The Disappearance of Retail Sales Staff: The Deep Impact of Accelerating Digital Transformation in the Industry
Sales staff from consumer goods manufacturers are rapidly vanishing from physical stores. This phenomenon stems from four factors: cost concerns for brands, shifts in supermarket revenue models, changes in consumer purchasing behaviors, and the rise of digital technology.
According to a report by Huxiu on June 20, 2026, sales staff from consumer goods manufacturers are rapidly disappearing from brick-and-mortar stores. While you might still spot brand representatives at chilled yogurt sections, they are becoming increasingly rare in the revamped stores of major retailers. Sales staff, who were once stationed beside product displays in every large supermarket, are now becoming a vanishing breed.
Huxiu’s article explains that this phenomenon is not merely the result of cost-cutting measures. Instead, it reflects simultaneous changes from three key stakeholders: brands, supermarkets, and consumers. The widespread adoption of e-commerce, transformation in supermarkets’ revenue structures, shifting consumer behaviors, and advancements in digital technology have collectively driven a fundamental change in the role of sales staff.
The Role Sales Staff Have Played
A decade ago, in large supermarkets across Shanghai, dozens of sales staff could be found in just the dairy section. Two major dairy companies would each assign around 10 staff members (working in shifts) to implement a “multi-point linkage” strategy. Even smaller supermarkets at the county level would station dedicated sales staff at a small one-square-meter milk display to capture the attention of passing customers and boost sales.
At the time, about 90% of consumer goods were purchased offline in supermarkets. E-commerce had not yet become widespread, and consumers relied on sales staff for product information. Due to significant information asymmetry, the sales pitch of these staff played a decisive role in influencing purchasing decisions. Industry research indicated that stores with sales staff saw an average sales boost of over 30% for the represented brands. Sales staff were truly the “trump card of the retail floor.”
Their contributions extended beyond sales. By maintaining a constant presence in stores, sales staff built strong relationships with supermarket employees and secured prime shelf space and display positions for their brands. For manufacturers, investing in sales staff was a cost worth bearing.
Declining Profitability for Brands
The most direct driver behind the reduction in sales staff is declining profitability for brands. Online platforms and emerging sales channels have gradually eroded foot traffic in supermarkets, leading to a drop in per-store sales. A promotional manager from a dairy company featured in Huxiu’s article disclosed that the company had cut 80% of its sales staff in county-level stores.
The math is straightforward. Hiring a sales representative at a county-level supermarket costs 3,500 yuan per month, including salary and social insurance. However, with monthly sales at these stores now falling below 20,000 yuan, the remaining profit—after accounting for costs and fees owed to supermarkets—is insufficient to cover the salesperson’s salary. Faced with shrinking consumer demand and increased pressure to cut costs, such unprofitable positions are often the first to be eliminated.
For years, sales staff have heavily relied on large supermarkets, which generate significant per-item sales and could support their employment. But as sales decline and profit margins are squeezed, manufacturers are finding it more cost-effective to allocate budgets to online advertising and promotions instead of maintaining labor-intensive strategies.
Changes in Supermarket Revenue Models
Transformations on the part of supermarkets are also accelerating the decline of sales staff. Traditionally, supermarkets generated revenue by charging manufacturers fees for entry, barcodes, and shelf space. Sales staff were seen as free labor from the manufacturers, and the more manufacturers allocated, the better for the supermarket.
Today, however, supermarkets are shifting toward profit models centered on product margins. They are focusing on streamlining their inventory to feature only best-selling items and increasing the range of private-label (PB) products. Since manufacturer sales staff tend to push their own products at the expense of PB sales, supermarkets are increasingly inclined to eliminate them.
A buyer from a supermarket, quoted in the Huxiu article, reflected this shift: “By eliminating manufacturer sales staff, we can remove artificial interference in the sales process, ensure unified displays and customer service, and promote our private-label products more effectively.” Newer supermarkets, in particular, are less dependent on revenue from manufacturers and aim to take control of sales floors with their own products and services.
At the same time, digital technology is replacing many of the functions previously performed by sales staff. Huxiu highlights Yonghui’s new stores as an example. Electronic screens installed on shelves now display product details, user reviews, price changes, and customer ratings when scanned. Smart guides help customers locate items and answer questions. With electronic shelf labels and digital displays, information that once required a sales representative is now directly accessible to shoppers.
This technological advancement has diminished the relative importance of sales staff. Electronic screens provide information that is more accurate and unbiased than a salesperson’s pitch, while smart robots assist customers without causing discomfort. Although initial investment in digital equipment is necessary, supermarkets save on labor costs in the long term.
Changes in Consumer Purchasing Behavior
Consumer purchasing habits have also undergone a profound transformation. According to the Huxiu article, today’s younger consumers prefer a free and undisturbed shopping environment and dislike being followed or solicited by sales staff. Many even deliberately avoid areas where salespeople are stationed.
These consumers trust information they research independently or reviews from other users, often viewing salespeople’s recommendations as biased. Even when approached with offers of “special promotions,” they confirm the deal’s value by checking prices and reviews on their smartphones. In a world where information asymmetry has largely been eliminated, the persuasive power of sales staff has become limited.
Supermarkets have adapted to these preferences by removing manufacturer sales staff and offering a “quiet shopping” experience. Creating a stress-free environment for customers to select products has also contributed to higher rates of repeat visits.
Evolving Roles for the Remaining Sales Staff
Sales staff have not disappeared entirely. Those who remain now play an evolved role, shifting from direct sales to serving as “brand ambassadors.” According to the Huxiu article, many brands now require their sales staff to create daily promotional videos for social media and manage localized account networks.
This approach allows brands to engage customers at far lower costs than partnering with third-party influencers on digital platforms. In high-traffic areas, some brands retain sales staff despite incurring losses at single-store levels, viewing their presence as essential for maintaining market influence. Increasingly, sales staff are tasked not only with in-store sales but also with digital content creation and communication through social media.
Huxiu concludes that the consumer goods industry is transitioning from broad, growth-centric strategies to precise, operationally efficient models. “The better the supermarket, the fewer sales staff it needs.” Mature supermarkets are more adept at meeting consumer needs with their own products, services, and digital capabilities, while positions unable to adapt to these changes are either eliminated or transformed. This shift is not limited to China but is a phenomenon observed in markets worldwide, including Japan.
Editorial Opinion
In the short term, the decline of retail sales staff will force brands to reconsider their promotional strategies. Investments in digital signage and AI-based guide robots will accelerate, while supermarkets focus on expanding their private-label products and consolidating control over the sales floor. Beginning with major Chinese supermarkets in late 2026, this trend is likely to spread across all of Asia. Demand for technology solutions to offset the reduction in sales staff will undoubtedly rise.
In the long term, the role of sales staff is expected to shift entirely from traditional in-store sales to becoming a key component of digital marketing. Brands will likely develop their sales staff into social media influencers, integrating their roles into both online and offline operations. The proliferation of electronic shelf labels and smart robots will drive greater digitalization in store management, enhancing the precision of personalized promotions based on consumer purchase data. Within a one-to-three-year timeframe, the proportion of sales staff in retail stores could drop to as low as one-third of current levels.
From our perspective, it is worth questioning whether the reduction of sales staff truly enhances consumer convenience. While a quieter shopping environment may be welcomed by many, the loss of professional guidance could also lead to a diminished shopping experience. How effectively digital solutions can replace human interaction remains an open question that requires further exploration.
References
- Huxiu: “The Disappearance of Consumer Goods Sales Staff” — Published on June 20, 2026
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