TLDR: Target is revolutionizing its online search capabilities by integrating generative AI to process complex, conversational queries. This move aims to deliver more relevant and contextual product recommendations, building on the success of tools like the Bullseye Gift Finder. The retailer is also preparing for a future where external AI shopping assistants might browse its offerings, emphasizing the need for trusted and accurate AI-driven results.
Target is fundamentally reshaping its approach to online search by embracing generative artificial intelligence, moving beyond traditional keyword-based queries to accommodate more complex and conversational shopper demands. While a majority of Target’s online customers still utilize one or two keywords for product searches, the retailer observes a growing trend towards longer, more intricate queries. For instance, instead of a simple product name, a shopper might now ask, “what’s a good gift for a nine-year-old?”
According to a company spokesperson, the focus has shifted from merely presenting the correct products to effectively showcasing them within a relevant context. “It’s not just about giving them the right products. It’s also about how you showcase the product,” stated a Target representative.
This strategic pivot is informed by the success of initiatives like the Bullseye Gift Finder, a generative AI-powered product recommendation tool launched during last year’s holiday season. This tool provided personalized gift suggestions for children, factoring in age, hobbies, and preferred brands, and saw “great adoption.” Building on this success, Target is now exploring how to scale similar capabilities for other key seasonal events such as Valentine’s Day and Mother’s Day.
Target acknowledges that consumer skepticism remains a significant hurdle for the widespread adoption of AI shopping assistants. However, internal findings indicate that guests are receptive to generative AI when the results are both relevant and highly contextual. “They are looking for results that they can trust and lean on,” the spokesperson added.
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Looking ahead, Target is also preparing for a future where customers might not directly visit Target.com but instead use external shopping assistants to browse on their behalf. “We are getting ready for a world where the guest may not be directly coming to Target.com, but they may be using a shopping assistant externally to browse Target on their behalf,” the representative explained. This foresight underscores the importance of General-purpose AI (GEO) in training these agents to accurately understand and represent Target’s product offerings, whether to third-party platforms or to Target’s own in-house AI assistants. “We have to be sure that we are training the agents so that they can understand and represent our products in a more effective way — to the guests that may be outside of our platform, to these third-party agents, or it could be also the agent that we have created for our guests in this particular area,” the spokesperson concluded.
