Agentic Commerce: What Does It Mean for Small Retailers?
Ok, we know what you’re thinking. What in the world is agentic commerce? You’re right to be a little confused by the jargon, and don’t worry, you haven’t missed out for long. The term only really took off in 2025, so it’s still a fairly new concept. Put simply, it’s when AI does the shopping for your customers. Instead of searching, scrolling, and comparing for themselves, shoppers ask AI to find what they need, check that it’s in stock and in the right size, and in some cases, even buy it for them.
So, what does that mean for you? Mainly, this phenomenon will change how online customers find your store. Instead of typing into Google themselves, they’ll be trusting AI to find their next purchase. Fortunately, this doesn’t automatically take small retailers out of the game. AI tools don’t just go for the biggest names; they go for the stores they can actually make sense of, so if your inventory’s accurate and your store hours are right, you’ve got a real chance of being one of them.
And since it’s still early days in Canada, most stores haven’t given any of this much thought yet. So, even if you make a few small changes now, you’ll already be a step ahead! Ready to dive in and get your store AI-ready in a way that makes the most sense for you?
What is agentic commerce?
So how do you use an agent to do your shopping? Let’s dig deeper into the details. Odds are you’ve probably used an AI chatbot before, whether that’s ChatGPT or the little chat window on a store’s website. You ask it a question, and it gives you an answer, but then it’s over to you to go and find the product and buy it. Sounds familiar, right? AI agents work similarly, but with a few notable differences.
An AI agent does the legwork. For example, ask it for a waterproof winter jacket under $200 that you can pick up this weekend, and it’ll search different stores, compare prices and reviews, check what’s in stock nearby and, in some cases, complete the purchase for you.
But hang on, at this point you might be wondering: what actually is an AI agent? The term agent may throw you off, but it’s actually already built into tools many people use, like ChatGPT, Google’s AI Mode and Gemini. In fact, 39% of Canadians have used generative AI to help them make a purchasing decision in the past year, according to a Léger survey for National Bank. So your customers may already be using AI agents without even thinking of them as “agents”, and they don’t need to download anything extra to do it.
This is a phenomenon that big tech companies are getting very invested in. In fact, McKinsey estimates that by 2030, agentic commerce could orchestrate $3 trillion to $5 trillion USD in sales globally, and Google, OpenAI, Amazon, Microsoft and Shopify have all launched shopping agents, or the technology that powers them, over the past year.
Where things actually stand in Canada
As we said earlier, it’s still early days when it comes to agentic commerce in Canada, so you’re not missing out yet. Right now, most Canadian shoppers can’t let an AI agent buy things for them. The furthest along is Google, which has started opening up checkout in its AI tools to a small number of merchants in Canada, after launching it in the US first. But for now, it’s limited, and most Canadian shoppers still finish their purchase on a store’s own website.
Even in the US, it hasn’t all gone smoothly. ChatGPT let people buy products without leaving the chat for a while, but OpenAI pulled back on it in early 2026. Now, when someone finds a product in ChatGPT, they’re usually sent to the store’s own website to pay, just like clicking a link from Google.
But here’s the thing: even if AI isn’t doing much of the buying yet, it’s already helping people decide what to buy. And what’s more, we all know how fast technology can evolve and develop, so it’s a good idea to be aware and prepared, wherever possible. For example, 39% of Canadian shoppers have used AI for shopping, according to Salesforce, and around one in nine now start their shopping journey with AI, up from single digits a year ago.
So, the bottom line is this: more shoppers are turning to AI to help them decide what to buy, which means businesses need to think about how their products are found.
Why this matters more for small stores than you might think
You might be thinking this is all something for the big retailers to worry about, with giants like Etsy teaming up with Google and OpenAI, and Amazon building its own AI shopping assistant. But you don’t need a big partnership deal to be found. AI tools scour the web, from store websites and online shops to Google listings, which means there are a few good reasons why this matters just as much for smaller, independent stores like yours. Here’s what you need to know:
Shoppers who come from AI are ready to buy. Research has shown that when someone finds your store through an AI tool, they’ve usually already done their research, and they’re often pretty close to making a decision. In fact, over the 2025 holiday season in the US, shoppers who clicked through to a store’s website from an AI tool were 31% more likely to buy something than shoppers who arrived any other way.
AI tools don’t just pick the biggest stores. On a normal search engine, big brands with big marketing budgets often come out on top. But if someone asks an AI tool, “Where can I buy this board game in Halifax today?”, it’s looking for the best answer, not the biggest name. So a local store that clearly shows it has the game in stock could be recommended over a national chain.
But AI can only recommend what it can find. The thing is, AI can only work in your favour if your information is out there, detailed and accurate. In other words, your online storefront needs to be in tip-top shape. But what does a good online store look like now?
The new rules of being found
At its core, agentic commerce changes what it means to be seen online. You’re not just trying to get to the top of Google anymore; you’re trying to be the store an AI agent trusts enough to recommend. And trust us, agents can be pretty picky. Here’s what they look out for:
Accurate, detailed product information: AI agents read product information much more literally than people do. A person might work out that “navy sweater, M” is a medium-sized blue knit. An agent needs it spelled out: the material, the colour, the size, the price, and whether it’s available. The more complete your product listings are, both online and in your POS, the easier it is for an agent to match you with the right customer.
