AI shopping surpassed traditional search on Prime Day, causing concern for Amazon.

      Amazon devised Prime Day to encourage shoppers to remain within its marketplace. This year, however, AI shopping directed its most valuable customers to the platform through a chatbot's recommendation.

      According to Adobe Analytics, US consumers spent an unprecedented $26.4 billion across retail websites during the four-day Prime Day event. While the total is impressive, more intriguing is the origin of its most valuable buyers. For the first time, individuals arriving at a retailer via an AI assistant were the most likely to make a purchase, as reported by GeekWire.

      Customers directed by AI chatbots were roughly 40 percent more inclined to finalize a transaction compared to those who came from search engines, email, or social media, noted Forbes. In contrast, the same traffic source had been the lowest-converting channel just a year ago. This turnaround within 12 months represents a significant development.

      Analyzing the shift

      Adobe monitors billions of visits to US retail sites, and its Prime Day report exhibited uneven results. On the first day, traffic driven by generative AI to retailers surged nearly twofold compared to the previous year, showing a 98.3 percent increase. Moreover, these visitors behaved more like shoppers than mere browsers.

      Shoppers referred by AI spent 49.9 percent more time on the site and viewed 20.5 percent more pages. They added products to their carts at a 33 percent higher rate than customers from traditional sources. Essentially, a channel that previously consumed retailers' time is now their most effective one.

      The trend extends beyond a single sale. Adobe's data reveals that AI-referred traffic to US retail sites increased by 393 percent year on year during the first quarter. By March, AI-driven traffic was converting approximately 42 percent better than non-AI traffic. Going back to early 2025, AI visitors had converted about 38 percent worse. This trend indicates a notable shift.

      Implications for Amazon

      Amazon's business model heavily relies on being the starting point for product searches, where its advertising division thrives, contributing significantly to its profit margins. The Adobe statistics suggest a new trend in where consumers begin their shopping journeys.

      If more customers start their search with AI assistants like ChatGPT, Gemini, or Perplexity and only interact with retailers to complete purchases, the responsibility for product discovery shifts to these AI firms, along with the associated revenue. The assistant evolves into the storefront, pushing Amazon to adapt.

      In response, Amazon is actively promoting its Alexa+ assistant and Rufus shopping bot, re-evaluating its investments in the AI technology that powers them. However, Adobe's data indicates that general-purpose chatbots are already excelling in initial customer engagement, often without Amazon's involvement.

      The evolution of search

      For two decades, the search process began on Google. The same consumer shift towards AI shopping is also challenging Google's dominance in search: users are opting to ask assistants instead of typing queries. Marketers have termed this change GEO, bluntly suggesting that AI search is the "new SEO."

      For retailers, the takeaway is straightforward. Product catalogs must be easily readable by machines, as chatbots can only recommend items they can interpret. Adobe notes that many retail websites still lack machine-readability, creating a misalignment between incoming traffic and the ability of stores to accommodate it.

      There’s also a broader competitive landscape emerging. OpenAI has communicated its entry into the advertising sector, and a chatbot capable of both recommending products and processing payments is beginning to resemble a marketplace.

      The European context

      A note for readers outside of the US: the Adobe data is focused on American retail. Europe is not yet in the same position, with slower adoption of shopping assistants and the EU’s Digital Markets Act already altering how Google and Amazon can rank and display products. If AI assistants become the dominant entry point in Europe as well, regulators who have spent years altering search dynamics will encounter a similar challenge at a higher level, with assistant owners assuming a role once held by traditional gatekeepers.

      This poses a crucial consideration for European retailers and brands. Their visibility is transitioning from a search box they have learned to navigate to a model they do not fully understand. The AI developers are currently establishing the framework for this new landscape, primarily in the US, and largely on their terms.

      Cautions to consider

      Two important cautions should be kept in mind. The data originates from a single provider, Adobe, which markets both the analytics and AI solutions that benefit from these findings. Independent data sources would provide a more balanced view.

      The second caution concerns scale. Although AI referrals have experienced substantial growth, they still represent a small fraction of total retail traffic, even after tripling. A channel can effectively convert customers yet remain small, and a four-day event does not reflect a full year’s performance. The trend appears clear, but its magnitude is still developing.

      Nevertheless, the landscape of ecommerce is subtly transforming. For years, the challenge was to rank well on Google or secure the Amazon buy box. The