AI Shopping Assistant Market Report 2026

The artificial intelligence (AI) shopping assistant market size has grown exponentially in recent years. It will grow from $5.28 billion in 2025 to $6.9 billion in 2026 at a compound annual growth rate (CAGR) of 30.6%. The growth in the historic period can be attributed to increasing adoption of personalized shopping experiences, increasing demand for automated customer support, rising use of ai chatbots in e-commerce, rising integration of visual and voice search, and growing online retail penetration.

The artificial intelligence (AI) shopping assistant market size is expected to see exponential growth in the next few years. It will grow to $19.91 billion in 2030 at a compound annual growth rate (CAGR) of 30.3%. The growth in the forecast period can be attributed to growing need for real-time product recommendations, increasing use of data analytics for customer behavior insights, rising focus on improving conversion rates, and growing deployment of artificial intelligence (AI) in mobile shopping apps. Major trends in the forecast period include advancement in multimodal artificial intelligence (AI) shopping assistants, advancement in hyper-personalized recommendation engines, innovation in generative artificial intelligence (AI) for conversational commerce, innovation in visual and voice-driven product search, and integration of artificial intelligence (AI) assistants with augmented reality (AR) or virtual reality (VR) shopping experiences.

The increasing penetration of e-commerce is expected to drive the growth of the artificial intelligence (AI) shopping assistant market in the coming years. E-commerce penetration refers to the growing proportion of consumers purchasing goods and services through online platforms rather than traditional retail channels. This growth is fueled by expanded internet and smartphone access, enabling consumers to shop anytime, compare products and prices, and make informed purchasing decisions more easily than in physical stores. AI shopping assistants support this trend by offering real-time product recommendations, personalized search results, automated queries, price comparisons, and seamless purchasing guidance, enhancing customer satisfaction and boosting retailer conversion rates. For example, in February 2025, the United States Census Bureau, a US-based government statistical agency, reported that total e-commerce sales reached $1.19 trillion in 2024, reflecting an 8.1% increase from 2023, with e-commerce accounting for 16.1% of total sales compared to 15.3% in 2023, and fourth-quarter 2024 e-commerce sales rising 9.4% from the same period in 2023. Consequently, the rising e-commerce penetration is fueling growth in the AI shopping assistant market.

Major companies in the artificial intelligence (AI) shopping assistant market are focusing on technological innovations, such as conversational and multimodal AI, to provide personalized, seamless, and context-aware shopping experiences. Conversational and multimodal AI enables shoppers to interact naturally, refine preferences in real time, and receive recommendations tailored to personal style, body fit, and fashion trends, enhancing engagement and driving conversions. For example, in June 2025, Daydream Inc., a US-based AI startup, launched its first chat-based shopping agent exclusively for fashion, offering a chat-to-shop experience. Powered by advanced natural language understanding and a combination of AI models, including OpenAI, Google Gemini, and proprietary systems, the agent functions as a personal shopper. Shoppers can converse naturally, upload images for visual context, and receive personalized recommendations based on silhouette, fit, fabric, and style preferences without relying on rigid filters or dropdowns. This launch underscores the growing emphasis on AI-driven retail solutions that integrate domain expertise, multimodal understanding, and natural language interaction. By delivering highly personalized and contextually aware shopping experiences, the Daydream AI assistant enables fashion retailers to enhance customer satisfaction, streamline discovery, and boost sales, reshaping the future of digital commerce.

In November 2024, Bluecore Inc., a US-based provider of retail artificial intelligence and customer engagement platforms, acquired alby Inc. for an undisclosed sum. With this acquisition, Bluecore Inc. intends to enhance its AI-driven commerce solutions by incorporating alby Inc.’s conversational AI and real-time shopping assistant technologies, facilitating more personalized customer experiences, better product discovery, and higher conversion across digital retail channels. alby Inc. is a US-based firm specializing in AI shopping assistant solutions.

Major companies operating in the artificial intelligence (AI) shopping assistant market are Amazon.com Inc., Google LLC, Microsoft Corporation, Yusp Ltd., Adobe Inc., Shopify Inc., Athos Commerce Inc., Intercom Inc., Algonomy Software Private Limited, Bloomreach Inc., Coveo Solutions Inc., LivePerson Inc., Algolia Inc., Perfect Corp., Clerk.io ApS, Syte Visual Conception Ltd., Nosto Solutions Ltd., ViSenze Pte. Ltd., Recombee a.s., Vue.ai.

North America was the largest region in the artificial intelligence (AI) shopping assistant market in 2025. Asia-Pacific is expected to be the fastest-growing region in the forecast period. The regions covered in the artificial intelligence (AI) shopping assistant market report are Asia-Pacific, South East Asia, Western Europe, Eastern Europe, North America, South America, Middle East, Africa. The countries covered in the artificial intelligence (AI) shopping assistant market report are Australia, Brazil, China, France, Germany, India, Indonesia, Japan, Taiwan, Russia, South Korea, UK, USA, Canada, Italy, Spain.

Note that the outlook for this market is being affected by rapid changes in trade relations and tariffs globally. The report will be updated prior to delivery to reflect the latest status, including revised forecasts and quantified impact analysis. The report’s Recommendations and Conclusions sections will be updated to give strategies for entities dealing with the fast-moving international environment.

Tariffs have had a limited but indirect impact on the AI shopping assistant market by increasing costs for imported computing hardware, data center infrastructure, and supporting electronics. The impact is more visible in regions dependent on cross border technology supply chains, particularly Asia-Pacific and North America. Software centric cloud based deployments face lower exposure compared to on premise systems. In some cases, tariffs have accelerated migration toward cloud native AI shopping solutions and localized digital service delivery.

An artificial intelligence (AI) shopping assistant is a digital tool that leverages AI to help users discover, compare, and choose products more efficiently. It analyzes user preferences, behavior, and real-time data to provide personalized recommendations and guidance throughout the shopping process. The assistant enhances the overall experience by automating product searches, offering intelligent suggestions, and supporting seamless decision-making.

The main offerings of an artificial intelligence (AI) shopping assistant include solutions and services. A solution is a comprehensive method, product, or service designed to address a specific problem or meet a particular need. Key technologies include natural language processing (NLP), machine learning (ML), computer vision (CV), and others. Deployment models include cloud-based, on-premises, and hybrid solutions. Applications encompass product discovery, personalized recommendations, price comparison and deals, virtual try-on, customer support, and checkout and payments. End users span sectors such as banking, financial services, and insurance (BFSI); retail and e-commerce; healthcare; travel and hospitality; media and entertainment; and others.

The artificial intelligence (AI) shopping assistant market consists of revenues earned by entities by providing services such as personalized product recommendations, automated customer support, and artificial intelligence (AI)-driven shopping guidance. The market value includes the value of related goods sold by the service provider or included within the service offering. The AI shopping assistant market includes sales of ai-powered recommendation engines, virtual assistant tools, price comparison algorithms, visual search technologies, and automated shopping support software. Values in this market are ‘factory gate’ values, that is, the value of goods sold by the manufacturers or creators of the goods, whether to other entities (including downstream manufacturers, wholesalers, distributors, and retailers) or directly to end customers. The value of goods in this market includes related services sold by the creators of the goods.

The market value is defined as the revenues that enterprises gain from the sale of goods and/or services within the specified market and geography through sales, grants, or donations in terms of the currency (in USD unless otherwise specified).

The revenues for a specified geography are consumption values that are revenues generated by organizations in the specified geography within the market, irrespective of where they are produced. It does not include revenues from resales along the supply chain, either further along the supply chain or as part of other products.

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