Walmart Just Dropped a Major AI Upgrade—Holiday Shopping Will Never Be the Same

Walmart is rolling out AI-powered tools for both in-store and online shopping as the festive season approaches. Through its new partnership with OpenAI, the retail giant aims to create a more personalised and intuitive buying experience via ChatGPT integration and an upgraded version of its own chatbot, Sparky.

Published on
Read : 2 min
Walmart chatGPT partnership
©Shutterstock

These features are being introduced at a time when consumer expectations are shifting rapidly, and competition in the e-commerce space is intensifying. Walmart’s move signals a broader trend in retail, where artificial intelligence is playing a growing role in shaping how people shop, plan, and manage their spending, especially in high-traffic periods like the year-end holidays.

The initiative also builds on Walmart’s second-quarter results, which saw its US e-commerce unit grow by 26%, highlighting the commercial significance of this technological shift. With Sparky’s new agentic capabilities and the launch of direct shopping via ChatGPT, Walmart is seeking to deliver seamless, AI-first interactions at scale.

Personalised Digital Shopping, From Suggestion to Checkout

At the heart of this development is a new level of context-aware digital assistance. Walmart customers will now be able to use AI not just to search for products, but to receive tailored recommendations based on shopping goals. According to Walmart CTO Hari Vasudev, this includes features such as curated shopping lists for parties or events, guided by prompts like theme, budget and number of guests.

The company’s proprietary chatbot Sparky, introduced in August, is already undergoing upgrades. During Walmart’s Q2 earnings call, CEO Doug McMillon confirmed that Sparky will gradually adopt “agentic capabilities”,  meaning it will anticipate user needs and manage multi-step tasks independently. In practical terms, a customer planning a birthday party could soon input general requirements and receive a complete shopping list, suggested items and instant checkout options.

Person using chatGPT ©Shutterstock

The integration with OpenAI’s ChatGPT is set to expand this further. Users will be able to browse and purchase Walmart products directly through the ChatGPT platform, including the use of Instant Checkout. According to Sam Altman, CEO of OpenAI, this partnership reflects a growing role for AI in simplifying everyday decision-making, especially in high-frequency use cases like household replenishment and meal planning.

Increased Engagement and Growing Reliance on AI

Walmart is also seeing measurable shifts in customer behaviour when AI is involved. According to David Guggina, Executive Vice President of eCommerce at Walmart US, shoppers who use the mobile app while in-store spend on average 25% more. This suggests that real-time digital assistance not only improves convenience but also deepens engagement and conversion during physical store visits.

Beyond consumer-facing tools, Walmart is embedding AI across its operational structure. It is using AI to accelerate fashion production timelines by as much as 18 weeks and reduce customer care resolution times by up to 40%, according to corporate disclosures. These internal efficiencies feed into smoother customer experiences, reinforcing Walmart’s bid to lead in what it terms agentic commerce.”

The company is also training its workforce in AI applications, having introduced ChatGPT Enterprise across internal teams and adopted OpenAI Certifications to boost employee AI literacy. This suggests a broader cultural shift within the organisation, aiming to merge human insight with algorithmic efficiency without fully automating away human interaction.

Walmart’s strategy underscores how retailers are evolving from passive service providers to proactive assistants, using AI not only to sell, but to plan, predict, and personalise at scale. While still in its early phases, the partnership with OpenAI is a clear indication that conversational commerce, once a futuristic concept, is now a tangible part of the retail landscape.

Leave a comment

Share to...