What Is Agentic Commerce?
Agentic commerce is a new model where AI agents handle product discovery, comparison, and purchasing on behalf of consumers. Instead of a shopper typing queries, browsing results, and clicking "Buy Now," an AI assistant does it all—finding the right product, evaluating options, and completing the transaction. This shift is part of a broader trend in AI-powered shopping experiences across the industry.
This is not a theoretical future. Google's AI Mode already surfaces product recommendations in conversational search. Direct Offers let brands present exclusive deals inside AI conversations. And the Universal Commerce Protocol (UCP) provides the infrastructure for AI agents to transact directly with merchants.
Why It Matters for Advertisers
When AI agents mediate purchases, the rules of product visibility change:
- Feed quality becomes your storefront. AI agents evaluate your product data directly—not your ad creative or landing page. Incomplete or inaccurate feeds get skipped.
- New ad formats emerge. Direct Offers, Business Agent, and other AI-native placements supplement (and may eventually compete with) traditional Shopping ads.
- Attribution gets harder. When an AI agent completes a purchase without sending the user to your website, traditional analytics break down.
- Structured data wins. Products with rich, machine-readable data (following standards like Schema.org Product markup) are easier for AI agents to evaluate and recommend.
Google's Universal Commerce Protocol (UCP)
UCP is Google's framework for enabling AI agents to interact with product catalogs and complete transactions. It builds on existing Merchant Center infrastructure, meaning most Google Shopping advertisers already have the foundation in place.
UCP standardizes how AI agents discover products, check availability, compare prices, and process orders. For advertisers, the key implication is that your Merchant Center feed is no longer just for Shopping ads—it is the primary interface between your products and AI agents.
Deep Dive
Read our full UCP Explainer for the technical details, or start with the Feed Readiness Checklist for immediate action items.
UCP vs ACP: Two Competing Standards
OpenAI has introduced its own protocol—the Agent Commerce Protocol (ACP)—designed as an open standard for any AI agent to interact with any merchant. While UCP leverages your existing Google Merchant Center feed, ACP requires building new API endpoints.
For most Google Shopping advertisers, UCP readiness is the immediate priority. But understanding both protocols helps you plan for a multi-agent future. Read our full UCP vs ACP comparison.
New Ad Formats for AI Shopping
Google is rolling out ad formats specifically designed for AI-mediated shopping:
- Direct Offers: Brands can present exclusive deals inside Google AI Mode conversations. Products appear with pricing, images, and a direct purchase path—no website visit required. See our Direct Offers guide.
- Business Agent: An AI-powered assistant that represents your brand within Google's ecosystem, answering shopper questions and guiding purchases.
- AI Mode product panels: Rich product cards that appear when AI Mode responds to shopping-related queries.
How to Prepare Your Business
1. Audit Your Product Feed
Your Merchant Center feed is your primary asset in agentic commerce. Every attribute matters: titles, descriptions, prices, images, availability, GTINs, and product categories. Use our UCP Product Feed Readiness Checklist for a step-by-step audit.
2. Set Up Revenue Tracking
When AI agents complete purchases without sending users to your website, traditional analytics miss those conversions. Build new measurement frameworks now. Our AI Agent Revenue Tracking guide covers practical strategies.
3. Monitor Competitive Pricing
AI agents are price-aware. They compare your prices against competitors in real-time. Maintaining price competitiveness is no longer just about winning ad auctions—it directly affects whether AI agents recommend your products.
4. Stay Current
Agentic commerce is evolving rapidly. New protocols, ad formats, and agent capabilities are being announced regularly. Follow the developments and adapt your strategy as the landscape matures.
Frequently Asked Questions
What is agentic commerce?
Agentic commerce is a new model where AI agents browse, compare, and purchase products on behalf of consumers. Instead of a human clicking through search results, an AI assistant handles the entire shopping journey—from product discovery to checkout.
How does agentic commerce affect Google Shopping advertisers?
AI agents evaluate your product feed data directly rather than relying on ad placements. Feed quality, structured data completeness, and pricing accuracy become even more critical. New ad formats like Direct Offers let brands participate in AI-mediated shopping experiences.
What is the difference between UCP and ACP?
Google's UCP builds on existing Merchant Center infrastructure. OpenAI's ACP is an open standard requiring new API endpoints. Most Google Shopping advertisers should prioritize UCP readiness first, then evaluate ACP for broader reach.
How do I prepare my product feed for agentic commerce?
Ensure every product has accurate titles, descriptions, prices, images, GTINs, availability, and product categories. Add conversational attributes that help AI agents answer shopper questions. Keep your feed updated in real-time. Use our UCP Product Feed Readiness Checklist for a complete audit.