September 16, 2025
This Holiday Season, AI Wins More Trust Than Retailers
Retailers have tried time and again to guide shoppers with curated gift lists and seasonal promotions. But this holiday season, consumers are putting more faith in generative AI than in traditional retail strategies.
Coveo’s new holiday report, based on a survey of 6,000 adults across the U.S., U.K., Australia, and New Zealand, shows how far consumer confidence in AI has grown. More than 70% of shoppers say they’re open to using GenAI tools to help with holiday shopping, while curiosity about AI assistants has more than doubled compared to last year.
In 2024, only 31% said they would consider AI for gift buying; in 2025, that number has climbed to 63%. Among those who have already tried it, 91% are ready to rely on it again.
Shoppers trust AI to provide useful, practical guidance in the form of help in comparing products, budget-based recommendations, and more detailed product descriptions. That puts AI in direct competition with the role retailers traditionally play in shaping purchase decisions.
Peter Curran, GM of Commerce at Coveo, said: “Consumers are not just open to GenAI in their shopping journeys, they’re actively seeking it out. The industry has seen some early experimentation, but retailers have been hesitant to fully embrace GenAI-powered shopping tools. This report clearly signals a significant missed opportunity for retailers to truly differentiate themselves, reduce shopper stress, and drive conversions this holiday season by leaning into intelligent, conversational discovery.”
Make It Personal
This behaviour isn’t limited to seasonal shopping. Another report found that 30% of consumers regularly turn to AI agents such as ChatGPT, Perplexity, and Claude for product recommendations, comparisons, or reviews. Adoption is highest among Millennials and Gen Z, whose usage rates are 33% and 11% above the US national average. Luxury shoppers, in particular, are showing strong demand for hyper-personalised AI-driven experiences.
Younger consumers are driving the holiday trend as well. Almost 90% of Gen Z and Millennials say they would use an AI shopping assistant, making them the most open to handing over gift decisions to algorithms rather than in-store staff or brand promotions.
While 86% of shoppers say they’re stressed about holiday shopping, especially around budgets, delivery timelines, and choosing the right gift, 73% still plan to spend the same or more than last year. Many see AI as a potential solution to the seasonal pressure retailers have struggled to alleviate.
Personalisation is emerging as a bigger factor in the process. Thirty-eight percent of shoppers say they want custom or personalised gifts, reinforcing why GenAI, with its ability to deliver tailored suggestions, is gaining ground.
