Coveo Holiday Report: More than 70% of Consumers Would Use GenAI for Holiday Shopping, Highlighting Untapped Opportunity for Retailers

85% of Gen Z and Millennials Said They Would Use a GenAI Shopping Assistant, with Shoppers Looking for AI to Help Compare Products and Provide Gift Recommendations

MONTREAL, LONDON, and NEW YORK, Sept. 11, 2025 /PRNewswire/ - Coveo (TSX: CVO), the leader in AI-Relevance, delivering best-in-class AI-search and generative experiences that maximize business outcomes at every point-of-experience, today announced a new research report titled, "Shoppers Say Yes to GenAI This Holiday Season." The report, based on a survey of 6,000 U.S., U.K., Australia, and New Zealand adult consumers, highlights a significant and growing consumer demand for generative AI (GenAI) tools to support their holiday shopping experiences. The survey, conducted in June 2025 by Coveo in partnership with Arlington Research, reveals a potential disconnect between consumers' readiness for AI-powered shopping assistance and the slower pace of adoption among retailers, underscoring a major opportunity to elevate the customer experience through GenAI integration.

GenAI isn't a mainstream shopping habit yet, but curiosity is growing fast. Last year, only 31% of shoppers said they would use a virtual assistant for gift buying. This year, curiosity has more than doubled, with 63% now curious to try one. But it doesn't stop at curiosity; shoppers are signaling strong intent to use AI-powered tools this holiday season. The report found that 72% are open to using GenAI guidance, with 35% already having used it. This openness is particularly pronounced among younger generations, with 85% of Gen Z and Millennials expressing willingness to use GenAI shopping assistants. Among those who have already experienced GenAI for shopping, a notable 91% are interested in using it again, reinforcing its perceived value.

Shoppers are looking to GenAI for practical assistance, with 41% wanting help comparing products, 35% seeking budget-based recommendations, and 31% wanting to learn more information about products. This intent underscores a clear consumer desire for smarter, more helpful discovery experiences, especially during high-pressure shopping moments.

"Consumers are not just open to GenAI in their shopping journeys, they're actively seeking it out," said Peter Curran, GM of Commerce at Coveo. "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."

Additional highlights from Coveo's 2025 holiday report also include:

• Shoppers are Stressed, But Still Giving – Despite 86% of shoppers being concerned about holiday shopping, 73% still plan to give as much or more than last year. Budget constraints, the pressure to find the "right" gift, and delivery timing are key stressors. Younger shoppers feel these pressures most acutely, with 96% of Gen Z and 92% of Millennials reporting some level of concern.
• Omnichannel is the Standard – 83% of shoppers will shop online, 61% in-store, and 44% plan to split purchases evenly between both, emphasizing the need for seamless experiences across all touchpoints.
• Search Engines and Retailer Websites Remain Top Starting Points – 34% of shoppers begin their gift journey with a search engine (31%) or an AI assistant like ChatGPT (3%), matched by another 34% who start on a marketplace or retailer website. This highlights the need for fast, relevant, and trustworthy search results.
• Black Friday/Cyber Monday (BFCM) Still Dominant, Especially in the U.S. – 88% of shoppers globally plan to participate in BFCM, with 91% in the U.S. This period continues to set the bar for pricing and expectations, requiring retailers to offer more than just blanket discounts.
• Budget is the Biggest Driver of Brand Perception – 66% of shoppers say cost most affects how they choose and view brands, with 46% planning to give the same number of gifts as last year, often cutting back in other areas to accommodate gifting.
• Personalized Gifts Top the Wishlist – Personalized or custom gifts are the most popular category, chosen by 38% of shoppers, indicating a desire for more thoughtful and meaningful presents.

To download the report, click here.

About Coveo

Coveo brings superior AI-Relevance to every point-of-experience, transforming how enterprises connect with their customers and employees to maximize business outcomes.

Relevance is about moving from persona to person, the degree to which the enterprise-wide content, products, recommendations, and advice presented to a person online aligns easily with their context, needs, preferences, behavior and intent, setting the competitive experience gold standard. Every person's journey is unique, and only AI can solve the complexity of tailoring experiences across massive, diverse audiences and large volumes and variety of content and products.

Our Coveo AI-Relevance™ Platform enables enterprises to deliver hyper-personalization at every point-of-experience, unifying all their data securely, with the highest level of contextual and prescriptive accuracy while simultaneously optimizing business outcomes.

Coveo brings AI-Relevance to the digital experiences of many of the world's premier and most innovative brands, serving millions of people across billions of interactions.

What we believe is bold: Digital is everywhere, Relevance is not. It's the only way to win in the digital age.

The Coveo AI-Relevance Platform is ISO 27001 and ISO 27018 certified, SOC2 compliant, HIPAA compatible, with a 99.999% SLA available. We are a Salesforce ISV Partner, an SAP EndorsedⓇ App, AWS ISV Accelerate Program member, an Adobe Gold Partner, MACH Alliance member, Optimizely Partner, Shopify Partner, and a Genesys AppFoundryⓇ ISV Partner. Coveo is a trademark of Coveo Solutions Inc.

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Forward-Looking Information

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SOURCE Coveo Solutions Inc.