Redefining Retail & Leisure
This promises to be a pivotal year for the retail and leisure industries as innovation, sustainability and immersive experiences redefine the landscape. The retail, food & beverage, hospitality and e-commerce operators that embrace the new trends that are on the horizon will be well-positioned to thrive in an increasingly competitive market.
According to JLL’s research paper entitled ‘Prepare yourself for the future of retail’ by research authors James Cook, Americas Director of Research Retail, Flore Pradère, Research Director, Global Work Dynamics and Steven Lewis, Head of Work Dynamics Research & Global Head of Insight, since the emergence of e-commerce in the 1990s, some observers had predicted the demise of in-person shopping. They were mistaken. What has emerged is much more complex than a simple, binary online/offline shopping dichotomy. Consumers today enjoy a growing number of ways to shop that cater to their individual needs at any given moment. From delivery to click-and-collect to personalised in-store shopping, the retail ecosystem has exploited new technology to give consumers exactly what they want.
Over the coming pages, RLI will take a look at some of the major sectors to highlight a selection of key global trends that will revolutionise the industry and pave the way for an exciting year and time and ahead.

Retail & Leisure Sector
One key trend in the retail sector for this year will be the reinvention of physical spaces. Sam Richardson, Executive Engagement Director at Twilio highlights that 2025 will be an exciting time for brands. She comments that after the supposed ‘death of the high street’, we are witnessing a reinvention of physical retail spaces – just look at the return of HMV’s flagship store on Oxford Circus, a perfect example of the high street’s revival. Leading brands are creating spaces of beauty, discovery and wonder, offering playful, human and tactile experiences that truly resonate with their audience. Take Sephora, for example, with its ‘Ready for more black and white stripes?’ takeover of Newcastle.
It was playful, engaging and perfectly targeted. With overnight queues on launch day, it’s clear the high street is far from dead. We’ll see more of this in the year ahead, as more brands better understand consumers’ needs across both physical and digital touchpoints. It’s all about establishing the balance and putting a smile back on our faces across all brand-customer interactions.
In addition, Graham Smith, Strategic Account Director at Gophr comments that 2025 will be a pivotal year for retail as stores face mounting pressure to prove their worth in an increasingly digital-first world. Budget constraints mean retailers will need to be savvier than ever, using every tool at their disposal to maximise profitability. Ship-from-store models will be the hero of this transformation, turning physical locations into mini-distribution hubs for local fulfilment.
He continues by saying that this strategy not only reduces delivery times but also strengthens the connection between the retailer and the customer. By blending the immediacy of e-commerce with the physical presence of stores, retailers can create a hybrid experience that keeps customers coming back. In 2025, those who embrace this approach will stand out in a crowded market, demonstrating that physical retail is far from dead – it’s just evolving.
In his opinion piece, ‘Seven retail trends for 2025’, Orlando Martins, Author at Raconteur highlights that in the year ahead the retail sector must trust in digital and be aware of the rise of resale and the revival of the department store. He goes onto say that department stores, which seemed destined for extinction just a few years ago with the likes of Woolworths, BHS and House of Fraser unable to fend off low-cost digital disruptors, it seemed online platforms had appeared to conquered traditional retailers.
However, by providing an accessible platform for disruptor brands, department stores are returning to their roots as places of surprise and delight, where customers can discover new products and brands can progressively grow exposure from pop-ups through to larger concessions. Martins highlights that brands such as Browns of York, Morleys, Wolf & Badger and Harvey Nichols, for example, have benefited from their presence in department stores.
Meanwhile Bernard Marr, Contributor to Forbes with his article ‘The Future Of Retail: 10 Game-Changing Trends That Will Define 2025’ explains that the retail industry is on the cusp of its most dramatic transformation yet and he is excited by how 2025 is shaping up to be a watershed year where science fiction meets shopping reality. He points out that in an age where consumers want to know the lift story of their morning coffee, transparency isn’t just nice to have – it is essential. 2025’s shoppers aren’t just asking “how much?” but “how was this made?” Smart retailers are turning their supply chain transparency into a competitive advantage, making their sourcing and sustainability practices as visible as their price tags.
Another of Marr’s point’s focuses on the pre-loved revolution saying that in 2025, the resale market isn’t just for bargain hunters anymore. When giants like Ikea, Levi’s and Zara are launching their own resale platforms, you know the game has changed. Meanwhile, platforms like Vinted and Depop have transformed from quirky marketplaces into retail powerhouses.
As we welcome this New Year, another topic that continues to thrive is that of wellness, as it continues to evolve, reflecting the shifting priorities of individuals and society. In 2025, the focus on holistic health, sustainability and intentional living is more critical than ever. From nurturing mental well-being to making environmentally conscious choices, this year’s wellness trends encourage us to slow down, reconnect with ourselves, and embrace balance in all aspects of life. This is the opinion of Nel-Olivia Waga, Founder of the lifestyle blog her-etiquette.com and Forbes Contributor in her article ’25 Wellness ‘Ins’ And ‘Outs’ For 2025.

