Gemini and Search gain agentic commerce tools backed by Flipkart, Wayfair, more

Google has announced a groundbreaking initiative aimed at revolutionizing online shopping through what it calls agentic commerce. This innovative model empowers artificial intelligence systems to handle shopping-related tasks on behalf of users, moving from concept to practical application. Central to this initiative is the introduction of the Universal Commerce Protocol (UCP), which Google describes as an open standard designed to streamline the interactions between AI agents, retailers, and payment systems throughout the entire shopping process. This includes everything from product discovery to checkout and even post-purchase support. UCP eliminates the need for distinct integrations for each AI agent, providing a unified framework that facilitates easier collaboration between various systems. It is designed to function across multiple retail categories and aligns with existing industry standards, such as Agent2Agent and the Agent Payments Protocol. Notably, UCP has been developed with input from a diverse group of companies including American Express, Shopify, Etsy, and more than 20 other partners from the payments and e-commerce sectors. Initially, UCP will support a novel checkout feature on qualifying product listings displayed in AI Mode within Google Search and the Gemini app. This will enable users in the United States to finalize purchases while still researching products, without the need to navigate to a separate retailer's website. Payment processing will be conducted through Google Pay, utilizing information already saved in Google Wallet, with support for PayPal anticipated in the future. Retailers will retain their status as the seller of record and can customize the integration to fit their systems. Future enhancements are planned, including loyalty rewards, improved product discovery, and broader international access. In addition to UCP, Google has unveiled the Business Agent tool, which allows shoppers to engage with brands via a conversational interface directly on Google Search. This feature acts as a digital sales assistant, answering product questions based on the retailer's provided information and tone. Initially, Business Agent will be available with select US retailers such as Lowe’s and Reebok, with plans for more to follow. Google is also enhancing its Merchant Center with new data attributes aimed at improving product visibility in AI-driven experiences. These attributes will extend beyond traditional keywords, incorporating responses to common customer inquiries and related product information. To support advertisers, Google has introduced a pilot program called Direct Offers, which presents exclusive discounts directly within AI Mode results, targeting shoppers who are ready to make a purchase. With these advancements, Google is positioning itself at the forefront of a new era in online shopping, leveraging AI to create a more seamless and engaging consumer experience.