AI Overtakes Social Media for UK Retail Discovery, Study Finds
A new joint study by Vercel and the World Retail Congress reveals that artificial intelligence tools like ChatGPT and Google Gemini now surpass popular social media networks for online product discovery in the UK. Although 55 percent of shoppers have bought items via AI recommendations, concerns regarding privacy and trust continue to limit broader financial impact and widespread adoption.
Key points
- Vercel and the World Retail Congress published joint research examining artificial intelligence adoption in UK online retail.
- Twenty percent of UK consumers use AI platforms such as ChatGPT and Google Gemini for product discovery, beating Facebook at 19 percent, TikTok at 18 percent, and Instagram at 14 percent.
- Eighty-seven percent of shoppers consider AI recommendations useful, and 55 percent have completed a purchase based on them.
- Retailers have not yet experienced noticeable revenue increases from AI tools, with privacy concerns, trust issues, and a preference for traditional storefronts hindering deeper engagement.
- Seventy-nine percent of consumers still prefer starting online shopping directly on a retailer website, and 65 percent visit physical locations before making high-value purchases.
A comprehensive new study conducted by Vercel and the World Retail Congress highlights a significant shift in how British consumers discover products online, with artificial intelligence tools outpacing major social media platforms. According to the findings, 20 percent of UK shoppers now utilize AI search platforms such as ChatGPT and Google Gemini to kickstart their retail journey. This figure places AI ahead of established social channels, including Facebook at 19 percent, TikTok at 18 percent, and Instagram at just 14 percent.
Despite the strong engagement in product discovery, the technology has yet to translate into tangible revenue growth for merchants. While 87 percent of surveyed consumers find AI-generated recommendations useful and 55 percent have successfully completed a purchase based on them, retailers report no noticeable boost in sales. Analysts point to lingering trust and privacy apprehensions as primary barriers. Notably, only 10 percent of shoppers across the UK and wider Europe indicate they would spend more time interacting with an AI shopping assistant than with a human counterpart.
Consumer habits also lean heavily toward traditional methods for finalizing transactions. The research shows that 79 percent of shoppers prefer navigating directly to a retailer's official website to begin online shopping. Furthermore, for high-value items, 65 percent of consumers still insist on visiting physical brick-and-mortar stores to inspect goods personally before spending their money. While AI is successfully reshaping early-stage product research, these findings indicate that broader commercial replacement remains distant.
Sources
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