AI knows what you need and orders it for you – purchasing is transforming, here’s how
AI is becoming an increasingly critical factor in determining what gets visibility in search results. Instead of brands and keywords, the future will be shaped by hyperlocal parameters and consumers’ individual needs.
Imagine an AI assistant, like ChatGPT or another AI tool, helping you decide which content, products, companies, and brands to choose. This isn’t science fiction; we’re already living in the first phase of this buying evolution.
“First, AI influences what appears in search results. Next, it asks if it can automatically reorder previously purchased or liked products. In the third phase, AI will compare products based on parameters set by the user and place the order independently,” says Jonas Pomoell, AI Lead Consultant at HiQ.
As a result of these changes, the criteria for comparison will diversify, the dominance of strong brands may weaken, and smaller, lesser-known players might find new opportunities to appear in search results.
Goodbye keywords, hello hyperlocal parameters and personalized product recommendations
In search engine optimization (SEO), companies have traditionally focused on using keywords to ensure their business appears at the top of search results.
“Keywords won’t be enough to gain favor with AI. In the future, product recommendations and purchasing decisions will be based on an increasing number of parameters that are both highly personalized and hyperlocal,” Pomoell explains.
When a consumer looks for e.g. the best price-to-quality bicycle, they usually evaluate options based on product reviews, comments, return statistics, personal preferences, and brand perceptions. AI simplifies decision-making.
“AI analyzes vast amounts of data and, in the future, might compare factors such as product sustainability, local origin, or efficiency rather than just price. Unlike humans, AI isn’t influenced by brand perceptions or emotions, so product recommendations may become more objective.”
Before AI solutions become fully commercialized, they could be significantly more democratic and targeted. Visibility in search results may not always be dictated by money, and relatively unknown or local operators and small manufacturers could gain recognition.
“It will change sales and marketing arguments and have a broad impact on traditional brand-driven business models. Companies whose market position is built more on brand identity than product features might face challenges,” Pomoell explains.
“As with everything in the AI era, this change in buying is happening rapidly, and commercialization will be a major part of it. For example, Perplexity has already announced itself as a commercial AI search engine,” he adds.
Traditional product searches are replaced by conversations with AI
As buying methods and sales channels diversify, commerce may no longer occur solely on a company’s platform. Product discoverability within online stores is also changing, with platforms dynamically updating product recommendations and providing options tailored to even the most specific criteria.
“Interactions are shifting from single keyword searches to conversations with AI. Consumers can refine their requests, such as asking for recommendations on bikes suitable for specific terrains, in red color, and sized for a certain age or height,” Pomoell says.
As automation evolves, AI could compare products based on consumers’ previous preferences and personal tastes, independently placing orders for items selected to meet criteria like the best price or other desired parameters.
Conversational solutions for customer experience and sales
In 2024, AI-powered tools began delivering information as interactive, conversational experiences. At its best, AI technology can take over some of the salesperson’s work by identifying customer needs virtually in the customer’s own words.
“When users find exactly what they need without sifting through lists or descriptions, the level of detail and accuracy reaches a whole new level,” Pomoell notes.
Conversational interfaces are highly effective for browsing service options and finding relevant information, an area where HiQ can provide support.
“For example, we can integrate conversational comparison tools directly into online stores or service platforms to help users evaluate products and their needs.”
