Google Introduces AI Mode Checkout and Branded Business Agents in Search

Google has announced a set of new commerce features designed to let users research, compare, and complete purchases directly within its AI-powered search experiences. The updates include a new checkout system for AI Mode, a branded chat feature for retailers, and a pilot advertising format that surfaces exclusive offers during product searches.

The changes expand Google’s role in ecommerce by moving more of the shopping journey onto Google-owned surfaces, while keeping retailers as the sellers of record.

Universal Commerce Protocol Enables AI Mode Checkout

At the center of the announcement is the Universal Commerce Protocol (UCP), an open standard that Google says is designed to support “agentic commerce,” where AI systems assist users through the entire purchase process.

UCP will power checkout for eligible product listings in AI Mode in Search and within the Gemini app. Rather than redirecting shoppers to a retailer’s website, transactions are completed on Google surfaces, with retailers still fulfilling orders and managing customer relationships.

Google developed UCP in collaboration with Shopify, Etsy, Wayfair, Target, and Walmart. More than 20 additional companies have endorsed the protocol, including major payment networks, ecommerce platforms, and large retailers.

Shoppers will use Google Pay for payments, with payment methods and shipping information drawn from Google Wallet. Google said support for PayPal is planned. The checkout experience will initially launch with eligible U.S. retailers, with international expansion expected later.

Business Agent Adds Branded Chat to Search Results

Google also introduced Business Agent, a new feature that allows shoppers to interact with branded AI agents directly within Search results. The company describes the tool as a “virtual sales associate” capable of answering product-related questions using a retailer’s approved tone and information.

The feature is scheduled to go live on January 12 with early partners including Lowe’s, Michael’s, Poshmark, and Reebok. Eligible U.S. retailers will be able to activate and manage Business Agent through Google Merchant Center.

Google said future updates will allow retailers to train agents on their own data, surface personalized offers, and eventually enable purchases directly within the chat experience.

Direct Offers Pilot Tests Ads in AI Mode

In addition to organic commerce features, Google announced Direct Offers, a new advertising pilot integrated into AI Mode. The format allows advertisers to present exclusive discounts to users who are actively searching for products.

In one example shared by Google, a search for rugs could surface a limited-time discount from relevant retailers. Advertisers configure offers within campaign settings, while Google determines when and where the offers appear.

Early partners in the pilot include Petco, e.l.f. Cosmetics, Samsonite, and Rugs USA, along with selected Shopify merchants.

Implications for Ecommerce and Discovery

By enabling checkout and brand interaction directly within AI-driven search experiences, Google is reducing the need for users to visit retailer websites during the purchase journey. For ecommerce businesses, this shifts how value is generated from search visibility.

Participating retailers gain access to high-intent shoppers at the point of decision, but may see fewer direct site visits. Those that opt out of UCP and related features could face reduced visibility as users increasingly expect to complete transactions without leaving Google’s ecosystem.

What Comes Next

AI Mode checkout will roll out to eligible U.S. retailers in the near term, while Business Agent launches today, January 12. Direct Offers will remain in a limited pilot with select advertisers.

Google also said it is developing new Merchant Center data attributes specifically designed to improve discovery across AI Mode, Gemini, and Business Agent. These attributes will be tested with a small group of retailers before broader availability.