More than 40,000 people gathered this week for the National Retail Federation (NRF) conference, one of retail industry’s largest annual events.
A theme that emerged at the event was that retailers are being asked to provide more “human” services in their physical locations, just at a time when it’s becoming harder to hire, train and retain workers.
This tension is why Cisco and Proto Hologram’s recent demo at the event was so noteworthy. At the Cisco booth, the companies showcased Kailey, an AI-powered hologram chatbot that moves beyond holograms as theater and moves toward holograms as the practical frontier of the retail customer experience.
David Nussbaum, Founder of Proto-Hologram Kylie explained how it works:
“Kailey runs on a small language model deployed at the edge using Cisco’s Unified Edge platform, enabling natural, voice-based conversations without relying on the cloud.”
Nussbaum went on to describe Kylie as a real person who was live scanned at the conference and “brought to life” as an interactive hologram using prototechnology.
This experience is designed for natural, voice-based conversations. In the demo, customers were able to ask questions conversationally, receive immediate product and platform support, and interact with an interface that was more human-like than a screen-based chatbot.
Importantly, Proto Hologram configures its underlying architecture as edge-first, with a small language model deployed locally using Cisco’s Unified Edge platform, rather than relying on cloud connectivity.
Beyond the wow factor, why edge AI matters for retail CX
Retailers have been experimenting with kiosks, digital signage, QR journeys, and chatbots for years. The failure modes are well known. Customers either don’t notice them, or once they do, they abandon them if the answer is slow, irrelevant, or inconsistent with the reality in the store.
The edge deployment model changes some practical considerations. Latency is obvious. If a customer is standing in the aisle asking a question, the interaction needs to feel instant.
Resilience is another. Stores don’t always have perfect connectivity. A “cloud agnostic” experience reduces the impact of network instability on customer service moments.
There is also governance. CX leaders want clarity on how product and support knowledge is collected, updated, and managed across their locations. Attractive interfaces amplify both accuracy and inaccuracy, so the operational model is just as important as the demo.
Proto Hologram also confirmed that it is SOC 2 certified, a relevant reliability metric for retailers who require greater assurance regarding security controls when deploying customer-facing technology.
Retail use cases where you can test your holographic assistant first
Proto Hologram positions it as a “glimpse into the future of retail and customer support.” The focus is on AI that feels personal, runs locally, and appears as a human presence.
From a real-world retail perspective, the most logical early pilots are high-volume, repeatable interactions. This includes wayfinding, store policy FAQs, basic product comparison questions, and first-line troubleshooting for products and platforms where retailers frequently make returns and service escalations.
If this experience reduces repetitive questions, reduces support time, and increases confidence in purchasing decisions, it will stand out in your store. If you just want to create a momentary spectacle, it will be difficult to surpass flagships.
Mr. Nussbaum pointed out the importance of language ability as follows:
“Kailey is used by participants who speak multiple languages, a valuable signal for retailers operating across geographies or serving multilingual communities within a single store footprint.”
What CX leaders should measure before scaling
If you treat this as a CX feature rather than a gimmick, your scorecard must be results-based. This means increased conversions in pilot zones, reduced wait times for support, reduced common support queries, and customer satisfaction signals tied to specific journeys.
Feedback from your store team is also important. The in-store digital service layer must adapt to real-world operating conditions, such as peak traffic, noise, and the need for quick escalation to humans when queries go off-script.
Edge AI, real-time interaction, and holographic presence are a powerful combination. A more human interface also raises the bar for CX execution, as expectations are raised instead of lower.
In a world where AI and personalization continue to move closer to the point of service, winning retailers will be those that combine innovation and discipline, including clear use cases, rigorous content governance, and measurement to prove that the experience is improving the customer journey.
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