Open AI Partners with Walmart to “Make Everyday Purchases a Little Simpler”

Key Takeaways

• OpenAI has partnered with Walmart sales channel to support instant checkout on ChatGPT
• Buyers can make payments on ChatGPT without having to search the online store. 
• The fulfillment and delivery will all be taken care of by the sellers or Walmart Fulfillment Services, depending on the seller’s preference.

Artificial Intelligence (AI) is helping people make choices for their fashion, electronics, and home appliances. OpenAI is taking this thing a step further. Recently, Walmart announced its partnership with OpenAI as a move towards simplifying the online shopping experience for customers. After entering the eCommerce selling market, this is another major step for the Walmart marketplace, which was originally the most popular brick-and-mortar store brand. Sam Altman, Co-Founder and CEO of OpenAI, said, “We’re excited to partner with Walmart to make everyday purchases a little simpler. It’s just one way AI will help people every day under our work together.” This blog is your key to understanding the nuances of this step. 

Walmart’s Partnership with OpenAI 

By fusing the power of artificial intelligence with its vast selection, consistently low prices, and quick delivery, Walmart is bringing in the next generation of retail. The business revealed a new collaboration with OpenAI that would first enable members and consumers to shop at Walmart utilizing ChatGPT with Instant Checkout. Customers only need to converse and make a purchase; Walmart will take care of the rest, whether it's planning, replenishing household necessities, or discovering something new.   

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“For many years now, eCommerce shopping experiences have consisted of a search bar and a long list of item responses. That is about to change. There is a native AI experience coming that is multi-media, personalized, and contextual. We are running towards that more enjoyable and convenient future with Sparky and through partnerships, including this important step with OpenAI,” said Doug McMillon, President and CEO, Walmart Inc. 

Benefits of The Partnership to Sellers

As beneficial as the initiative is for buyers, it has immense benefits for sellers as well. Here’s what they are: 

Improved Visibility

When a buyer comes up to the Walmart online store looking for certain products, they are swamped with different items, but when they go to ChatGPT, looking for the same product, they only get certain options that lead to higher conversion rates for the sellers. 

Higher Sales

ChatGPT is providing the checkout option, which means that buyers will not have to go from one platform to another to make payments after making up their mind to buy the products. So, the sales will increase along with the profits. 

Low Cart Abandonment 

Cart abandonment is one of the most painful issues for sellers. Since ChatGPT is providing the checkout option straight, there is no space for ‘Add to Cart’, and leaving the products there. Buyers can simply choose, pay, and move. 

Better Branding

Now, for this, sellers need to make an effort and optimize their page well enough that it appears in responses of the OpenAI software. Once that’s done, buyers will repeatedly see your brand, and trust building will be smooth and simple.  

Better Customer Satisfaction

This partnership will allow the sellers to satisfy their consumers efficiently by providing them with their best products. ChatGPT will do the work of bringing them to the product; sellers just have to fulfill orders and deliver products on time. 

How Does this Work? 

This initiative is a development of online buyers’ desire to buy instantly without having to search and compare on multiple platforms. Here’s how it is supposed to work: 

• Customers can come up to the ChatGPT AI bot for queries like “best running shoes under $100” or “gifts for a ceramics lover”. 
• Now, the AI bot will go through the database and search the products of the Walmart online store to find out what matches the best with the query purely on the basis of relevance. 
• Then, with Instant Checkout, consumers can click on ‘Buy’ to confirm their order, shipping, and payment details to complete the purchase without having to visit the online shopping platforms. 
• The merchant uses their own systems to handle orders, payments, and fulfillment. Like a digital personal shopper, ChatGPT only serves as the user's AI agent, securely transmitting information between the user and the business.
• The service is free for consumers, has no bearing on their prices, and has no effect on ChatGPT's product results. Merchants pay a little fee on completed purchases. In product results, products from Instant Checkout are not recommended. In order to maximize the user experience, ChatGPT ranks several merchants that sell the same products. 

 Walmart Getting AI Support 

As sellers get support from AI and customers have an option to pay then and there as they choose their favorite product, it is a win-win on both ends. Nobody actually wants to go through a gazillion products and then choose one; they just want to buy something that fulfills their needs, which can easily be recommended by ChatGPT. Once the selection is done, payment is made on the same spot, and Voila! Earlier, OpenAI also partnered with Shopify and Etsy to provide a similar service on the software. This is to enable a simplified shopping experience and faster service to the public at large. 

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