Costco Reports AI Commerce Gaining Traction

Dow Jones
09/25
 

1847 ET - Costco's emerging channel of artificial-intelligence-fueled commerce is growing at a clip, CFO Gary Millerchip tells investors on a call. "While starting from a low base relative to other channels, AI continues to grow in its influence on how our members are searching for products," he says. "Traffic to our site from AI search grew triple digits for the second consecutive quarter, and continues to show the highest conversion rate of all site traffic." He adds that some of the top items that originate from AI searches are appliances, consumer electronics, and, notably, the Costco membership itself, "indicating that there is a strong positive sentiment around the value of our membership coming from these sources."

 

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