OpenAI has announced a significant expansion of ChatGPT's capabilities, enabling users to make direct purchases from Shopify and Etsy merchants without leaving the chatbot interface. This new "Instant Checkout" feature aims to streamline the online shopping experience by integrating product discovery and purchasing directly into AI-driven conversations.
Key Takeaways
- Users can now buy products directly from Etsy sellers within ChatGPT.
- Over a million Shopify merchants will be integrated soon, with brands like Glossier and SKIMS already on board.
- The feature is initially available to U.S. ChatGPT Plus, Pro, and Free users.
- OpenAI will charge merchants a small fee on completed transactions, while users will not incur extra costs.
- This move marks a significant step for OpenAI into the e-commerce space and could reshape online retail.
Seamless Shopping Within Conversations
Shoppers seeking recommendations on ChatGPT will soon be able to purchase items directly from merchants. OpenAI's new partnerships with e-commerce giants Shopify and Etsy allow the chatbot to access product inventories and present them for immediate purchase. This integration means users won't need to navigate away from the chat to complete a transaction, offering a fluid shopping journey.
Vanessa Lee, vice-president of product at Shopify, highlighted the evolving retail landscape, stating, "People are discovering products in AI conversations, not just through search or ads." This partnership allows Shopify merchants to be discovered naturally within these AI interactions, providing a frictionless buying experience.
Expanding Reach for Merchants
For Etsy, a marketplace known for vintage, handmade, and custom goods, the partnership is seen as a way to remove barriers for shoppers. Rafe Colburn, Etsy's chief product and technology officer, noted that tools like ChatGPT are increasingly used for everyday tasks, making it a natural fit for product discovery and purchase.
Merchants will pay a small fee to OpenAI for completed purchases, a model that OpenAI believes will create a new revenue stream. Importantly, this service is free for users, and their prices will not be affected. OpenAI also stated that these partnerships do not influence ChatGPT's product recommendations, which remain ranked by relevance.
Technological Underpinnings and Future Plans
The Instant Checkout feature is powered by OpenAI's Agentic Commerce Protocol, developed in collaboration with fintech company Stripe. This protocol allows for direct transactions between users and merchants through ChatGPT. OpenAI is also open-sourcing this framework to encourage broader integration and exploration of its use cases by developers.
OpenAI plans to expand the functionality to include multi-item carts and broaden the regional availability of Instant Checkout. This move signifies a strategic push by OpenAI into e-commerce, building on its earlier introduction of product recommendations in its search experience. The company sees this as a fundamental shift in how commerce operates online, moving towards chat-discoverable experiences.
### Sources
- OpenAI strikes deal with Shopify, Etsy to allow merchants to sell through ChatGPT, Yahoo.
- Etsy pops 16% as OpenAI announces ChatGPT Instant Checkout for the shopping site, CNBC.
- OpenAI partners with Etsy, Shopify on ChatGPT payment checkout, Reuters.
- Etsy Stock, Shopify Stock Jump As ChatGPT Will Allow Direct Purchases, Investor's Business Daily.
- Shopify merchants will soon be able to sell products through ChatGPT, CBC.
