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Your Secret Weapon This Holiday Shopping Season Could Be... ChatGPT?

- Rangely García for Money
Rangely García for Money

As we approach the holidays, artificial intelligence is taking center stage. Whether that’s a blessing or a curse — well, that depends on how the burgeoning technology is used.

On one hand, Coca-Cola is facing fierce backlash after it used generative AI to reimagine its beloved 1995 “Holidays Are Coming” campaign. On the other, some proponents of AI say that the very same tool can reduce the stress of one of the biggest holiday to-dos: shopping for gifts.

John Licato, a computer engineering associate professor and AI researcher at the University of South Florida, recommends using AI to help you pick the perfect gift for friends or family.

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“You can refine the AI's suggestions by giving feedback, helping it become more accurate in offering thoughtful, tailored gift ideas,” Licato said in a news release.

Recent data from Adobe suggests that many online shoppers are already asking AI to help them pick products. AI referrals to retail sites have increased eightfold since 2023; the software firm expects the trend to pick up even more this holiday season.

In fact, a recent survey from Debt.com found that 65% of shoppers said they were willing to spend more than usual on a gift if AI gave them an ideal recommendation.

How to use AI to buy Christmas presents

By now, most folks are accustomed to using Google to do basic product research, probably by pecking in “best” followed by whatever type of product they’re searching for. In milliseconds, Google populates pages and pages of results, usually topped by several sponsored products.

But AI works a little differently. And not all AI chatbots are created equally. Licato recommends using reputable ones like ChatGPT and Claude, which use advanced language-learning models that are trained with extensive amounts of data and have real-time access to the internet.

Many retailers now have their own on-site AI chatbots. Take Amazon’s shopping-assistant chatbot, Rufus, for example. Rufus can help you search for products... but only ones on Amazon.com.

In some cases, these retailer-run AI tools might not be as advanced as ChatGPT, or they may have different goals such as only selling you products offered on the site.

When you’ve decided on which AI tool you want to use, tell it a little bit about your shopping goals and budget.

According to RetailWire’s holiday shopping forecast, one major perk of using a tool like ChatGPT over a regular search engine is that AI uses natural language, not just a few key words. You can describe at length what you’re looking for — even if you don’t exactly know what that is yet. You can also feed the chatbot as much information about the person you’re shopping for as you want.

Basic facts like their interests, relation to you, hobbies and more can go a long way in getting tailored gift ideas (though Licato suggests using only publicly available information on the person if you have privacy concerns).

After you’ve homed in on the item you want, you can get even more specific recommendations. The chatbot can also help you compare prices across retailers if it’s hooked up to live search engines. Just make sure the pricing is accurate. Licato recommends asking the chatbot to provide links directly to the site so you can double check.

Once you get the perfect gift, all that’s left is deciding whether to tell the recipient that ChatGPT came up with the idea.

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