The tech giant Google is expanding its AI capabilities in the e-commerce landscape with its new agent-based tools. The move showcases a shift towards agentic commerce, where AI systems guide users throughout the buying journey and enhance the user’s shopping experience.
The key highlight is that Google has launched Universal Commerce Protocol. This open standard allows AI agents to work across the entire buying journey, from research and comparison to checkout, directly within the AI Mode search and Gemini apps.
The Details of Universal Commerce Protocol
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- UCP is co-developed with partners such as Shopify, Etsy, Wayfair, Walmart, and Target.
- Alongside, backed by payment providers such as Visa, Mastercard, American Express, and Stripe.
- The new protocol is here to reduce the work across discovery, check out, and post-purchase reactions.
- More than 20 retail and payment companies have already incorporated UCP.
Google will soon use UCP for eligible Google Product Listings that allow shoppers buy products directly from eligible U.S. retailers while browsing in AI Mode on Search and the Gemini app. Shoppers can pay using Google Pay with saved payment and shipping details. PayPal support will be coming soon.
Business Agent - A Branded AI Agent
Alongside UCP, Google is launching Business Agent, a branded AI assistant integrated into search results. It allows shoppers to chat directly with retailers, ask product questions, and receive guidance in the brand’s own voice. The business agent acts like a “virtual sales associate.”
“Business agent is live starting tomorrow with retailers including Lowe’s, Michael, Reebok, Poshmark, and other eligible US retailers who can choose to activate and customize the branded agent in the Merchant Center,” as stated by Google.
Direct Offers: AI Mode Advertising Pilot
With these two primary offerings, Google has also unveiled Direct Offers, a new AI Mode advertising pilot that allows retailers to surface exclusive discounts when AI detects the buying behavior of users is close to purchase. Early participants include Petco, Samsonite, and selected Shopify merchants.
It’s clear that agentic shopping will greatly impact the buyer’s purchase behavior, alongside redefine Commerce in several ways. It’s indeed the new era in shopping!
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