Reimagining Retail: Personal AI Agents and the Shopping of Tomorrow
In Episode 03 of the M01 Rocketeers podcast by Maria 01, an expert panel explored the future of shopping, aided or even automated by personal AI agents. The way we shop and search for goods and services is poised for a major transformation. Instead of relying on search engines or navigating through websites and shopping platforms, consumers may soon turn to personal AI assistants as their go-to personal shoppers. These AI agents can process vast amounts of data, sifting through reviews, test results, insurance details, social media mentions, and other relevant sources to identify the perfect product, ensuring optimal value and user fit.
The panel featured Julianna Alanne, Director of Global Partnerships at Smartly, and Timo Valtonen, CEO & Co-Founder at Flow Computing.
The discussion began by listening to a future scenario—a research-based yet fictional story describing a potential future state. You can find the story and the company introductions at the end of this post.
The Rise of AI Agents: Are Search Engines Becoming Obsolete?
In this future scenario, AI agents effectively replace traditional interfaces like web browsers, removing the search engine as the “middleman.” User devices—such as phones, watches, or even augmented surfaces like windows—could serve as interfaces for these agents. As technology progresses, AI agents may also manifest as avatars in holographic displays or virtual reality, heralding a significant shift where websites are increasingly designed for machines rather than humans.
When asked about the potential for AI to replace search engines, Timo Valtonen suggested that augmentation, rather than replacement, is more likely. “I still believe that humans need to remain in control, but in some cases, the human element could be detached. In the future, our AI agents will be talking to each other,” he explained.
Julianna Alanne shared a similar view, noting, “I think AI could replace certain functionalities, but you’d still need search engines for tasks like good old research, where you need to understand the process, verify sources, and have full transparency.”
Sarita Runeberg highlighted the current gap in search engines, pointing to their lack of contextual understanding compared to large language models like ChatGPT: “If search engines don’t evolve to provide context rather than just a list of search results, I think AI agents will replace them.”
Julianna added another perspective, envisioning a highly conversational future: “I think we all want to engage in discussions with AI, especially for specific, personalised searches.”
Timo touched on the technical implications of AI-driven searches, noting the increased demand for data processing and infrastructure: “You’ll need more performance on the back end, in the cloud, to handle the massive amounts of data.”
Julianna reflected on the paradox of AI’s role in productivity and resource consumption. “It’s interesting how AI is seen as a democratising, cost-cutting force that boosts productivity, yet it demands so many resources,” she remarked. “And here’s another shift: today, we optimise websites for search engines, but soon we’ll need to optimize them for AI.”
AI Agents: Data-Driven Negotiators of the Future
AI agents could revolutionize how transactions are conducted by negotiating directly with sellers on behalf of consumers. These agents might haggle over prices or adjust terms based on hyper-personalized factors such as product reviews or social media sentiment, but also factors like complaint history, or return rates—potentially leading to tailored pricing and customized offerings.
For AI agents to excel in finding niche products or services, vast amounts of relevant data will be essential. Julianna posed a critical question:
“How do you provide the agents with the right data about your product?”
Sarita agreed, emphasizing the importance of data accessibility:
“It all depends on how much data is provided about a specific product or its ingredients. Right now, there’s no easy way to search for a product that includes or excludes certain components, like ingredients or specific colouring agents.”
Julianna envisioned an expanded role for AI in conducting competitive market research. Building on this, Timo highlighted the value AI agents could bring in complex transactions, particularly larger purchases: “AI agents could assist with recommendations, negotiations, and even researching financing options,” he said.
For simpler tasks, AI agents can act effectively within user-defined guardrails, Julianna noted. However, she acknowledged limitations in more complex B2B deals, where nuanced decision-making will still require human intervention.
Sarita further illustrated how access to extensive data sources could enhance an AI agent’s negotiating power: “AI might secure better deals simply by leveraging more information—for example, knowing the profit margins of different banks when researching mortgage options.”
This shift toward data-driven, autonomous agents negotiating on behalf of individuals and businesses could redefine the landscape of commerce, driving efficiency and personalization to unprecedented levels. However, it also raises important questions about data sharing, transparency, and control as these systems evolve.
Advertising in the AI Era: From Human Emotions to Machine Connections
The evolution of AI agents raises profound questions about the future of advertising. As these agents personalize shopping recommendations and curate social media content directly for users, traditional ad exposure might decline. With consumers potentially opting for ad-free platforms or alternative content delivery methods, or switching off social media completely, the number of viable advertising channels could shrink significantly.
