Kohl's Deployed AI Shopping Assistant to Boost Conversion

The retailer launched a new tool on its website to help shoppers find deals and navigate fulfillment options.

Updated on Oct. 14, 2026 in Retail

Kohl's Deployed AI Shopping Assistant to Boost Conversion

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Do you trust AI shopping assistants to find you the best deals available?

Kohl's deployed an AI-powered shopping assistant on its website and mobile app in July 2026 to help drive conversion rates. The retailer is now testing the tool during the holiday quarter to see if it can effectively convert gift shoppers at scale.

Why it matters

The tool was implemented to solve a persistent business challenge where high website traffic failed to translate into completed transactions. By offering real-time assistance with product comparisons, discounts, and pickup instructions, the company aims to improve its digital sales performance.

Digital sales grew 2.8% in the second quarter of 2026, accounting for 27% of total net sales compared to 26% in the prior year. Nationally, 132 million people have used AI to make a retail purchase, and 46% of consumers now use such tools specifically for price discovery.

The players

Kohl's

A department store chain operating nationwide with a focus on apparel, home, and beauty products.

Google

A global technology company that provides the underlying platform infrastructure for retail AI applications.

The details

The AI assistant, built on a Google platform, allows users to search by image, compare product features, and request information on store pickup procedures. It also assists with applying discount codes, a feature intended to reduce cart abandonment. The tool builds on the company's prior testing of AI, which included the launch of the Storybook Magic tool in 2023.

December 2023: Kohl's launched its initial Storybook Magic AI tool.
March 2026: The CFO reported that digital sales remained flat throughout the previous year.
July 2026: The company expanded its new AI shopping assistant tool.
August 26, 2026: The CEO provided an update on conversion metrics related to the tool.

Market Landscape

Kohl's is shifting its digital strategy to align with the 22% of shoppers who now initiate product research within AI tools. This deployment follows a trend where retailers increasingly integrate conversational AI to address the gap between discovery and transaction.

Operators should monitor whether AI-driven conversion improvements lead to higher average transaction values or if they simply reduce customer support overhead. Assessing the impact of these tools on your own digital conversion metrics is essential as customer expectations for automated shopping support continue to rise.

The takeaway

AI tools now serve as a functional layer in the path-to-purchase rather than just a marketing gimmick. Track your own site's conversion rate specifically for customers engaging with your automated digital assistants to gauge their return on investment.