❓WHAT HAPPENED: Target announced a partnership with OpenAI to allow customers to shop its products through ChatGPT.
👤WHO WAS INVOLVED: Target, OpenAI, and ChatGPT users.
📍WHEN & WHERE: The tool will debut next week, ahead of the holiday shopping season, accessible via the ChatGPT app.
🎯IMPACT: This partnership reflects ongoing efforts to replace human workers, such as store associates, with AI.
Target is teaming up with OpenAI to allow customers to shop directly within the ChatGPT app, the company announced Wednesday. The feature, timed ahead of the holiday season, will give ChatGPT’s 800 million weekly active users access to Target’s products without leaving the platform.
Users will be able to tag Target in ChatGPT and request product suggestions, such as items for a family movie night. The AI will recommend products like blankets or snacks, and users can complete their purchases entirely within the app.
The move comes as Target navigates a challenging retail environment. The company reported a 2.7 percent decline in same-store sales and a 19 percent drop in profit in its latest quarter. Its financial struggles have been linked in part to boycotts over its diversity, equity, and inclusion (DEI) initiatives, along with broader economic pressures. In response, Target has implemented price cuts and announced a $1 billion investment plan aimed at revitalizing the brand.
Retail analysts say AI integration could enhance sales by creating a more personalized shopping experience. A recent Harris Poll found that nearly half of Gen Z consumers trust AI to assist with shopping and finding deals. Other major retailers, including Walmart, are also exploring AI partnerships to improve customer engagement and drive sales.
The National Pulse reported that Amazon aims to replace up to 600,000 roles with AI-powered robots as part of its long-term goal to automate 75 percent of its operations. Additionally, Amazon has introduced an AI seller assistant on its platform, which is currently in beta testing.
OpenAI, the company behind ChatGPT, has faced its own controversies, including internal whistleblower incidents and reports of models defying shutdown commands. Its leadership has also drawn attention for shifting political affiliations and for high-profile departures. Despite these issues, OpenAI continues to be a leading force in AI development, with tools now increasingly integrated into commercial applications.
Join Pulse+ to comment below, and receive exclusive e-mail analyses.