Victoria's Secret launches AI effort with Google for online shopping chatbot to offer quick, customized help

By Steve Gelsi

'Tailored product recommendations and helpful advice' will be offered to shoppers

Victoria's Secret & Co. said Thursday it's teaming up with Alphabet's Google Cloud Vertex AI unit to offer an online chatbot to provide personalized advice to shoppers.

Financial terms of the multi-year deal were not disclosed.

Victoria's Secret (VSCO) said the "conversational chatbot" will provide customers with "tailored product recommendations and helpful advice" based on the personal preferences and life experiences of shoppers.

The chatbot will talk to consumers and offer them choices "whether a customer is a sports enthusiast, a nursing mother, a breast cancer survivor recovering from a mastectomy, or simply ready for a new bra."

Victoria's Secret's stock rose by 0.8% in premarket trading. Alphabet's stock (GOOGL) (GOOG) was up by 0.4%.

Victoria's Secret said it'll tap Google Cloud's AI and generative-AI technologies both for customers and to "drive operational efficiencies within the business."

The retailer said the technology will help it leverage the more than 500 million annual visits to its websites.

Victoria's Secret said it's already using Google's Vertex AI and Duet AI for its Adore Me direct-to-consumer lingerie company.

"Victoria's Secret & Co. is actively exploring strategic ways to integrate Google Cloud's cutting-edge AI technologies to elevate its internal operations," the company said. "The brand's vision includes leveraging these technologies in marketing, analyzing customer sentiment and more."

Google's AI capabilities could also be used to optimize its supply chain and for human resources.

-Steve Gelsi

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01-11-24 0830ET

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