{"id":22869,"date":"2025-10-01T22:14:15","date_gmt":"2025-10-01T22:14:15","guid":{"rendered":"https:\/\/www.bloomreach.com\/library\/what-is-conversational-commerce"},"modified":"2026-06-02T13:47:50","modified_gmt":"2026-06-02T13:47:50","slug":"conversational-commerce","status":"publish","type":"library","link":"https:\/\/www.bloomreach.com\/en\/blog\/conversational-commerce","title":{"rendered":"What Is Conversational Commerce? 5 Best Practices, Examples & AI Benefits"},"content":{"rendered":"

Conversational commerce has become increasingly important for online retailers, especially as advancements in generative AI have greatly increased the impact these conversations can now have on ecommerce.<\/span><\/p>\n

By facilitating engagement through AI-based text and voice assistants, social messaging apps, and other innovative conversational commerce tools, ecommerce websites have a seamless way to connect with potential customers while also providing them with a personalized experience.<\/span><\/p>\n

Natural language processing<\/span><\/a> techniques turn these conversations into structured data that can be used to gain further insights into what customers are expecting from online stores. With AI-enabled chat apps and other conversational commerce tools, businesses are able to better understand their customers, provide personalized services, and even upsell and cross-sell products.<\/span><\/p>\n

At its core, <\/span>conversational commerce<\/span><\/a> is about leveraging technology to create engaging customer experiences, which in turn leads to increased loyalty and satisfaction for brands over time. This makes it an integral part of any successful digital marketing strategy for online stores.<\/span><\/p>\n

In order to reap the full benefits of a <\/span>conversational commerce<\/span><\/a> strategy, retailers need to make sure they have a robust plan in place that takes into account the various types of conversational commerce platforms available. They also must consider what their potential customers might be looking for on their websites or platforms and what might make online customer journeys the most seamless.<\/span><\/p>\n

By integrating AI technology into their shopping experience, <\/span>digital commerce<\/span><\/a> businesses can make sure that they maximize the potential of conversational commerce and use it to enhance customer service experiences and increase sales. Brands have learned that they can engage customers and ensure they have a positive customer experience thanks to conversational commerce.<\/span><\/p>\n

\"How<\/a><\/p>\n

What Is Conversational Commerce in Ecommerce?<\/b><\/h2>\n

Conversational commerce is the process of using automated conversations and AI-powered technologies to create more engaging customer experiences when shopping online. Advances in generative AI have rapidly expanded what these interactions can do, enabling exchanges that feel genuinely natural rather than scripted.<\/span><\/p>\n

With conversational commerce, customers get quick answers to important questions, purchase items without navigating through entire websites, and receive suggestions based on their previously collected data, including <\/span>personalized product recommendations<\/span><\/a>.<\/span><\/p>\n

Having ample amounts of <\/span>commerce data<\/span><\/a> (the combination of product and customer data) makes these AI-driven conversations more effective: less friction, better relevance, and faster paths to the right product.<\/span><\/p>\n

\"Conversational<\/p>\n

How Does Conversational Commerce Work?<\/b><\/h3>\n

Conversational commerce utilizes a myriad of tools to create an interactive dialogue and experience between ecommerce businesses and their customers.<\/span><\/p>\n

Through these tools (powered by <\/span>artificial intelligence<\/span><\/a>, machine learning, and natural language processing) companies are able to quickly diagnose customer demands and provide the information that customers need to solve their problems.<\/span><\/p>\n

These can be taken even further with advancements like <\/span>agentic AI<\/span><\/a>. This technology uses the power of <\/span>AI agents<\/span><\/a> to autonomously engage users and make decisions, leading to more natural and organic interactions on your site.<\/span><\/p>\n

Conversational commerce tools also allow businesses to gather key insights from these customer conversations and use them to personalize future customer experiences. This will lead to stronger brand loyalty among customers who are engaging with the AI.<\/span><\/p>\n

Conversational Commerce vs. Social Commerce<\/b><\/h3>\n

While they may seem similar in practice, conversational commerce and social commerce are two different strategies for ecommerce businesses.<\/span><\/p>\n

Social commerce<\/span><\/a> specifically uses social media platforms (like Facebook or Instagram) to market and sell services or products online. This selling model allows customers to complete the entire sales cycle without leaving their social media app.<\/span><\/p>\n

