Online shopping won the convenience battle.
Now physical retail is competing on something completely different: experience.
Retailers are increasingly transforming stores from places where customers simply buy products into places where they discover, participate, personalize, celebrate and connect with brands.
And the investment is measurable.
Retail Brew reported in 2026 that 78% of retailers are making moderate or significant investments in stores. Sixty-two percent said strengthening brand perception was a reason for their store investment, while 58% cited customer loyalty.
Source:Retail Brew — The State of Stores
Retail TouchPoints reported that 83% of retailers surveyed said store design and experience investments had become a bigger organizational priority.
Source:Retail TouchPoints — 2025 Benchmark Survey
Deloitte has described physical retail as undergoing a renaissance, noting that approximately 80% of shopping still takes place in physical stores and that four in ten retail executives planned to prioritize in-store experience investments.
Source:Deloitte — The Revolution and Evolution of Retail Stores
See the full collection of 2026 experiential retail statistics →
Why Are Retailers Investing in In-Store Experiences?
Direct Answer
Retailers are increasing investment in in-store experiences because physical stores can provide something ecommerce cannot fully replicate: human interaction, discovery, entertainment, tactile engagement, community and real-time personalization. The modern store is increasingly becoming both a sales channel and an experiential marketing channel.
The Store Is Becoming a Marketing Platform
For decades, retail success centered around location, assortment, price and inventory.
Those things still matter.
But when customers can buy nearly anything from their phones, simply putting merchandise on shelves is no longer enough to make a physical store distinctive.
The store can now function as:
- a product discovery environment
- a brand storytelling platform
- an event venue
- a community gathering place
- a content-generation opportunity
- a product personalization studio
- a loyalty-building experience
This explains why experiential elements are appearing inside department stores, beauty retailers, sporting-goods stores, luxury stores and specialty retailers.
Macy's Is Turning Retail Into Experience
In February 2026, Macy's introduced its year-long Celebrations Start at Macy's platform.
Macy's described the strategy as “turning retail into experience.”
The initiative includes immersive experiences, brand-led activations, Celebration Saturdays and in-store events tied to major cultural and seasonal moments.
Source:Macy's, Inc. — Celebrations Start at Macy's
Macy's later extended the model into summer programming featuring athlete appearances, entertainment and on-site product customization.
Source:Macy's, Inc. — Summer World Soccer HQ
The activation isn't necessarily outside the store anymore. The store itself can become the activation.
Ulta Beauty Increased In-Store Events by 40%
Ulta Beauty planned approximately 70,000 in-store events in 2025, compared with 50,000 the year before—an increase of approximately 40%.
Ulta's Chief Retail Officer explained that the company believes strongly in human connection and noted that most of its sales volume is generated through stores.
Source:Glossy — Why Ulta added 20,000 new in-store events for 2025
That investment is notable because these aren't simply store remodels.
They are reasons for customers to physically show up.
Personalization Turns Shopping Into Participation
One of the most interesting areas of experiential retail is live in-store personalization.
Instead of: Walk in → find product → purchase product → leave, the journey becomes: Walk in → discover experience → participate → create something → purchase → share → remember.
Customers may watch their jeans being engraved, cosmetics personalized, luggage tags printed, products monogrammed or other merchandise customized while they shop.
The merchandise becomes both a product and a memory.
Explore live engraving for retail activations →
Retailers Don't Necessarily Need a Major Remodel
Experiential retail can sound expensive because many examples involve architectural redesigns, digital displays and flagship stores.
But a retailer does not have to rebuild a store to make the store experiential.
Temporary and recurring activations can transform an existing retail footprint.
Live Product Personalization
Engraving, printing, monogramming, customization and live product finishing.
Customization Bars
Customers choose artwork, names, initials, graphics or designs and watch their item become personalized.
Brand Events
Launch events, seasonal celebrations, cultural moments and VIP shopping nights.
Interactive Gifting
A customer selects or creates a personalized takeaway rather than receiving another generic promotional item.
Demonstrations
A process becomes entertainment when customers can watch a product being made, engraved or printed in real time.
Why This Matters Even More in an AI-Driven World
The more efficient digital shopping becomes, the more important physical retail's unique advantages may become.
AI can recommend a product.
It cannot fully reproduce the experience of standing beside a friend while a pair of jeans is engraved with your initials, watching a product being created in front of you or participating in a live brand event.
Digital removes friction. Experience creates memory.
The strongest retail strategies will increasingly use both.
Bring an Experience Into Your Store
The Sweet Printer creates live personalization and interactive brand experiences for retail environments, pop-ups and special events.
Experiences can be designed around a retailer's merchandise, campaign, season, location, audience and desired throughput.
Instead of asking customers to simply visit a store, give them a reason to experience it.