The way consumers shop is changing faster than most brands are prepared to handle. AI-driven ecommerce traffic surged 693% during the 2025 holiday season compared to the year prior. The buyer journey has shifted and the sales funnel is collapsing. Brands that are starting a conversation after first-click, are giving users vital product information on the items they want.
This is where Brand Agents shine: as AI-assisted navigation tools for your website that provide tangible value for both merchant and the user. This isn’t a future capability either. It’s something we’ve gotten our hands on, tested ourselves, and are actively helping businesses activate.
Brand Agents Explained
Akin to your best sales associate, Brand Agents know your product catalog inside and out. They ask the right questions, anticipate objections, and guide a shopper from “I’m looking for a gift for my mom” to a confident purchase without the experience feeling transactional.
That’s what Microsoft Brand Agents bring to your website.
These AI-powered shopping assistants are custom-trained on a brand’s full product catalog, brand voice, and unique selling points. They live natively within site search functionality and give users personalized product recommendations that support upsell and cross-sell opportunities, answer questions on shipping and returns, and surface timely checkout links when a shopper is ready to buy.
Unlike static chatbots, Brand Agents learn on the job by identifying patterns, improving recommendations, and delivering personalized guidance that compounds over time.
The Numbers Are Hard to Ignore
As an agency, we were compelled by the performance data the opportunity proposed for our clients. Across Microsoft’s Brand Agent rollout, the average conversion rate lift is roughly 2x, which is exactly the kind of structural advantage we advocate for our clients to improve their respective shopping experiences. Moreover, since Brand Agents continually improve, businesses that act early realize a compounding performance edge against the competition.
What Makes This Different From Other AI Tools
To be clear, Brand Agents are not an ad product, new campaign type, or media buying tool. They sit on a spectrum of AI agents — ranging from the personal assistants consumers use daily (ChatGPT, Copilot, Gemini) to enterprise productivity tools. Brand Agents are squarely in the middle: your brand’s agent, built to represent your voice, serve your customers, and drive conversion on your own site.
They’re also built for real-world applications, so brands don’t have to flip a switch and go all-in. Traffic allocation is adjustable — you can start with 10% of site visitors and scale from there. For brands that want a clean lift test, running the agent on half of site traffic makes the performance comparison easy to distinguish. The Clarity dashboard makes this data available in real time.
Currently, Microsoft Brand Agents run exclusively on Shopify storefronts, so it’s not available to all e-commerce platforms. That’s worth noting for now, and something we expect willto change in the near-to-mid future.
How Measurement Works
Brand Agents are set up and measured through Microsoft’s free behavior analytics platform, Clarity. The dashboard surfaces session data, unique engaged users, and conversion-funnel performance, all tied directly to Brand Agent interactions.
The reporting makes the impact clear: your conversion rate when the Brand Agent is involved and the incremental revenue generated. Simple and efficient.
Beyond reporting, Microsoft is building AI discoverability metrics in Clarity, including share-of-authority and citation tracking, to help brands understand visibility in AI-assisted search and discovery. For brands clawing at GEO and AI discoverability, Clarity provides a meaningful first step, regardless of Brand Agent activation status.
The Real Value to Brands
LP’s job is to make retailer’s ad spend work harder and go farther. Brand Agents do that, and more.
When activated, current-site traffic achieves higher ROAS across all paid channels — without increasing spend. It also provides richer data feedback: the insights from shopper conversations inform better merchandising decisions, sharper audience targeting, and smarter campaign strategy.
Beyond performance, this is an answer to a common question: How do I actually do something with AI? Brand Agents are measurable and ready to activate — not a pilot program or strategic aspiration.
For brands on Shopify looking to implement an AI-based strategy, this solution should provide more clarity on that question.
Getting Started
If you’re a Shopify merchant and you made it this far, then Brand Agents are most likely worth exploring as part of your digital strategy. Despite a current waitlist, LP’s Microsoft partnership means we can help expedite that process.
Logical Position is a Microsoft Advertising Premier Partner. For more information on Brand Agents or to explore activation for your business, contact LP to learn more.
