Luxury consumers are embracing artificial intelligence at a much faster pace than luxury brands, creating a growing gap between how shoppers buy and how companies market and sell their products, according to a new report from consultants Bain & Company.

The study found that AI has become a strategic priority across the luxury sector, including jewelry and watches. Nearly a quarter of surveyed luxury companies ranked AI among their top three priorities for the next three years, up from 5% in 2024, while 61% placed it among their top 10 priorities. Even so, most AI initiatives remain in pilot or testing phases rather than large-scale deployments.

According to Bain, luxury brands have primarily focused AI investments on operational and back-office functions rather than customer interactions. Customer-facing applications, including online retail, have seen considerably less large-scale deployment. Luxury maisons reported adopting AI for only about one in five customer-facing functions.

The report found that consumers are moving more quickly. As of April 2026, 54% of U.S. luxury buyers and 64% of Chinese luxury buyers said they used AI during their most recent luxury purchase, though only 27% in France. Usage was especially high among the biggest spenders, with 82% of large luxury purchasers reporting AI use during their latest purchase journey.

Consumers said they most often use AI to research products and brands, seek styling advice, summarize reviews, compare prices, and identify complementary purchases. Bain reported that 97% of luxury shoppers who have used AI intend to use it again for future purchases. Shoppers said AI tools supported faster and more objective decision-making, provided reassurance on fit and quality, and helped them discover products and brands they otherwise wouldn’t have considered.

These benefits suggest both risks and opportunities for luxury brands, according to the report. “On one hand, they risk losing potential customers and narrative control—a dangerous drawback given the industry’s already-shrinking customer base,” Bain’s researchers wrote. “On the other hand, AI presents major opportunities to build relevant brand awareness, reinvent acquisition, reinforce brand messaging, enrich the sales process, and elevate client experiences.”

The report also said generative search engines are becoming an increasingly important battleground for luxury brands. Roughly 75% of luxury-related AI prompts involve discovery or comparison, while about 70% of luxury searches on generative platforms do not mention a specific brand. Bain’s analysis found that third-party websites account for most citations in AI-generated responses, with official brand sites representing only 45% of cited sources in jewelry-related queries.

Despite the pressure to adapt, luxury executives remain cautious about introducing AI into client interactions. Bain said many brands are seeking to preserve the human element that has traditionally defined luxury service. The report concluded that luxury companies will need to balance rapid consumer adoption of AI with concerns about maintaining brand heritage, service quality, and personalized customer relationships.

“Luxury houses face a twofold urgency: moving from broad internal experimentation to real business impact, and building their presence within the new discovery environments represented by generative AI engines, as customers adopt AI at an accelerating pace,” said Joëlle de Montgolfier, executive vice president for Bain’s global retail and luxury practice and coauthor of the study.

“AI is no longer a distant prospect—it is already shaping and influencing the customer purchasing journey.”

Bain prepared the report in collaboration with Comité Colbert, a trade group for French luxury businesses.

The JCK News Desk uses AI to help research and produce the first draft of articles. This story was then reviewed by staff writer David Blomquist.

(Photo: Getty Images)

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