The web is unhealthy, and AI agents are about to rewrite how we shop.

In this episode, a16z General Partner Alex Rampell and Partner Justine Moore explore how AI agents will change commerce and the implications for Google’s business model, affiliate marketing, online shopping, and more.

Timecodes:
0:00 Introduction
0:36 Affiliate Marketing and the Evolution of Online Purchases
1:59 Impulse Buys vs. Considered Purchases
2:51 Observing Consumer Behavior and Viral Trends
6:09 Dynamic Pricing and Consumer Surplus
7:14 E-commerce vs. In-Person Shopping
10:20 The Challenge of Attribution in Online Sales
12:28 Aggregators, Brands, and the Commodity Trap
15:36 Trends, Trust, and the Power of Aggregators
17:46 Google’s Freemium Model and the Future of Search
21:17 The Problem of Hallucination in AI Product Recommendations
22:52 The Commercialization and Pollution of the Internet
29:30 The Costco Model: Trust and Value
33:20 The Spectrum of Purchases and AI’s Role
37:57 UPCs, SKUs, and Automation in Commerce
39:52 Opportunities for New Winners in AI-Driven Commerce

Resources:
Read the article: http://a16z.com/ai-x-commerce/
Find Alex on X: https://x.com/arampell
Find Justine on X: https://x.com/venturetwins

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Please note that the content here is for informational purposes only; should NOT be taken as legal, business, tax, or investment advice or be used to evaluate any investment or security; and is not directed at any investors or potential investors in any a16z fund. a16z and its affiliates may maintain investments in the companies discussed. For more details please see a16z.com/disclosures.