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GenAI Set to Transform Prime Day Shopping: Insights for Startups

GenAI shopping assistant impact Prime Day e-commerce

Generative AI is poised to reshape the online shopping landscape during Amazon’s anticipated Prime Day event. According to recent estimates, AI-powered tools and services will play a much bigger role this year, potentially setting new records for digital commerce engagement and spending. As Prime Day extends over four days (July 8–11), U.S. shoppers are expected to spend a staggering $23.8 billion online, representing a significant 28.4% jump from last year.

The AI Factor: Shopping Gets Smarter

Adobe, a leader in e-commerce analytics, has analyzed over a trillion visits to U.S. retail sites. Its latest report reveals that generative AI (GenAI) is rapidly gaining traction as a shopping assistant. Traffic arriving from GenAI-powered channels is projected to soar by more than 3,000% year-over-year during the Prime Day period. While this still trails traditional channels like paid search or email, the growth trajectory suggests AI-driven shopping experiences are here to stay.

Mobile shopping is another standout, forecasted to account for more than half (52.5%) of Prime Day sales. This signals a new era where convenience, personalization, and AI-powered recommendations converge.

How Shoppers Use GenAI

Adobe’s survey of 5,000 U.S. consumers shows that Generative AI is already part of the pre-purchase journey for many. Customers use GenAI to:

  • Research products (55%)
  • Get personalized recommendations (47%)
  • Find deals (43%)
  • Get gift ideas or discover unique products (35%)
  • Create and manage shopping lists (33%)

An impressive 92% of those using GenAI said it improved their shopping experience, and 87% are willing to use AI for higher-value or more complex purchases.

Big Tech Integrates AI Shopping Assistants

Major technology firms have noticed this trend and are now embedding AI features directly into their consumer shopping platforms. Google’s Gemini now enhances product search with AI recommendations, while OpenAI has equipped ChatGPT with specialized shopping functionalities that help users make smarter purchase decisions.

What’s Driving Prime Day Shopping in 2025?

This year, bargain-hunting remains a key driver. Adobe forecasts the biggest discounts in apparel, while back-to-school needs are expected to fuel additional demand. The combination of mobile shopping and AI-based personalization could further accelerate engagement and conversion.

Deep Founder Analysis

Why it matters

For founders and startups, the rise of generative AI as a shopping assistant signals a broader shift towards hyper-personalized commerce. AI’s ability to analyze preferences, automate research, and deliver relevant suggestions is redefining how consumers discover products and make purchase decisions. Early adoption of these technologies gives startups a competitive edge, preparing them for the future of e-commerce and retail.

Risks & opportunities

Opportunities abound for those who can integrate or build upon AI-powered shopping solutions—think digital shopping concierges, tailored recommendation engines, or deal-finding tools. However, as reliance on algorithmic suggestions grows, so does the risk of over-automation, data privacy challenges, and potential bias in recommendations. Market leaders will need to balance innovation with transparency and consumer trust.

Startup idea or application

Imagine a SaaS platform that empowers small retailers to instantly deploy custom GenAI shopping assistants for their own webshops—bridging the gap between big tech capabilities and independent e-commerce brands. This could include AI-driven chatbots that handle research, gift guidance, or even real-time deal aggregation, all tuned to the merchant’s unique catalog and audience.

For more on how AI is disrupting retail and big tech’s moves in this space, check out Meta Hires Apple’s AI Model Chief: What This Means for the Future of On-Device AI and How AI Is Poised to Disrupt Consulting — but Change Won’t Happen Overnight.

AI Shopping E-Commerce Trends Prime Day Generative AI Startup Insights

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