While conversational commerce is similar in that the brand’s end goal is still facilitating sales, this type of commerce specifically uses AI to generate conversations that provide customers with personalized experiences and the opportunity to purchase what they need. This doesn’t necessarily happen on social media, but it can. The line between these two categories is increasingly blurry: platforms like TikTok Shop and Instagram now incorporate AI-driven conversational features, meaning the same interaction can qualify as both. In practice, many brands use them together rather than choosing one over the other.<\/span><\/p>\n

The Rapid Growth of Conversational Commerce<\/b><\/h2>\n

Consider your own personal communication style for a moment: how often are you personally relying on messaging or a two-way conversation to communicate or acquire knowledge? Probably much more so now than a few years ago.<\/span><\/p>\n

It’s no different with conversational commerce, and that’s why it has seen significant growth, with projects expected to grow even more rapidly over the next few years. The <\/span>conversational commerce market<\/span><\/a> reached $11.26 billion in 2025 and is projected to grow to $22.56 billion by 2031, a compound annual growth rate of 12.28%.<\/span><\/p>\n

One of the key explanations of the rapid growth? Convenience.<\/span><\/p>\n

Customers no longer have to worry about picking up the phone, returning an email, or even driving to a brick-and-mortar store to complete a purchase anymore. Everything (from product discovery to payment) can now happen via two-way communication thanks to AI-powered conversational commerce.<\/span><\/p>\n

Another key explanation? Generative AI.<\/span><\/p>\n

Advancements in Generative AI and Conversational Commerce Strategy<\/b><\/h3>\n

Generative AI<\/span><\/a> is a form of artificial intelligence that enables computers to generate content without being explicitly programmed.<\/span><\/p>\n

Generative AI’s ability to automate customer interactions, create personalized product recommendations, and respond to customer-specific requests by mimicking natural language is the backbone of conversational commerce. It represents the future of ecommerce as brands race to offer the most personalized experiences for customers without putting all the heavy lifting on their own internal marketers and merchandisers.<\/span><\/p>\n

More recently, innovations in generative AI have led to the development of agentic AI. Once you set a goal, these AI agents can work autonomously to make decisions, learn and adapt, and collaborate with other agents to complete that objective. This allows brands to implement new ways to engage customers while streamlining and scaling up their internal efficiency.<\/span><\/p>\n

Prior to the incredible recent advancements in generative AI, conversational commerce was limited in the types of interactions it could offer to customers. The AI may have been able to match some of the keywords, but that didn’t always guarantee a relevant or helpful response to customers, as the technology was not yet fully mature.<\/span><\/p>\n

For example, searching with stilted language such as “make a return” would likely produce much better results than searching “can you please help me return these jeans that I bought last week?”<\/span><\/p>\n

Now, thanks to generative AI and AI agents, those issues pop up far less frequently. Generative AI facilitates actual conversations in conversational commerce and helps brands deliver on the actual promise of being conversational in their strategies.<\/span><\/p>\n

There is so much data informing the process, and generative AI has such a deep understanding of how human beings speak that you can now interact in two-way messaging as you might with a friend or colleague. As a result, conversational commerce can be much more personalized and actually feel like a real conversation.<\/span><\/p>\n

These advancements mark a seismic shift in the ecommerce marketplace. Conversational commerce has been completely changed and upgraded because of generative AI, with innovations far beyond what could even previously be imagined.<\/span><\/p>\n

As OpenAI and LLMs reshape the internet, it may also radically reshape how we think about ecommerce websites, the role of <\/span>the search bar<\/span><\/a>, and all of the one-way communication online that human beings are accustomed to today. Generative AI makes it possible for conversational commerce to become a part of the experience that any company offers its customers, creating new ways for brands to build relationships with shoppers.<\/span><\/p>\n

That being said, the need for controls around this will still remain, and brands will maintain an important role in ensuring their <\/span>AI-powered commerce<\/span><\/a> experience is accurate and consistent with brand standards.<\/span><\/p>\n

\"What<\/a><\/p>\n

How Conversational Commerce Works Across 5 Channels<\/b><\/h2>\n

Now that you know how it works, consider how different channels put conversational commerce into practice. Each one creates a different touchpoint with the customer, but the underlying goal is the same: a more natural, personalized path to purchase.<\/span><\/p>\n

