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Google, Walmart partnering to turn AI chatbot into 'shopping assistant'

Google said Sunday that it is expanding the shopping features in its AI chatbot by teaming up with Walmart, Shopify, Wayfair and other big retailers to turn the Gemini app into a virtual merchant as well as an assistant.

An instant checkout function will allow customers to make purchases from some businesses and through a range of payment providers without leaving the Gemini chat they used to find products, according to Walmart and Google.

The news was announced on the first day of the National Retail Federation’s annual convention in New York, which is expected to draw 40,000 attendees from retail and technology companies this week. The role of artificial intelligence in e-commerce and its impact on consumer behavior are expected to dominate the three-day event.

Google’s new AI shopping feature works this way: if a customer asks what gear to get for a winter ski trip, for example, Gemini will return items from a participating retailers’ inventory.

In the case of Walmart, customers who link their Walmart and Google accounts will receive recommendations based on their past purchases, and any products they decide to buy via the chatbot could get combined with their existing Walmart or Sam’s Club online shopping carts, according to the statement.

OpenAI and Walmart announced a similar deal in October, saying the partnership would allow ChatGPT members to use an instant checkout feature to shop for nearly everything available on Walmart’s website except for fresh food.

Google, OpenAI and Amazon all are racing to create tools that would allow for seamless AI-powered shopping by taking chatbot users from browsing to buying within the same program instead of having to go to a retailer’s website to complete a purchase. 

Before the recent holiday shopping season, OpenAI launched an instant checkout feature within ChatGPT that allows users to buy products from select retailers and Etsy sellers without leaving the app.

San Francisco software company Salesforce estimated that AI influenced $272 billion, or 20%, of all global retail sales, in one way or another during the holiday shopping season.

The aim of deploying chatbots in e-commerce is to make it easier for people to find what they’re looking for. Instead of entering search terms and keywords, they can type or use voice dictation, and refine their searches through a conversational back-and-forth.

Walmart’s Furner said Sunday that the largest employer and retailer in the U.S. is trying to “close the gap between I want it and I have it” with the help of AI.

He and Pichaei announced from a stage at the National Retail Federation conference that Walmart plans to expand drone delivery service to 150 more stores in partnership with Wing, a division of Alphabet. The addition will bring Walmart’s drone delivery locations with Wing to 270 by 2027, stretching from Los Angeles to Miami.


Walmart booth at CES Technology Show (AP Photo Jon Locher)
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