WHAT IS AGENTIC COMMERCE AND HOW IS AI CHANGING THE NATURE OF RETAIL & ONLINE SHOPPING?

Agentic commerce is an emerging model of digital commerce in which autonomous or semi-autonomous software agents act on behalf of users to discover, evaluate, negotiate, and complete purchases. Instead of people manually browsing websites, comparing prices, and checking out, intelligent agents perform these tasks according to user-defined goals, preferences, and constraints. The concept builds on advances in artificial intelligence, machine learning, and automation.

At its core, agentic commerce shifts commerce from user-driven interactions to goal-driven execution. A user might instruct an agent to “find the best-value laptop for school under a specific budget” or “reorder groceries every month while minimizing cost and delivery time.” The agent then independently searches across platforms, compares options, applies rules, and completes transactions, often without further human input.

Agentic commerce differs from traditional e-commerce and basic recommendation systems. Traditional e-commerce requires active decision-making at every step, while recommendation engines simply suggest products. In contrast, agentic systems are empowered to take action. They can adapt in real time, learn from past behavior, and make trade-offs—such as balancing price, quality, brand preference, and delivery speed—based on the user’s priorities.

This model relies on several key components. Autonomous decision-making allows agents to evaluate multiple options and choose the most suitable one. Interoperability enables agents to operate across different platforms, marketplaces, and payment systems. Trust and authorization mechanisms ensure that agents act securely and only within approved limits. Transparency is also critical so users can understand, audit, or override agent decisions.

Agentic commerce has wide-ranging applications. Consumers benefit from reduced effort, better price optimization, and time savings. Businesses can use agents to automate procurement, manage subscriptions, or optimize supply chains. In business-to-business environments, agentic commerce can streamline negotiations, inventory replenishment, and contract execution.

However, challenges remain. Issues such as data privacy, accountability for agent decisions, bias in algorithms, and regulatory oversight must be carefully addressed. There is also the question of trust—users must feel confident that agents truly represent their interests.

Agentic commerce represents a shift toward more intelligent, automated, and personalized economic activity, where software agents become active participants in the marketplace rather than passive tools.