An Accelerated Timeline for Macy’s AI Agent
During a separate session, Google Cloud leaders shared a success story about Macy’s newly launched customer experience AI agent that shoppers can use on the retailer’s website.
The “Ask Macy’s” button sits close to the search bar. If shoppers want a more personalized, multifaceted experience, they can use the AI agent to find clothing options within a budget range for an event, for example, or home decor options to refresh a bedroom for spring.
Archana Kannan, senior director of product management at Google Cloud, walked through a demonstration of the AI agent on stage. She said that the outfit she wore for the talk was chosen with the help of the agent, by starting with a prompt that included her height, the time and location of her event, and specifying that she wants a look that can transition from day to night.
“Instead of pointing me to a generic help center page, the agent understands the exact context of my order and comes up with a logical resolution,” she said. “It presents options of either picking it up from the store or shipping it to my home. This is where digital and physical commerce comes together as one continuous experience.”
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The agent could also verify real-time inventory to ensure that the shoe size she needed was available at the location where she would pick up her order. “In one natural interaction, we have completed discovery, purchase, service and store fulfillment,” Kannan said. “This is fluid commerce, and this is the standard that your customers are going to expect.”
After the demonstration, Macy’s Senior Vice President of Customer Experience Chad Westfall answered a few questions from Darshan Kantak, Google Cloud’s vice president of product for applied AI, about the Ask Macy’s rollout.
Westfall noted that using Gemini Enterprise for Customer Experience sped up the process significantly, from planning to deployment.
“The team worked incredibly quickly, and Google consistently committed the right technical resources to ensure the implementation stayed on track,” he added.
Since the launch, Westfall said customer sentiment toward the AI agent has been positive. One interesting statistic has been that order sizes have increased for shoppers that engage with Ask Macy’s compared with the average cart.
“As we scale, we're keeping a close eye on how we're looking at those metrics. The initial engagement is really great from a signal perspective, but we look forward to gathering more data over time to see how this impacts our core KPIs. We are specifically looking at things like conversion rates, units per transaction and, of course, revenue. But ultimately, we're really excited to see how these AI-driven interactions actually help our long-term customer value and ultimately work,” Westfall said.
The AI agent also reduces the disconnect between what’s available online and the in-store inventory.
“When an AI agent can instantly verify inventory and secure a product for pickup right in the flow of that conversation, it transforms a digital interaction to a physical interaction and brings foot traffic into the store,” Westfall said.
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As the retailer looks toward the future, Westfall said, the AI agent is helping move the company from “a reactive service to a truly proactive discovery for our customers.”
“We're looking at the ways that the agent can anticipate the needs of our customers, before they even come online to search; for example, proactively reaching out to a Star Rewards member to help them understand about a new collection that perfectly matches their unique style profile, or seamlessly preparing a fitting room based on an ongoing chat that that customer's having,” Westfall said. “We aren't just keeping up with retail trends, we are actually redefining the future of how customers experience Macy's.”
Google Cloud’s Kantak closed the session by highlighting how AI agents can be built with speed to keep businesses agile.
“Building an enterprise agent with that kind of depth used to take months or even years. We've compressed that timeline down to days,” he said.