E-Commerce Enters New Era As Generative AI Becomes Mainstream Discovery Tool

As generative AI platforms become mainstream discovery tools, digital commerce is undergoing a seismic transformation (Image source: © 123rf 123rf)

According to Euromonitor International's Voice of the Consumer: Lifestyles Survey 2025, over half of consumers use GenAI tools such as ChatGPT, Google Gemini and Perplexity for information and recommendations.

Citing the latest findings on e-commerce from Euromonitor International’s Passport knowledge hub, Rabia Yasmeen, global insight manager for e-commerce at Euromonitor International, says, “Unlike earlier evolutions such as social commerce or livestreaming, AI-powered search is rewiring how consumers discover brands, evaluate choices and make purchasing decisions online.”

A shifting visibility landscape powered by AI

This shift rewrites the rules of visibility, moving from share of views to share of conversations.

AI-driven discovery is redefining how influence, trust and competitiveness are built online, with an impact on the global e-commerce market, which is projected to surpass $595bn by 2028.

Euromonitor’s analysis of more than 8,700 brands selling online in the US skin care category shows that up to half of existing brands are at risk of a gradual loss of relevance as meaningful consumer attention moves towards AI-driven discovery.

Simultaneously, AI is creating opportunities for new winners to emerge.

“In traditional search, strong brands could rely on SEO, paid search and retail media to secure prominent placement. In AI-generated answers, there is no guaranteed slot, even for market leaders,” explains Yasmeen.

Faster decisions, shorter journeys

Traditionally, shoppers moved through multiple stages: search, browse category pages, read reviews, compare alternatives, then add to basket. In AI-mediated journeys, much of this is collapsed into a single interaction."The interaction has changed from typing keywords and scrolling through listed products to a conversational platform asking questions in natural language and expecting a precise, context-aware answer," adds Yasmeen.