A critical challenge lies in the creation of filter bubbles, where AI agents repeatedly show users content similar to what they already engage with, reinforcing preferences and limiting exposure to new ideas. This self-reinforcing loop poses risks, particularly for vulnerable populations, such as the elderly, who may be nudged toward specific choices without fully realizing it. Issues of trust, transparency, and liability will be pivotal as AI-driven advertising evolves.
When asked about the future of advertising, Julianna reflected:
“That’s something I think about daily. Over the past decade, we’ve seen rapid development from dynamic ad formats to retargeting. Now, we’re heading into a world of hyper-personalization. Media channels are increasingly driven by AI automation. Yet, the human element of storytelling will never disappear. To remain relevant, brands need to touch their audience emotionally. Balancing AI precision with human touch will define the future of advertising.”
Timo took this a step further, predicting a shift where ads target not consumers directly but their personal AI agents:
“Advertising will happen between machines—I won’t even see the ads anymore.”
Sarita highlighted the growing importance of influencer marketing:
“People will continue following influencers they trust, and that trust will become even more critical in the future. It will also be fascinating to see how AI agents incorporate interactions with influencers to tailor recommendations.”
Avatar influencers might gain popularity, but Julianna emphasized that human influencers will remain significant due to our innate desire for human connection. AI agents will also need to evolve alongside their users, she pointed out.
Timo asked: “Your personality changes over time. Will your agent adapt, or will you replace it with a new one?” Maybe we’ll see discovery features akin to Spotify’s recommendations.
Advertising, at its core, is about meeting people where they are—a principle that will remain constant even as AI reshapes the landscape. However, as Julianna observed, the places where we spend our time and learn about new products may look vastly different in the future. “We don’t necessarily know what are all of those places where we’ll be spending our time – yet somehow we will be educated about new things that are coming to market.”
Another layer of complexity involves human impulsiveness. Sarita raised a thought-provoking question:
“Can an agent understand your personality well enough to account for your need for novelty or excitement?”
Or, conversely, could an AI agent help save you from excessive impulsiveness?
Julianna highlighted the potential of AI agents to guide users toward meaningful choices:
“Imagine an agent that asks whether you truly need something or if it aligns with your personality. Combining such data points would be transformative.”
How AI Will Reshape Reviews, Feedback, and Consumer Trust
AI-driven recommendations are poised to transform how we receive and provide feedback. Reviews, a cornerstone of consumer decision-making, will take on a new dimension if AI agents automate the process.
Sarita pointed out a key limitation of current reviews:
“Most human-created reviews are biased and unreliable. If reviews were automated and generated by AI agents, the volume and consistency could make them far more useful. For example, the AI could monitor the consumer’s feelings, reactions, and usage times to create objective, data-driven reviews.”
This automation could also address common consumer frustrations, as Julianna observed:
“Giving feedback can feel too time-consuming. I sometimes wonder if I care enough to share my experience with the business. If the process were easier, I’d be more inclined to give feedback.”
Timo added: “There’s just too much effort involved. Right now, most reviews are either 1-star rants or overly positive 5-star reviews that feel suspicious. Automation could lead to a healthier distribution of ratings.”
AI’s potential goes beyond ratings; it could tap into every stage of the customer journey, collecting diverse feedback to improve products and services.
AI Shopping Redefined: Tailored Choices and Convenience
The future of shopping could blend convenience and personalization with cutting-edge technology like virtual and augmented reality. Imagine browsing virtual stores where goods are tailored to your preferences, selected by your AI agent, or visualizing furniture in your living room through AR.
For everyday essentials, the panellists envisioned a streamlined, automated experience. Timo suggested: “It will start with the basics—coffee, cheese, those recurring purchases. I want them to just appear in my kitchen without me having to think about it.”
Sarita expanded on this idea, imagining AI agents supporting personal goals:
“An AI agent could recommend dinner ingredients that align with your goals, like saving money, eating healthier or reducing waste.” Timo added: “If you aim to shop more sustainably or support local producers, the agent could help you achieve that.”
Being able to predict people’s behaviour and actions could make many societal processes more lean. AI agents could also revolutionize sustainability, minimizing over-production by predicting consumer behaviour and tailoring supply to demand.
For individuals, this might translate to reduced food waste through precise meal planning or optimized wardrobe choices. As Sarita explained:
“I’d love for AI to manage my grocery shopping, rotating recipes I’ve selected and delivering exactly what I need each week. It would also be great if an agent could track how often I wear my clothes, helping me make smarter purchase decisions.”
The Role of Virtual Experiences in Shaping the Future of Shopping
While automation might dominate everyday shopping, speciality products are a different story. For these items, tactile and visual experiences remain vital. Timo highlighted the potential of virtual reality for home décor:
“Shopping for furniture could become much easier. You could see how it fits in your space and test it in different lighting conditions through VR or AR.”
