#ai-commerce

#ai-commerce

The promised AI revolution in shopping is starting to materialise, with shoppers increasingly trusting agents for personal recommendations ahead of the festive season. Traffic to retail sites from AI tools is expected to surge fivefold year-over-year, with particular boosts on Cyber Monday and Black Friday, according to Adobe. "Traditional models of how consumers react with the web are going out the window," Max Sinclair, Azoma CEO, said. "Intelligent assistants begin to handle browsing, recommendations and purchasing on behalf of users."

This week brought big shifts in streaming, fresh AI experiments in commerce, major agency consolidation, and regulators keeping a close eye on ad tech. In today's MadTech Daily, we cover Meta planning to use conversations people have with its chatbots to personalise ads on its platforms, OpenAI preparing a social app for AI video, and the UK ordering new data demands for Apple users.

AI has upended the world of search. Whereas consumers used to start with a keyword search on Google, 68% of shoppers across the world have used AI tools like ChatGPT to shop, according to a report published by creative agency VML. In other words, keywords are being replaced with questions, blurring the lines between search as a performance marketing function and a brand marketing one.