AI Boosts Holiday Shopping: Big Tech's Bid to Spruce Up Your Gift List

by Kay Lee

A Flurry of AI Offerings from Big Tech

Big Tech’s aspiration to revolutionize holiday shopping reflects in the myriad AI-powered tools launched by OpenAI, Perplexity, Google, Amazon, and Walmart. According to a Bain survey, around 15%-30% of shoppers are expected to rely on AI to finalize their holiday gift lists this year. However, despite these technological marvels showing flashes of enchantment, a full replacement for the traditional shopping spree remains a distant prospect.

OpenAI Unveils an Artist’s Palette of Interactive Shopping

Last week, OpenAI unveiled its ‘Shopping Research’ feature, a sleek new tool that transforms vague gift ideas into an interactive shopping guide. While it promises a modernized experience with enjoyable interfaces and quick quizzes, the technology currently lacks instantaneous processing capabilities. It’s not connected to Instant Checkout, further frustrating those seeking seamless purchasing experiences.

Josh McGrath from OpenAI highlights its utility for niche products, yet admits limitations persist as it continues to evolve.

Perplexity’s Instant Buy: More Sizzle than Steak?

Perplexity launched its Instant Buy feature, claiming seamless purchases via PayPal. Nonetheless, a reality check reveals that access and functionality are restricted, with the service available for only limited products and brands.

Michelle Gill of PayPal acknowledges Instant Buy as a work-in-progress rather than a full-fledged alternative, designed for fewer but delightful shopping experiences.

Google Struggles with AI Shopping Limitations

Google’s AI Mode brings an array of possibilities—such as price tracking and automatic store calling—yet its potential is hamstrung by limited merchant participation and incomplete rollout. A notable handicap is its ability to compare against Amazon, as it restricts data scraping from its extensive catalog.

Amazon, Walmart, and Target Join the Fray

Amazon’s AI aide, Rufus, presents a versatile toolset aimed at enhancing user convenience by performing searches based on activities and automatically updating shopping carts. Nonetheless, underlying issues regarding the accuracy and generality of responses persist.

Meanwhile, Walmart’s Sparky and Target’s AI-enhanced offerings also face challenges, including accuracy and catalog limitations, though they signify a noteworthy stride in AI retail strategies.

Experiment, Don’t Expect—Yet

This holiday season, dabbling in AI-assisted shopping could bring delightful surprises. As per Fortune, while the tools are fast improving, shoppers may still need to visit websites or hit stores physically.

Next year might just be the year Santa needs an audio call before taking off. Until then, embrace the new-age shopping trials as you await traditional holiday cheer!