Retailers are making bold bets on AI shopping assistants, with major names like Walmart, Amazon, Google, and Shopify integrating agentic AI into storefronts and support workflows. Walmart recently overhauled its AI agent ecosystem into streamlined “super agents” such as Sparky for customer engagement and Marty for suppliers, aiming to simplify interactions and boost efficiency.
Startups such as Zowie, Lily AI, and Revery.ai are also gaining ground, offering chat, visual search, and virtual try-ons to enhance discovery and conversion. The global AI shopping assistant market is forecast to hit $4.25 billion by 2025, growing at nearly 27% yearly toward a $28+ billion market by 2033.
Despite rising availability, consumer skepticism remains high. A recent YouGov survey found that although 43% of U.S. adults know of AI shopping assistants, only 14% have used one. Trust is low: around 41% say they don’t trust AI to make purchasing decisions.
Study data also shows 66% of shoppers refuse to let AI make purchases for them, even with potential savings, and 58% cite data privacy as a core concern.
Behavioral research highlights that users penalize algorithmic mistakes more harshly than human errors, and transparency remains a decisive factor in whether shoppers will engage with these tools.
Early results show promise: AI assistants are boosting customer service efficiency, with chatbots now handling 68% of retail inquiries and achieving about 73% satisfaction rates. Retailers report a 40% increase in average order value, improved conversion rates, and lifts in cross-sell performance when using personalized assistant tools. Visual search features increase engagement by up to 48%, while dynamic pricing and product bundling powered by AI drive both retention and revenue.
However, success hinges on addressing consumer fears. Ethical AI practices are crucial; like explainable decision-making, privacy protection, and bias audits, etc. Experts warn that without transparency or consumer control, adoption may stall despite superior tech.