During an appearance on CNBC's 'Mad Money,' Shopify President Harley Finkelstein discussed how artificial intelligence is revolutionizing the way businesses operate, particularly for smaller brands.
He noted that traffic and orders from AI platforms like ChatGPT and Gemini to Shopify stores have tripled over the past year, allowing these smaller brands to connect with customers who might not have found them through traditional search methods.
Finkelstein highlighted that 75% of AI-driven purchases in the last quarter came from product categories outside the top 100, indicating that AI is leveling the playing field for independent merchants.
He also mentioned Shopify's AI assistant, Sidekick, which facilitated 34 million conversations in the second quarter, helping new entrepreneurs achieve their first five sales more quickly—a critical milestone for business success.
Following the announcement of stronger-than-expected quarterly results, Shopify's shares surged approximately 17%, with gross merchandise volume reaching nearly $116 billion and marking the fifth consecutive quarter of over 30% growth. Despite this positive momentum, the stock remains down 8% year-to-date