AI shopping agents could disrupt Amazon and Walmart's advertising businesses
· 1h ago · Originally reported by WKZO
An analysis suggests that AI shopping agents, which research and buy products on behalf of consumers, may bypass the retail media ad ecosystems built by Amazon and Walmart. If shoppers delegate purchasing decisions to agents, sponsored listings could lose influence.
Why it matters
Retail media has become a major revenue source for large retailers; if AI agents do the shopping, brands may pay less for ads aimed at humans.
Explain it like I’m new here
If a robot does your grocery shopping for you, it won't stop to look at the flashy signs in the aisles.
Terms in this story
Retail media
Retail media is advertising sold by retailers, on their own websites, apps and stores or elsewhere using their shopper data, letting brands reach customers close to the point of purchase.
Sponsored products
Sponsored products are ads that promote specific products within a retailer's or marketplace's search results and product pages, looking like regular listings but labelled as sponsored.
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