Target names its inaugural chief AI officer as retailers increase their investment in artificial intelligence.

      Target has appointed Chandhu Nair, an executive from Lowe’s, as its first chief AI officer, effective August 24. According to IBM research, the proportion of organizations with a chief AI officer has risen to 76% this year, compared to just 26% in 2025.

      Chandhu Nair, who previously served as senior vice president of stores, data, AI, and innovation at Lowe’s, will join Target as senior vice president and chief AI officer. The retailer has also designated Purvi Shah as senior vice president of user experience. Nair has a history of working at Staples and Gap, and he emphasized his goal at Target is to establish a "more coordinated approach" to technology, focusing on inventory management and expediting decision-making.

      "The most impactful AI stories won’t originate in a lab," Nair stated. "They will reflect real-time improvements on the front line, such as simplifying the shopping experience for guests, providing team members with better tools, enhancing business decision-making, or launching new ideas more swiftly."

      Target is entering this space not too late. Research from IBM’s Institute for Business Value indicates that 76% of surveyed organizations had a chief AI officer in 2026, up from 26% the year before, and those with such officers reported a 5% increase in returns on AI investments. This role is becoming standard, establishing itself as a critical job title created by the rise of AI.

      This appointment comes at a time when Target is working to regain the attention of shoppers and investors by investing in generative AI, including a tool named Target Trend Brain that predicts the styles, colors, and materials customers will be interested in. Last holiday season, the retailer introduced a chat feature to assist shoppers in selecting gifts.

      Competitors are also advancing in this area. Walmart has been implementing AI tools and agents throughout its stores and supply chains, while Gap has partnered with Google’s Gemini this year. Best Buy has formed collaborations with both OpenAI and Google.

      The push for AI has reached the highest levels of leadership. Former Walmart CEO Douglas McMillon mentioned to CNBC in December that he transitioned the role to someone "faster" who could leverage AI to boost the business, leading to John Furner assuming the position in February.

      "Approximately a year ago, I began to envision the future of agentic commerce, particularly the potential for AI in shopping, and realized that everything needed to evolve in the coming years, which made me think this was the right moment,” McMillon explained. Stripe's John Collison has expressed a similar belief, noting that agentic commerce will revolutionize shopping.

      The shift toward this approach is already more advanced in other regions. Companies such as Alibaba, Meituan, and JD.com are deploying shopping agents at scale in China, effectively replacing the traditional search bar rather than simply enhancing it.