Julianna expressed excitement about VR’s applications in fashion and interior design:
“I’d love to try on clothes or test home décor items in a virtual environment rather than braving crowded malls or dealing with returns. It’s not just convenient—it could significantly reduce unnecessary deliveries, contributing to sustainability.”
Although VR can’t yet replicate the physical feel of products, Julianna was optimistic:
“Even the tactile aspect might be solvable in the future. It’s exciting to think about how much more streamlined and sustainable shopping could become.”
The evolution of shopping—guided by AI agents, VR, and AR—promises not only greater convenience but also a shift toward more conscious and efficient consumer behaviour. As technology develops, the way we interact with products and services will become ever more personalized, immersive, and sustainable.
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Here’s the scenario – the story from the future discussed in the podcast, followed by the panellists’ company introductions:
FUTURE TALES: MY STYLISH SIDEKICK
“Hey, Lisa!” my friend chirps as I stroll into the shopping village. This time, we’ve landed in Capri—a little slice of designer paradise, with its charming boutiques and narrow alleys that make you feel like you’re in a postcard. It’s the perfect antidote to the gloomy, rainy winter nights in Finland. And the best part? You can shop for cozy winter wear without breaking a sweat while basking in the Mediterranean sun.
As I gaze at the shop windows and street-side displays I see them showcasing the latest fashion treasures on my holographic image. “Loving the selection today!” I exclaim to my friend, who’s matching my enthusiasm. “Thanks! I really brought my A-game!” she beams, clearly pleased with herself.
I pop into one of the boutiques and pick a couple of shirts to try on. Trying on garments offers an entirely different viewpoint instead of just seeing yourself in them. You can experience them better and see how the material reacts to movement.
“I think I need this in bright red too!” I tell my friend, who raises an eyebrow, clearly weighing her words. “Remember what happened last time you went for red?” she teases. “You wore it, what, four times in a year? And it’s been hiding at the bottom of your drawer since August! Plus, it’s not only me but also your mom who always says blue is your colour. How about we add 2 cm to those sleeves just to be sure?”
Alright, dark blue it is—longer sleeves, please!” I concede, and my friend looks like she’s just dodged a bullet. “Just so you know, the 3D printing has a bit of a wait—it won’t be ready until tomorrow noon.”
“Did you find any cute pre-owned watches?” I ask, and she immediately pulls out a selection. One catches my eye—a retro leather beauty that instantly transports me back to memories of my late grandma. I still have her vintage leather skirt from the days when people ate organic meat and shopped in real stores. Can you imagine braving the January rain for that?
“Alright, I’ll take the watch and the shirt. And hey, feel free to offer them the same deal again—knocking down the price for a little human-generated content. Oh, and surprise me with dinner!” I say, grinning. My friend’s wheels are turning, and she suggests, “How about I grab three pairs of those black socks you love while I’m at it?” I nod in agreement and slip off the VR glasses.
Half an hour later, I hear a cheerful little beep from my phone. I know what that means without even looking—the delivery drone has dropped off my goodies right at the door. The beautiful vintage watch, three pairs of socks and a fresh Caprese salad await me! I can’t help but sigh, realizing that this is why I let AI do the heavy lifting—I totally would have gone for Neapolitan pizza instead!
Flow Computing is a pioneering startup based in Helsinki, Finland enabling the next generation of CPU performance for the most demanding applications, such as locally-hosted AI and general-purpose parallel computing. This revolutionary performance leap is achieved using the company’s patented Parallel Processing Unit (PPU) licensable architecture and compiler ecosystem – enabling developers to choose their preferred ratio of raw performance for new apps vs. maintaining legacy code and application compatibility when required. Flow’s groundbreaking architecture also turbocharges embedded systems and data centers, for uses such as edge and cloud computing, AI clouds, autonomous vehicle systems, military-grade computing and more. Learn more at www.flow-computing.com.
Smartly is an AI-powered advertising technology company transforming ad experiences for brands and their consumers. As one of the world’s largest SaaS digital advertising platforms, Smartly.io manages $5+ billion in ad spend for 700+ global brands, including Walmart, FanDuel, L’Oréal, Warner Bros. Discovery, Nestlé, and Disney/ESPN. By seamlessly integrating media, creative, and intelligence capabilities, Smartly.io delivers a comprehensive end-to-end solution that empowers brands to reach their audiences effectively, engage with captivating creatives, and consistently identify top-performing strategies. Its platform drives scalable results for both brand awareness and performance marketing across major media platforms, including Facebook, Instagram, Snapchat, Pinterest, TikTok, and Google. Learn more at https://www.smartly.io/