A new report by AI-powered search and personalization firm Coveo reveals that generative AI (GenAI) is significantly influencing online shopping behavior, while poor search experiences continue to drive consumers to competitors. The 2025 Commerce Relevance Report, based on a survey of 4,000 U.S. and U.K. consumers, highlights emerging trends shaping digital and physical retail experiences.
1. Generative AI Becomes a Retail Powerhouse
Insight: 62% of shoppers say they are more likely to complete a purchase when assisted by GenAI-driven recommendations—a figure that jumps to 68% for millennials.
Less Known Impact: Consumers are no longer just passively encountering AI in e-commerce; instead, they are actively expecting AI-powered guidance to enhance their shopping experiences. Retailers that ignore this shift risk falling behind.
2. Digital Discovery Drives In-Store Sales
Insight: 77% of shoppers research online before purchasing in-store, meaning that even retailers without a strong online sales presence need to prioritize product visibility and search engine optimization.
Less Known Impact: Many traditional retailers overlook the power of digital discovery. Without a strong online presence, they risk losing in-store sales before customers even step foot inside.
3. A Poor Search Experience is Driving Shoppers Away
Insight: 72% of consumers abandon a retailer’s site if they can’t find what they need quickly. More critically, 53% turn to Google, while 36% go directly to a competitor.
Less Known Impact: Many businesses focus on product recommendations but ignore site search optimization. Since shoppers leave when they can’t find what they need, AI-powered search and filters should be a top priority.
4. Social Media: A Discovery Tool, Not a Purchase Hub
Insight: 73% of shoppers discover new products on social media, but only 37% complete their purchase on those platforms. Younger consumers—58% of Gen Z and 54% of Millennials—are more comfortable buying directly through social channels, but the majority of shoppers still prefer traditional e-commerce sites.
Less Known Impact: Social commerce is growing but isn’t fully replacing e-commerce. Instead of forcing social checkout, brands should focus on seamless transitions from social media to their main store for conversions.
5. Consumers Will Share Data—If the Value Exchange is Clear
Insight: 58% of consumers are willing to share personal data if they trust the brand and see a clear benefit (like better deals or personalization).
Less Known Impact: Instead of forcing data collection, brands should be transparent and actively show the value of sharing (e.g., “Tell us your preferences for a 20% off personalized deal!”). Trust = more valuable customer data.
Ultimately, the Coveo 2025 Commerce Relevance Report underscores a critical shift: consumers expect smarter, more intuitive shopping experiences powered by AI, seamless online-to-offline integration, and highly relevant search results. Brands that fail to optimize these aspects risk not just digital abandonment, but lost in-store sales as well.
“With digital and physical retail more intertwined than ever, businesses that embrace AI-driven search, personalization, and seamless omnichannel experiences will lead the market,” the report concludes.
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