Agentic AI and Agentic Artificial Intelligence are transforming retail, giving businesses smarter, autonomous tools to personalise shopping, automate operations, and boost engagement — a global milestone in AI-driven commerce experiences.

Published: January 12, 2026

Google this week unveiled a suite of innovations aimed at helping retailers leverage Agentic AI and Agentic Artificial Intelligence to create smoother, smarter commerce experiences for customers from product discovery through post-purchase interactions. The announcements, made at the 2026 National Retail Federation (NRF) conference in New York, highlight efforts to standardise AI-centric shopping and equip businesses with autonomous assistants that act on behalf of customers and brands alike.

An open standard for AI-powered commerce

At the centre of Google’s latest retail push is a new industry framework designed to let AI agents communicate across platforms, streamlining shopping no matter where consumers interact with a brand.

Called the Universal Commerce Protocol (UCP), this open standard aims to unify how agents handle everything from product discovery and pricing to checkout and customer support — a full-funnel solution for Agent Based AI in commerce. By aligning with existing protocols such as Agent2Agent and Model Context Protocol, UCP provides a common language for AI systems and retailer back-ends to exchange information reliably.

Google has already secured support from more than 20 major partners — ranging from e-commerce platforms to payment networks — reflecting broad industry interest in interoperable AI shopping standards.

Customer shopping on a PC with an AI-powered retail interface.

This protocol isn’t just about technology under the hood. It’s engineered to shift user journeys so that AI assistants can handle complex tasks — including multi-step purchases and loyalty rewards — with minimal friction. Analysts say this could mark one of the biggest shifts in retail infrastructure since the rise of the original “buy button.”

Branded virtual agents enter the mainstream

Alongside the new protocol, Google introduced Brand Agent — a virtual retail assistant powered by the company’s Business Agent technology that interacts with shoppers in natural language.

Brand Agent is designed to respond to product queries in the voice of the brand itself, helping customers find information and guiding them through purchase decisions without requiring traditional search behaviour. Already deployed by retailers such as Lowe’s, Reebok, and Poshmark, Brand Agents can be customised using a merchant’s proprietary data to deliver more personalised responses and recommendations.

Retailers can train these AI helpers on unique product catalogues, customer preferences, and brand messaging — effectively giving every store its own digital sales representative available across Google Search and AI interfaces. By adopting Agentic AI tools, retailers can deliver far more personalised, autonomous shopping experiences that anticipate customer needs in real time.

In addition to real-time conversational support, Google is experimenting with “Direct Offers,” a marketing format that delivers tailored deals such as free shipping or bundle discounts directly within AI-enabled searches, further incentivising conversions.

Enterprise tools for consistent brand experiences

To help retailers scale this AI strategy, Google Cloud is rolling out Gemini Enterprise for Customer Experience, a toolkit that lets merchants build custom agents tailored to specific operational needs.

These agents go well beyond answering FAQs. They can manage stock updates, suggest personalised product assortments, guide customers through order processing, execute return workflows, and even help with loyalty programmes — all while maintaining a consistent brand tone across touchpoints.

Powered by advanced reasoning capabilities and multimodal interaction — spanning text, voice, images, and video — these agents bring a level of sophistication that many in the industry see as a turning point for retail automation. Early adopters like Papa John’s and Kroger are already using the platform to streamline digital ordering and personalise offers based on rich customer data.

Automation meets conversion

Google’s retail stack also includes tools that help merchants understand customer behaviour and optimise operations. Features such as natural-language discovery and conversational quality analytics aim to turn raw engagement data into actionable insights, while dedicated vertical agents streamline category-specific tasks like product browsing or voice ordering.

Man being assisted by an Agentic AI bot powered by Agentic Artificial Intelligence for customer support.

By leveraging AI to automate repetitive tasks — from replenishing inventory to generating trend reports — retailers can free up staff to focus on high-value strategic work, while shoppers enjoy faster, more intuitive interactions.

Broader implications for shopping and search

Google’s push into Agentic Artificial Intelligence-powered commerce reflects a broader trend toward AI agents that do more than respond to questions — they act on behalf of users, from research to purchase. As these capabilities mature, businesses will need to rethink how they manage product data, customer support, and digital marketing to stay competitive in an agent-centric landscape.

Here’s where brands and merchants will win:

Enhanced engagement: AI agents tailored to brand voice can deepen customer relationships.

Operational efficiency: Automated inventory, recommendations, and service reduce overhead.

Conversion lift: Integrated offers and seamless purchases shorten the path from interest to sale.

Mid-sized merchants and global players alike are watching AI adoption closely, with many already preparing for new search behaviours and transactional models where buying happens inside AI modes rather than on standalone storefronts.

By investing in Agentic Artificial Intelligence capabilities near the end of the customer journey, brands can ensure their AI assistants handle complex tasks, from predictive recommendations to automated checkout, reinforcing brand consistency and boosting conversion rates.

Looking ahead for retailers

Google’s vision for AI in retail points toward a future where agents act as proactive shopping companions — anticipating needs, suggesting alternatives, and completing purchases with fewer steps and greater convenience.

For brands, embracing these tools will likely require cleaner product data, robust integration with AI standards like UCP, and thoughtful preparation for new forms of customer interaction that blur the line between discovery and conversion.

As Agentic AI continues gaining ground across commerce, the retailers who harness its potential today could define customer experiences tomorrow.