Shopify Expands Ad Network to ChatGPT, Running Ads on Behalf of Merchants

Shopify Runs Merchant Ads on ChatGPT

Shopify rolls out 'agentic storefront' tool, new advertising tools

Shopify has introduced 150 updates, headlined by two major tools aimed at expanding reach and boosting conversions: an 'agentic storefront' that lets consumers buy products directly through AI platforms like ChatGPT and a new Shopify Product Network.

According to eMarketer, Shopify has added ChatGPT as a new ad placement within its Shop Campaigns ad network. Until now, Shopify has been offering a service that purchases ad space on social media platforms like Instagram and Facebook on behalf of merchants to promote their products. With ChatGPT now added as a distribution channel, product promotion through AI chat as a new purchasing channel becomes possible.

This move occurs within a series of developments: the partnership between Shopify and OpenAI announced in September 2025, the launch of the Agentic Storefronts feature in December 2025, and the start of the ChatGPT advertising pilot program on February 9, 2026.

Industry Trends

Behind Shopify's ad network expansion is the reality that AI chat is rapidly emerging as a new sales channel for EC. As of early 2026, ChatGPT has surpassed 300 million weekly active users, growing in presence as a product discovery venue replacing traditional search.

Shopify President Harley Finkelstein revealed in the November 2025 earnings call that AI-driven store visits increased 7-fold and orders from AI search surged 11-fold year-over-year. The era where AI chat directly connects "conversations" to "purchases" is arriving.

Meanwhile, OpenAI is also diversifying its revenue streams. It launched the ChatGPT advertising pilot on February 9, 2026, currently deploying two ad formats: "shopping product carousels" and "conversational banners." Through partnerships with Shopify and Etsy, users can discover products on ChatGPT and complete purchases without leaving the chat.

Evolution of Shop Campaigns and Expansion to ChatGPT

Shopify's "Shop Campaigns" is an advertising program that started approximately three years ago. It eliminates the need for merchants to manage their own ads by having Shopify place ads on various platforms on their behalf. In December 2025, according to Adweek, it evolved into a "Product Network" that can display products on other merchants' storefronts as well.

The expansion to ChatGPT is a natural extension of this trajectory. By distributing ads to AI chat as a new surface in addition to traditional social media ads, it creates opportunities for merchants' products to reach more users.

The ad format on ChatGPT differs from traditional banner ads. When users ask product-related questions, product cards appear below the AI's response with a "Sponsored" label. Brand logos, product names, prices, and stock availability are displayed at a glance, and purchases can be completed directly through Shopify's checkout.

Furthermore, by combining with Shopify's Agentic Storefronts feature, merchants can distribute product information across multiple AI platforms including not just ChatGPT but also Google AI Mode, Gemini, Microsoft Copilot, and Perplexity. Since each AI channel can be toggled on or off from the Shopify admin panel, operational overhead remains low.

Impact on EC Merchants and How to Leverage

The impact this development brings to EC merchants is significant and can be organized from several perspectives.

Understanding the cost aspect is important. Sales through ChatGPT's Instant Checkout incur a 4% fee to OpenAI. Since this is added on top of Shopify's standard fees, it's necessary to calculate the impact on profit margins in advance. Note that sales through Google AI Mode or Microsoft Copilot currently have no additional fees.

Product data quality becomes more important than ever. In AI chat, incomplete or inconsistent data risks products not being displayed properly. Shopify Catalog uses a dedicated LLM to automatically categorize and structure product data, but the accuracy of the source data determines its precision. Product descriptions, images, variations, and inventory information must be kept current at all times.

Brand control is maintained. Under Shopify's framework, merchants remain the Merchant of Record, and customer relationships are preserved. Through the Knowledge Base App, FAQs and brand voice can be configured, enabling AI agents to accurately answer questions about the brand.

As for how to participate, Shopify merchants can simply set up Agentic Storefronts from their admin panel to distribute products to AI channels including ChatGPT. Ad placement through Shop Campaigns can also be managed from the Shopify admin panel. Merchants using platforms other than Shopify can register products in Shopify Catalog through the newly offered Agentic plan and participate in AI channel sales.

Summary

Shopify's ad network expansion to ChatGPT is a decisive move confirming that "AI chat is becoming one of EC's major sales channels." With Shopify-OpenAI collaboration plus advancing integration with Google and Microsoft, product sales on AI platforms will rapidly expand going forward.

What EC merchants should focus on now are three areas: structuring and improving product data quality, optimizing brand representation on AI channels, and revenue simulation including ChatGPT checkout fees. In the dawn of AI shopping, now is the time to begin preparations for establishing first-mover advantage.