The State of Technology report reveals that retailers and suppliers are heavily investing in technology to drive food safety, supply chain resilience, consumer engagement and operational excellence, with a combined investment exceeding $10 billion. The upcoming GroceryLab event will foster cross-functional innovation for a seamless grocery ecosystem.
By: Doug Baker, Vice President, Industry Relations, FMI
How ready are we, as an industry, to serve a shopper who moves at the speed of technology? That question is at the heart of FMI's newly released The State of Technology report and the driving force behind our decision to launch GroceryLab.
In 2024, food retailers invested more than $10 billion in technology, about 1% of total sales, while suppliers committed an even greater share at 1.5%. Technology is not an optional upgrade; it is the infrastructure that powers food safety, supply chain resilience, consumer engagement and operational excellence.
That is why FMI is introducing GroceryLab, June 2-4, 2026, at Detroit's historic Gem Theater. Detroit, a city known for reinvention and innovation, offers the ideal backdrop for this innovation forum. GroceryLab will be the food industry's first cross-functional, behavior-shifting experience where merchants, operators, technologists and brand leaders co-design a zero-friction grocery ecosystem, anchored in empathy, fueled by trust and designed for execution.
From the debut of the first POS machine in 1974 to the $1.5 billion invested during the COVID-19 pandemic to keep families fed, our members have proven themselves to be technology pioneers.
The State of Technology highlights where our members are placing their bets:
- Artificial intelligence: Already in use by 47% of retailers and 93% of suppliers.
- In-store experimentation: 86% of retailers are testing technologies to improve efficiency, 80% to enhance customer experience and 63% to refine e-commerce strategies.
- Operational priorities: Product traceability, inventory planning, asset protection and workforce enablement.
These numbers confirm the industry is actively engineering the future, but they also highlight challenges. Investments must deliver measurable returns. The true test of technology is not its novelty, but whether it drives incremental sales, attracts customers and improves efficiency.
That is the purpose of GroceryLab — a launchpad for bold ideas. Together, we will connect investment to impact, inspiration to execution, and ideas to outcomes.
I am grateful to our blueprint builders who helped shape this event. We look forward to joining FMI members in Detroit as we take this true license to innovate.
Don't simply follow innovation, help us shape it. Learn more:
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