Target Leads Retail Innovation with Generative AI Expansion
Target, the retail giant, is at the forefront of shopping innovation with its generative AI implementation. The company's Bullseye Gift Finder, introduced last year, has seen remarkable success and is set to expand. Ranjeet Bhosale, Target's vice president of digital product management, envisions the future of SEO as GEO, or generative engine optimization.
Target's Bullseye Gift Finder, a generative AI-driven tool for kids' gift recommendations, was enthusiastically adopted during the holiday season. The company plans to scale this success for other seasonal moments. This move aligns with Target's preparation for agent-to-agent interactions, where external shopping assistants browse Target on behalf of customers.
Bhosale highlights the shift in customer search behaviors, with shoppers increasingly using longer, context-based queries due to generative AI adoption. To meet these changing behaviors, retailers must provide relevant results within context. Target is addressing this through GEO, which involves training agents to understand and represent its products effectively to external assistants.
Target's generative AI journey, marked by the Bullseye Gift Finder's success, is set to expand. The company is preparing for future shopping trends, including agent-to-agent interactions and evolving customer search behaviors. By embracing generative engine optimization, Target aims to provide relevant and contextual results, overcoming consumer skepticism and fostering AI shopping assistant adoption.