Hospitality Sector
Like many sectors, the hospitality industry is poised for transformative changes in 2025, shaped by global dynamics, technological advancements and evolving guest expectations. This comment is from Tom Brown, Senior Copywriter at Mews in his piece ‘See the future with the 2025 Hospitality Outlook’. His article firstly reflects on 2024 and how it saw a stabilisation of the industry, with RevPAR growing by three to four per cent and occupancy rates nearing pre-pandemic levels. He continues by saying that hospitality’s recovery has been shaped by persistent global uncertainties: ongoing geopolitical conflicts, extreme weather events and shifting political landscapes. Amid these challenges, hoteliers have shown remarkable resilience, setting the stage for strategic, long-term planning in 2025.
As part of the article, Brown comments that staff productivity will rise this year after the hospitality industry has long grappled with labour shortages and productivity stagnation. In 2025, modern technology (particularly AI) promises to change the game. Automation will alleviate repetitive tasks, allowing staff to focus on guest interactions and higher-value responsibilities. By empowering employees with user-friendly technology, hotels can improve efficiency and job satisfaction, addressing the labour crisis while elevating guest experiences.
In his article for GuestCentric, ’11 Hotel Trends to Watch in 2025’, Pedro Colaco comments that 2024 was a wake-up call for the hotel industry. Record performance may have stolen headlines, but the reality was less glamorous: growth rates stabilised and staffing gaps stretched resources thin. The industry is at a tipping point and although technology and automation promise relief, many hotels still cling to outdated systems for fear of digital change. His piece continues by saying that in 2025, tech-driven efficiency isn’t just a trend – it’s a survival strategy. Yet, some things won’t change: guests will continue to want to be delighted and hoteliers will seek tech partners who simplify operations rather than adding complexity.
His article then lists numerous trends for this year that will be of upmost importance to the sector. These are elements such as being mobile-first and how this is now mandatory and no longer optional. He says that with 32 per cent of travellers booking via smartphones, according to TravelPerk, hotels that prioritise mobile will win in 2025 and those that don’t will become invisible. Seamless, on-the-go booking isn’t a convenience; it’s a must. From lightning-fast load times to mobile-specific offers, a mobile-first strategy is the price of entry for competing in 2025.
Another element of the hospitality industry, F&B, is also changing at a rapid pace and as we begin to move through 2025, food industry trends are positioning the industry for a new era shaped by bold innovation, a heightened focus on health and an increasing demand for sustainability. This is the opinion of the Foodology by Univar Solutions team who in their article ‘Top 7 food and beverage industry trends for 2025’ highlight seven trends that will likely shape the food and beverage industry’s overall outlook for 2025.
Included within these is the opinion that consumers today desire natural, ethical and nutritional products and this has driven a significant shift towards plant-based foods. The article explains that this evolution sees this category as not just a substitute for meat but as a mainstay in diets globally, offering unique health benefits like increased fibre and a broad spectrum of vitamins and minerals. Thus, the focus is gradually turning away from mock meat and instead gravitating towards celebrating the intrinsic qualities of plant-based ingredients, evident in the rise of nutritional ‘toppers’ that enhance meals with added plant variety and nutrition.

Social & E-Commerce Sector
2023 saw e-commerce take centre stage. 2024 saw consumers asking for more – of everything, more sales and marketing personalisation, more product options and more ways to connect with businesses on-demand. This is the mantra put forward by Doug Bonderud, an-award winning writer in his blog piece entitled ‘Top Ecommerce Trends To Watch in 2025’ on the Salsify Ecommerce Blog. In his article, Doug highlights ten trends to keep an eye on in 2025, three of these are:
Artificial Intelligence (AI) Gets Smarter and Faster: 2024 saw many companies lean into generative artificial intelligence (GenAI). AI has come a long way in just a few short years, from sales and marketing copy to customer service and support. For e-commerce brands, GenAI offers a way to enhance product descriptions, increase the efficacy of post-purchase follow-up and improve customer service. According to recent data from Alvarez and Marsal, 38 per cent of e-commerce business leaders expect to see significant spending on and generate considerable revenue from AI in the next year.
Augmented Reality (AR) Lets Customers See Things That Aren’t There (Yet): IKEA took the lead on augmented reality back in 2017, by letting customers design the room of their dreams online. While the company was ahead of its time, it seems the rest of the market is finally catching up. According to Statista, 42 per cent of UK and 41 per cent of US shoppers will use AR to shop online this year.
Online-to-Offline (O2O) Buying: For e-commerce brands that operate both digital and physical storefronts, there’s a growing shift toward online-to-offline (O2O) buying. The idea here is that while customers spend consistently online, they’re less likely to make impulse purchases. As a result, brands are now looking for ways to get boots in stores by offering options such as buy online, pickup in-store (BOPIS). The caveat? Making the trip has to be worth it for buyers. This could mean offering a discount for in-store pickup or a reduced price on the next item purchased in-store.
In the e-commerce world, some trends come and go — but others have the potential to permanently change how customers shop online. This is the viewpoint of Haylee Reed, Content Marketing Writer at BigCommerce in her article ’12 Ecommerce Trends That Are Powering Online Retail Forward’. She continues by saying that with a projected 39 per cent growth in global e-commerce sales by 2027, it is no surprise that many retailers want their piece of the pie. Looking to the coming year, e-commerce business need to assess which trends to adopt in order to keep pace with the competition.
For example two of the trends leading the way that Haylee highlights are:
AR brings the in-store experience online: According to eMarketer, the number of AR users in the US will exceed 100 million by the end of 2025, making up 32 per cent of the population. No doubt, AR and VR (virtual reality) are revolutionising the online shopping experience by bridging the gap between the physical and digital worlds. Today, major retailers are leveraging AR for virtual try-ons and interactive 3D product views, allowing shoppers to visualise products in their real-world environments, thus increasing buyer confidence and reducing return rates.
Mobile shopping is still on the move: Many of us go day-to-day with a smartphone within arm’s reach – which means shopping is also going mobile. In fact, the share of mobile commerce in all e-commerce has been on the rise and is expected to reach 62 per cent in 2027. In response, online businesses need to ensure their e-commerce sites are responsive on mobile and provide a seamless experience across all devices. This means optimising content for smaller screens, enabling one-click ordering and offering other conveniences that support on-the-go shopping. @RLI_Global