Artificial intelligence (AI) is emerging as a valuable tool for agricultural retailers and farm supply cooperatives, offering new ways to improve operations, strengthen customer relationships and remain competitive in a rapidly evolving ag supply chain, according to a new report from CoBank’s Knowledge Exchange.
The research brief outlines how farm-centric AI platforms — ranging from basic communication tools to field-level agronomy apps — can help ag retailers optimize workflows, enhance employee productivity and deliver more personalized service.
The report recommends that retailers start small, such as using AI for email summaries, virtual meeting notes, or customer interaction tracking, before scaling to broader applications in HR, inventory, and agronomy. Tools like Microsoft CoPilot or AgPilot allow staff to streamline communication and make agronomic recommendations on the go.
AI adoption can also help address labor shortages, reduce human error, and boost continuity in service. While unlikely to replace ag retail jobs, it offers a path to more efficient task management and customer engagement—especially as competition increases from alternative distribution models and disruptive tech.
CoBank cautions ag retailers to balance adoption costs with clear ROI, establish safeguards for customer data and stay ahead of privacy changes. However, waiting too long to test out AI may result in missed opportunities in a tight-margin business environment.
