Tech and retail back a new AI shopping standard at NRF 2026 (www.axios.com)

Google and Shopify, alongside major retailers like Etsy, Wayfair, Walmart, and Target, have announced a new standard called the Universal Commerce Protocol (UCP) during the National Retail Federation's annual conference. This initiative aims to enable AI systems to autonomously complete purchases across various shopping platforms, marking a significant advancement in e-commerce capabilities. With 20% of retail sales during the last holiday season attributed to AI-assisted transactions, this move aligns with the growing consumer demand for enhanced shopping assistance and streamlined purchasing experiences. The UCP addresses a major pain point in online shopping—checkout friction, which can lead to massive cart abandonment, costing retailers billions annually. Vidhya Srinivasan from Google highlighted the need for standardized processes to manage diverse payment methods, returns, and loyalty points. While this shift toward "agentic commerce" represents a promising future where AI fulfills more active roles in purchasing, consumer hesitance persists, as only 17% of shoppers feel comfortable allowing AI to finalize transactions. Building trust in AI as a reliable shopping partner will require further development of standards and improvements in the overall checkout experience.