its omnichannel strategy with its first virtual 3D shopping experience. The Benemart launched in partnership with Obsess in August 2024.

Available in the UK, US, Germany and France, the immersive platform allows users to shop as avatars, customise makeup looks and interact with friends via voice chat and games, tapping into Gen Z’s preference for social commerce.

This complements Benefit’s physical pop-ups, like its latest in November, in London’s Carnaby Street, creating a seamless blend of digital and in-person experiences.

What’s next for metaverse shopping?

Advancements in AR, VR and blockchain technologies are expected to make virtual shopping more immersive and accessible.

As these technologies evolve and consumer interest increases, metaverse shopping could become a more integrated part of the retail landscape, offering personalised and interactive shopping experiences.

Social commerce

Social commerce is a hugely effective tool in removing friction from customer experience. After all, it allows users to find, purchase and review products, without ever leaving TikTok, Instagram, Facebook, Snapchat or other social media apps.

In 2024, social commerce made up nearly 20% of all ecommerce sales, up from just 5.5% in 2018. Social commerce revenue is forecast to reach $6.2trn (£5.06trn) worldwide by 2030.

In an increasingly digital marketplace where consumers rely on social media for product discovery and purchasing decisions, retailers must prioritise their social commerce strategies to drive sales.

Next is one example of a retailer harnessing the power of social commerce via integration with Facebook and Instagram. Customers can now browse and purchase products directly through Next’s social media pages.

Similarly, fashion retailer Asos is aiming to engage its tech-savvy Gen Z audience with its dynamic social commerce strategy.

The brand shares interactive video content on TikTok, offering product highlights and styling tips to inspire, and then converting shoppers’ interest into sales through TikTok’s seamless shopping capabilities.