Google is accelerating its push into what it calls the “agentic shopping era”, unveiling a suite of AI-powered commerce tools alongside new campaign budgeting features.
The tools are designed to give advertisers more control over how spend is deployed across shorter, high-intent activations.
The updates, announced across Google Ads and Commerce, point to a wider strategy which is repositioning the tech giant as an increasingly active participant in the shopping journey.
At the centre of that shift is Google’s new Universal Commerce Protocol (UCP), an open standard intended to allow AI agents, retailers, platforms and payment providers to interact using a common framework. Google said the protocol is designed to remove friction across the entire commerce lifecycle, enabling AI systems to complete tasks on behalf of shoppers rather than simply recommend products.
The move builds on earlier experiments in agent-led shopping and payments, including Google’s Agent Payments Protocol, and reflects growing confidence inside the company that consumers are ready to let AI handle more of the mechanics of buying.
“Agentic commerce is evolving from a concept to reality,” said Vidhya Srinivasan, VP and GM of ads and commerce at Google, in a blog post accompanying the launch.
From discovery to checkout, inside Google surfaces
In practical terms, UCP will soon underpin a new checkout experience on eligible Google product listings in AI Mode in search and within the Gemini app. For US shoppers, this means the ability to complete purchases while still in the research phase, using saved Google Pay credentials and shipping details stored in Google Wallet, with PayPal support set to follow.
Retailers remain the seller of record, but Google is positioning the experience as a way to reduce drop-off and abandoned carts at moments when intent is highest. Over time, the company plans to layer in loyalty rewards, related product discovery and more customised shopping flows, with international expansion also on the roadmap.
The protocol has been co-developed with major retail and platform players including Shopify, Etsy, Wayfair, Target and Walmart, and has secured endorsements from a broad swathe of the payments and commerce ecosystem, from Adyen and Stripe to Mastercard, Visa and American Express.
Alongside the protocol, Google is rolling out Business Agent, a branded AI chatbot that allows shoppers to interact directly with retailers inside search. Framed as a virtual sales associate, the tool can answer product questions in a brand’s voice and, over time, support direct purchases and agent-led checkout.
Ads adapt to conversational commerce
These commerce updates are also reshaping how advertising functions inside Google’s ecosystem. As conversational search and AI-driven discovery replace keyword-heavy queries, Google said it is introducing dozens of new merchant centre data attributes designed to make products more visible in AI-led environments.
Rather than relying solely on traditional product feeds, retailers will be able to supply richer contextual information, such as answers to common questions, compatible accessories or substitutes, helping AI systems match products to more nuanced intent signals.
At the same time, Google is testing direct offers within AI Mode, allowing advertisers to surface exclusive discounts at the moment a shopper appears ready to buy. Initially focused on price promotions, the pilot will expand to include bundles and value-based incentives such as free shipping.
Brands including Petco, e.l.f. Cosmetics and Samsonite are already involved in shaping the format, which Google is positioning as a way to close the gap between discovery and conversion in AI-driven shopping flows.
Campaign total budgets enter open beta
Complementing these more structural changes, Google has also introduced campaign total budgets across search, Performance Max and shopping campaigns, now available in open beta.
The feature allows advertisers to set a fixed budget for a defined period, ranging from a few days to several weeks, rather than managing spend through daily adjustments. Google said this is aimed at campaigns tied to specific moments, such as product launches, sales events or short promotional bursts.
Instead of pacing manually, campaigns automatically optimise spend to fully utilise the allocated budget by the end date, reducing the risk of underspend or missed opportunities during peak demand.
For Escentual.com, a UK-based beauty retailer, the feature delivered a reported 16% increase in traffic during a promotional campaign without exceeding budget or missing ROAS targets.