Live inventory levels: This is where small retailers can really stand out. Shoppers are increasingly asking AI tools whether something is available nearby, today. If your inventory levels are accurate and visible online, you can answer that question better than a warehouse that’s three days away. But accuracy matters. Customers have little patience for AI that gets things wrong, so recommending a product that turns out to be out of stock reflects badly on everyone involved. With an Epos Now retail POS system, your online and in-store sales sync to one master inventory, so what agents see matches what’s actually on your shelves.
Clear policies and up-to-date details: Agents pull together everything a customer might want to know before recommending a store: delivery options, in-store pickup, return policies, store hours and payment methods. Make sure these are easy to find on your website and your Google Business Profile, and that they’re consistent everywhere.
A way to buy online: Even though most agents currently send shoppers to your website to finish their purchase, they still need somewhere to send them. If you don’t have an online store yet, now is a good time to think about one, along with the ability to accept payments online.
Where your physical store fits in
If you run a physical store, you might be wondering where all this leaves you. Happily, your store still has a big part to play.
For a start, most Canadian shopping still happens in person. Research from Environics and the Retail Council of Canada found that more than 80% of consumers still complete their purchases in-store, even as more of them use AI to research products first. And shoppers aren’t ready to hand everything over to AI just yet, with almost a third of Canadians saying they’re reluctant to let AI handle purchases on their behalf, according to Omnisend.
What’s likely to change is the reason people come through your door. A 2026 report from McKinsey and ICSC found that as AI takes over more of the research, shopping trips are becoming more purposeful, and they tend to fall into one of two camps: convenience or discovery. Convenience trips are about getting something quickly and knowing it’ll be there, with being in stock one of the top things shoppers look for. Discovery trips are about the experience, like browsing, getting advice and finding something you didn’t know you wanted.
It’s also worth knowing that AI is especially handy for purchases that take a bit of legwork, like comparing prices across lots of stores or checking sizes and specs. Think finding the best deal on a new laptop, or tracking down a pair of winter boots in the right size. If that’s the kind of thing you sell, having accurate inventory and product details online can help AI point those shoppers straight to you.
Most independent stores do a bit of both convenience and discovery, and that’s a real strength. Just because agentic commerce is growing doesn’t mean you should give up on your brick-and-mortar store. It just means being clear about what makes it worth the trip, and making sure customers (and AI tools) can see that before they even walk through the door.
What should small retailers do now?
We’re aware that things are changing fast, and that this is likely all brand new territory for you. We’re here to tell you that you’re not alone, and you definitely don’t need to be a tech expert to keep up. There’s no need to overhaul your business or understand every new piece of technology, either. Instead, take everything one step at a time, and you’ll quickly find yourself in a much stronger position. Here are a few ideas:
- Tidy up your product data: Make sure every product in your POS and online store has a clear name, description, and price, plus the size and colour where relevant. Include photos and any extra details necessary.
- Keep inventory levels accurate: Regular inventory counts and a system that updates every time you make a sale mean agents (and customers) can trust what they see. Our guide on how to manage inventory in a retail store is a good place to start.
- Check your online presence: Ask an AI assistant like ChatGPT or Gemini about your store and see what comes back. It’s an easy thing to do and gives you an insider glimpse into what’s missing.
- Make it easy to buy from you online: Even a simple online store with in-store pickup gives agents somewhere to send customers.
- Double down on what makes you human: At the end of the day, it’s expertise, service and community that keep people coming back, however they first found you.
What agentic commerce means for you
Right now, AI tools are still learning which stores to trust, and the stores they get to know now are the ones they’re likely to recommend later on. That’s why it pays to start early. As AI-powered buying rolls out more widely in Canada, the stores with a track record of accurate inventory and up-to-date details will be the ones ready to make the most of it.
That’s where your POS system comes in. With Epos Now, your inventory, sales, and online store all live in one place, so the information customers and AI tools see is always up to date.
Frequently Asked Questions
- What is agentic commerce?
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Agentic commerce is when AI tools do some or all of the shopping for a customer. Instead of searching and comparing products themselves, shoppers ask an AI tool like ChatGPT or Gemini to find what they need, compare prices, check stock and, in some cases, buy it for them.
- What’s the difference between an AI chatbot and an AI agent?
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A chatbot answers questions, so if you ask it about walking jackets, it’ll suggest a few options, and it’s then up to you to find and buy one. An AI agent goes further and actually does the legwork, like searching different shops, comparing prices and checking what’s in stock nearby. Many tools, like ChatGPT and Gemini, can now do both.
- Can AI agents buy things for customers in Canada yet?
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In a few cases, but it’s still early days. Google has started opening up checkout in its AI tools to a small number of Canadian merchants, but for now, it’s limited. Most Canadian shoppers use AI to research products, compare prices and decide where to shop, before buying on the store’s own website or in person.
- How do AI tools decide which shops to recommend?
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AI tools look at information from across the web, including shop websites, online stores and Google listings. They tend to recommend shops with clear, accurate and up-to-date information, like detailed product descriptions, current stock levels, correct opening hours and clear delivery and returns policies.
- Do I need an online shop for AI to recommend my business?
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It helps a lot. Most AI tools currently send shoppers to a shop’s website to complete their purchase, so having an online shop, even a simple one with click and collect, gives them somewhere to send customers. At the very least, make sure your website and Google Business Profile are up to date.