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Agentic AI's Impact on E-commerce: A Conversation with Novi CEO Kimberly Shenk

The Agile Brand with Greg Kihlstrom®January 7, 202629 min117,529 views
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The Shift from SEO to AEO

  • 🎯 Agentic AI is fundamentally changing product discovery, moving from SEO and SEM dominance to a world of direct, synthesized answers.
  • 💡 Brands must shift from optimizing for search engine visibility to becoming the definitive answer for AI agents.
  • 🚀 This new paradigm levels the playing field, rewarding brands with trustworthy, structured, verifiable data over those with the largest budgets.

Navigating the AI-Driven Customer Journey

  • 🧠 The "messy middle" of the customer journey, where consumers previously compared information, is now compressed into a single AI-driven step.
  • ✅ AI agents evaluate products based on trust (verifiable, consistent data), relevance (data mapped to intent), and extractability (structured, machine-readable data).
  • 📈 Brands must now merchandise products to machines, not just humans, by pre-packaging clean, structured, and consistent claims and attributes.

Beyond Product Specs: Enriched Claims for AI

  • 🔑 Verified claims beyond basic product specs, such as ingredient disclosures, certifications (e.g., USDA Organic), and testing results, are critical trust anchors for AI.
  • ⚠️ Inconsistency in product information across platforms is treated as uncertainty by AI, leading to downgraded visibility.
  • 🛠️ Enriched claims and clear attributes are what differentiate products and are heavily relied upon by AI for relevance and selection.

Adapting Marketing Strategies and Workflows

  • 🔄 Marketing teams must accept that they are marketing to both humans and machines, requiring more structured, verifiable, and fluff-free content production.
  • 🤝 Cross-functional alignment between R&D, marketing, and e-commerce teams is crucial for managing product data as a competitive advantage.
  • 💰 Early movers are reallocating budget from traditional SEO/SEM and paid ads to AEO, recognizing its growing importance and ROI.

Measuring Success in the Age of AI

  • 📊 The AEO journey involves three measurement phases: readiness (data audit, consistency scores), momentum (share of voice, ranking in AI answers), and consistent visibility (stable, predictable appearances over time).
  • 📈 Traffic metrics like branded search, direct traffic, and direct referral traffic are key indicators of ROI, as traditional click-through rates become less relevant.
  • 🏆 Brands that successfully adapt are seeing significant appearances in AI responses, outperforming those treating AEO as an incremental project.

The Future of AI Commerce

  • 🤖 The next evolution is fully agentic commerce, where AI agents handle the entire end-to-end process from research and comparison to transaction.
  • 🤝 AI can strengthen brand loyalty by building trust and transparency, creating a more durable loyalty loop than historical advertising-based methods.
  • 🌱 Curiosity and consistent learning, especially about real consumer behavior and AI model updates, are essential for staying agile.
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What’s Discussed

Agentic AIAI CommerceProduct DiscoverySEOSEMAEOCustomer JourneyBrand VisibilityData StructureVerified ClaimsMarketing StrategyAI AttributionConsumer BehaviorBrand LoyaltyFuture of Commerce
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