2025 is proving to be one of the toughest years for consumer goods companies, according to Salesforce’s new Consumer Goods Industry Insights Report. Weak consumer confidence, increasingly complex routes to market, softening returns from traditional revenue boosting strategies, and macroeconomic changes all threaten to squeeze margins. Perhaps unsurprisingly, more than half of consumer goods (CG) leaders (54%) say profitable growth will be tougher to achieve this year.
In response, leaders are betting big on AI. Nearly 9 in 10 believe AI agents — a type of AI that can act autonomously without human oversight — will be essential to compete within two years, and 88% expect them to directly boost sales.
“Embracing an AI-first world means reimagining an enterprise where humans and intelligent agents don’t just coexist, they collaborate,” said Athina Kanioura, Chief Strategy and Transformation Officer at PepsiCo. “With Agentforce, rich data is enabling better decision-making and efficiency across our organization, paving the way for a more resilient future-ready enterprise.”
Economic policy shifts impact CG leaders — price hikes a last resort thus far
• Of the many forces weighing on margins, nearly all CG leaders (98%) cite exposure to economic policy shifts, such as tariffs, which are impacting sourcing, operations, and margins.
• In response, companies are adjusting sourcing strategies, repackaging products, or relocating operations. Passing costs on to consumers remains a last resort, though intensifying margin pressures may soon leave companies little choice.
“AI’s ability to accelerate and augment our efforts is crucial amid change,” said Michelle Grant, Director RCG Insights at Salesforce. “Whether companies are adjusting sourcing strategies, negotiating with suppliers, or absorbing additional costs, AI can analyze demand patterns to optimize which products to prioritize, guide field teams on retail execution strategies, and predict demand more accurately so brands make smarter decisions across all these tactics.”
CG leaders turn to AI — including AI agents — for growth, efficiency, and innovation
• Even amid external pressures, CG leaders are most focused on AI, citing it as both their #1 challenge and #1 opportunity this year.
• Leaders expect autonomous agents to be indispensable by 2027:
o 89% of CG leaders believe AI agents will be essential to compete within two years.
o 90% expect their companies to increasingly invest in AI agents.
o 88% of CG leaders believe AI agents will help their company increase sales.
• Beyond revenue growth, CG leaders expect AI agents to help with creative work, too — from trade promotion creation and optimization to new product development — positioning AI as a profitability and innovation engine.
Traditional trade promotion profitability plateaus, but AI-driven personalization is a bright spot
• Trade promotions are one of the biggest expenses in consumer goods, yet less than half (46%) deliver a positive ROI — a figure that hasn’t budged in years.
• While vital for competing in-store and driving sales, the steep cost of trade promotions and uneven returns suggest traditional tactics may have hit their limits.
• Newer tactics, like AI- and data-driven personalized offers, deliver the strongest results of any trade promotion tactic, outperforming loyalty programs by nearly 20 percentage points.
With Direct-To-Consumer (DTC) and loyalty growth slowing, leaders are investing more in personalized digital offers and social media spend
• After years of chasing growth through DTC channels and loyalty programs, consumer goods leaders find those levers reaching a ceiling.
o 54% of CG leaders say it’s harder than ever to maintain consumer loyalty, with 74% of consumers switching brands in the past year.
• As customer journeys splinter across more channels than ever, brands are turning to personalization, social media, and AI to better connect with customers wherever they are.
o Companies are boosting spend across social (73%) and digital ads (67%), signaling a broader push to meet consumers where they are to drive growth.
o 70% of leaders are investing more in personalization.
“In 2025, price hikes, blanket promotions, and standard assortments can’t guarantee growth. Winning now means precision: using data, strategic trade promotions, and agentic AI to turn every step from the factory to the shopper into a revenue generating opportunity,” said Grant.