1. Social Messaging<\/b><\/h3>\n

The rise in popularity of social commerce for marketers working in <\/span>ecommerce marketing automation<\/span><\/a> does intersect with conversational commerce. Companies are now using the two-way messaging offered by Facebook Messenger and other social media platforms to communicate with customers in a more personal and engaging way and to offer personalized product recommendations.<\/span><\/p>\n

Brands like Sephora pioneered Facebook Messenger chatbots that guide customers through style and product decisions in real time, connecting purchase intent directly to catalog recommendations. By weaving product data into conversational AI, they created shopping experiences that outperform static browsing for both discovery and conversion.<\/span><\/p>\n

2. Virtual Shopping Assistants<\/b><\/h3>\n

Virtual shopping assistants<\/span><\/a> are one of the most common examples of conversational commerce. They do more than chatbots, which often follow preset rules or scripts. Instead, they use <\/span>conversational AI<\/span><\/a> to understand (and even predict) what customers are looking for, proactively provide guidance and recommendations, and adapt to their changing preferences.<\/span><\/p>\n

Home improvement retailers are a natural fit: purchase decisions depend heavily on specifications, compatibility, and project scope. AI assistants that walk customers through room dimensions, style preferences, and budget constraints eliminate the research friction that typically kills high-consideration purchases, guiding buyers toward personalized product bundles and driving higher average order values. See how this translates into a real flow in Bloomreach’s <\/span>personalized guided purchase campaign<\/span><\/a> use case.<\/span><\/p>\n

3. SMS for Two-Way Customer Conversations<\/b><\/h3>\n

SMS marketing<\/span><\/a> lets marketers use text messaging as an additional marketing channel. <\/span>Building an effective SMS strategy<\/span><\/a> should absolutely involve conversational commerce. Being able to have two-way conversations with your customers via text elevates your brand’s personalization pursuits and the customer experience it can offer.<\/span><\/p>\n

Illustrative scenario:<\/b> A travel booking platform uses SMS conversational commerce to help customers manage their trips. When travelers text questions about flight changes or hotel amenities, AI agents respond with personalized solutions and can instantly process booking modifications.<\/span><\/p>\n

4. MMS for Rich Media Customer Engagement<\/b><\/h3>\n

Sending media files that SMS can’t support is what makes <\/span>MMS marketing<\/span><\/a> so valuable to your brand. Being able to have a two-way conversation after sending those multimedia messages to opted-in customers? Even more valuable.<\/span><\/p>\n

Illustrative scenario:<\/b> A luxury jewelry brand sends MMS messages featuring high-resolution images and videos of new collections. Customers can reply with questions or requests to see similar pieces, triggering personalized conversations that guide them toward purchase decisions.<\/span><\/p>\n

5. AI-Enhanced Search Bars for Interactive Discovery<\/b><\/h3>\n

Is this a new one to you? Our interactions with the search bar may grow to include options for two-way conversation thanks to the impact that conversational AI will have on commerce search. In addition to its traditional one-way use, businesses may now also offer a two-way conversation prompted by a customer’s search. For example, a customer searching for a bike may see conversation-starter questions directly in the search bar, and clicking on one will bring up a chat window so they can ask further questions.<\/span><\/p>\n

\"Customer<\/p>\n

The Benefits of Conversational Commerce<\/b><\/h2>\n

The ultimate benefit of conversational commerce is that it provides customers with an easier and more efficient way to purchase products online. It gives them the ability to participate in two-way conversations with brands in a natural and conversational manner. This ultimately leads to a better shopping experience.<\/span><\/p>\n

But what about the benefit for brands? Think for a second about your <\/span>omnichannel<\/span><\/a> strategy. Would it benefit from not only customer engagement but also customer interaction? That answer is likely a resounding yes.<\/span><\/p>\n

Conversational commerce facilitates the ability to send an SMS, get a response, and then follow up via email. Or, you can create a conversation to reengage a shopper with an abandoned basket campaign. It’s an open flow of communication fueled by more personalization, created with less effort.<\/span><\/p>\n

Additionally, conversational commerce is another avenue for brands to use customer data to increase customer satisfaction and keep customers coming back to buy again. Using generative AI to automate customer interactions makes everything on the customers’ end more user-friendly.<\/span><\/p>\n