Google Launches Universal Protocol for Online Commerce

Google Implements New Online Commerce Protocol

Google has introduced the Universal Commerce Protocol (UCP), a new open standard aimed at revolutionizing the online shopping experience. This initiative combines artificial intelligence with e-commerce platforms to streamline the purchasing process for consumers.

New Features for Online Shopping

With the arrival of the UCP, Google offers three innovative features for online shopping. The first is the new AI Mode checkout function, which will allow customers to purchase products from U.S. retailers within Google Search. Currently, this function uses Google Pay, but it will soon include compatibility with PayPal and additional features, such as related product discovery and loyalty points usage.

Features for Retailers

On the retailer side, the UCP brings the Business Agent functionality. Defined by Google as a "virtual sales assistant that can answer questions about products in the brand's voice," this tool will be launched with initial partners like Lowe's and Reebok.

Direct Offers and Advertising

Additionally for merchants, the UCP gives rise to the Direct Offers function, which allows businesses to advertise exclusive offers to ready-to-buy customers directly in AI Mode. This functionality will work alongside AI Mode ads, which are already in testing by Google.

Industry Collaboration

The UCP was developed in collaboration with major industry players, such as Shopify and Walmart, and received support from other well-known companies like Macy's and Stripe. This integration demonstrates a union between search, retail, and payment processors to simplify the online shopping experience, encompassing everything from product selection to post-purchase support.

Future Implications

With the implementation of the UCP, Google could significantly transform the e-commerce landscape. As more retailers adopt these technologies, a more personalized and efficient shopping experience can be anticipated, with an increasing focus on the integration between different platforms and payment methods.