Meta Tests AI Shopping Chatbot; Reach Sees 50% Drop in Google Referrals
Meta is testing an AI shopping feature in its chatbot that delivers scrollable product images, brand names, pricing and purchase links with recommendation rationale, challenging Google’s Gemini. Reach reported Google referrals fell nearly 50%, reducing Search-driven page views by 8% in H2 and pressuring ad-driven revenue.
1. Meta Launches AI Shopping Test
Meta Platforms has begun testing an AI-driven shopping feature in its chatbot for select U.S. users, enabling requests via natural language. The chatbot returns a scrollable set of product images, brand names, prices, purchase links and explanatory notes, signalling a push to rival alternatives like Google’s Gemini.
2. Reach Reports Sharp Google Referral Decline
Reach highlighted a nearly 50% drop in Google referrals during H2, with Search-driven on-platform page views falling 8% year-over-year. This decline in referral traffic adversely affected the volume-driven programmatic advertising business and underscores potential pressure on advertising dollars flowing through Google’s network.