Microsoft Unveils Copilot Checkout & AI Brand Agents

▼ Summary
– Microsoft is rolling out Copilot Checkout, a feature allowing direct purchases within its Copilot AI chat without leaving the site.
– Copilot Checkout is launching in the U.S. and works with partners like PayPal, Shopify, Stripe, and Etsy.
– A separate feature, Brand Agents for Shopify, provides an AI chat trained on a merchant’s catalog to answer questions in the brand’s voice.
– Brand Agents include analytics via Microsoft Clarity, giving merchants insights into the performance of these AI-assisted shopping sessions.
– This follows similar industry moves, as Google and OpenAI have also introduced agentic checkout experiences in their AI platforms.
Microsoft is introducing two significant AI-powered features within its Copilot platform, marking a strategic push into conversational commerce. Copilot Checkout and Brand Agents are designed to streamline online shopping by allowing purchases and customer service to happen directly within an AI chat interface, eliminating the need for users to navigate away to external websites. This move aligns with a broader industry trend where major tech companies are integrating transactional capabilities directly into their AI assistants.
The first feature, Copilot Checkout, is now launching for users in the United States on Copilot.com. This tool enables a seamless conversational purchasing experience. A shopper can discuss products and complete a transaction within the same chat window, without any disruptive redirects. The system integrates with established payment and e-commerce partners like PayPal, Shopify, Stripe, and Etsy to facilitate these transactions. For Shopify merchants, enrollment in this checkout service is automatic, though they retain the option to opt out. Other online retailers can apply to join the program through a dedicated portal.
Alongside this, Microsoft is rolling out Brand Agents specifically for merchants using the Shopify platform. This feature creates an AI shopping assistant that is custom-trained on a merchant’s own product catalog. The key selling point is that the assistant communicates using the brand’s unique voice and tone, ensuring consistency across all digital customer interactions. It can handle detailed product inquiries and engage shoppers in natural, on-brand conversations designed to guide them toward making a purchase.
According to Microsoft, these Brand Agents are built for quick implementation, potentially going live on a merchant’s site in a matter of hours. The company claims the assistants lead to a more intuitive shopping journey and deliver measurable business improvements. Early data indicates that shopping sessions involving a Brand Agent show higher customer engagement and stronger conversion rates compared to sessions without AI assistance.
To help merchants track performance, Microsoft is linking Brand Agents with its analytics tool, Microsoft Clarity. This integration provides insights and data on the AI-assisted conversations. Merchants can analyze the performance of these sessions against their regular organic traffic, using the information to refine their sales strategies and foster growth.
This development from Microsoft follows similar initiatives from other industry leaders. Google has been testing its own version of agentic checkout within its AI ecosystem, and OpenAI previously announced an “Instant Checkout” feature for ChatGPT. The collective effort signals a clear direction for the future of online retail, where completing a purchase becomes a natural part of a conversation with an AI, directly within the platforms where consumers are already seeking information and advice.
(Source: Search Engine Land)





