Google Unveils Universal Commerce Protocol for AI-Driven Agentic Shopping

Google is reshaping the digital marketplace with the launch of the Universal Commerce Protocol, a new open standard designed for the era of agentic commerce. This infrastructure allows AI agents to handle the entire shopping journey, from product discovery to final checkout, on behalf of users. Developed alongside industry giants like Shopify and Walmart, the protocol aims to standardize how artificial intelligence interacts with global retail systems. The Universal Commerce Protocol acts as a bridge between different AI agents and merchant platforms. It removes the need for custom integrations, allowing a user's personal assistant to communicate seamlessly with a retailer's inventory and payment systems. This technology will soon power a new direct checkout feature within Google Search and the Gemini app for eligible U.S. retailers, enabling purchases without leaving the AI interface. To help brands maintain their unique identity, Google also unveiled Business Agent, a virtual sales associate that lives directly on Search. This tool allows retailers to answer complex product questions and provide personalized recommendations in their own brand voice. Large retailers including Lowe's and Reebok have already begun deploying these agents to engage with high-intent shoppers as of January 12.

Merchants can now optimize their presence for conversational AI by using dozens of new data attributes in the Merchant Center. These fields go beyond simple keywords to include details like product compatibility, maintenance requirements, and structured answers to common consumer queries. By providing richer data, retailers increase the likelihood that AI agents will recommend their products during complex, natural language searches.

Google is also testing a new advertisement format called Direct Offers within its AI-powered search modes. This pilot allows brands like Petco and Samsonite to present exclusive, real-time discounts to shoppers who are ready to make a purchase. These sponsored deals are dynamically injected into AI conversations when the system detects that a user is looking for a specific value or a final reason to buy.

Security remains a priority in this new ecosystem, with transactions protected by the Agent Payments Protocol and processed via Google Pay or PayPal. While the AI manages the logistics, the retailer remains the seller of record to preserve the direct customer relationship. Most of these tools are entering the market immediately or through expanding pilot programs throughout the first quarter of 2026.