Bunnings Launches AI-Powered Shopping Assistant
Hardware giant Bunnings is set to become the first major retailer in Australia to introduce an agentic shopping assistant for customers. This new feature, named ‘Buddy’, will be launched this week and is expected to mark a “new generation of AI-powered shopping”.
Buddy is designed to act as a “helpful team member online”, guiding customers through various projects, answering complex questions, and assisting them in finding the items they need. Customers can type or take a photo of a handwritten list, and Buddy will quickly find the items and add them to their cart.
Bunnings has confirmed that while Buddy can add items to the cart, customers will still need to approve or remove any items they don’t want. This ensures that the customer maintains control over their shopping experience.
Embracing AI for Enhanced Customer Experience
Bunnings managing director Mike Schneider emphasized that the move supports evolving customer behaviors and team dynamics. He stated, “Our customers come to Bunnings with projects big and small, and Buddy is designed to help make those projects easier to plan and get started.”
This initiative is about embracing and using AI in a practical and responsible way to complement the advice and service provided by Bunnings’ team every day. It also aims to give customers more options that suit how they want to interact with the company.
Strategic Partnerships for AI Integration
Parent company Wesfarmers, which also owns iconic brands like Kmart and Priceline, announced multi-year partnerships with Microsoft and Google in February. These partnerships aim to embed AI services across its businesses.
Bunnings will be the first Australian retailer to launch a shopping agent using Google Cloud’s Gemini Enterprise for Customer Experience technology, and one of the first retailers globally. Paul Migliorini, Google Cloud Australia and New Zealand Vice President, highlighted the power of AI when it solves everyday problems.
“We’re combining the best of our AI and infrastructure with Bunnings’ deep product expertise to create a true expert helper that meets customers right where they are — whether they type or share an image—making it easier to get started on projects,” he said.
Familiar Experience with AI Assistance
Bunnings has assured customers that while it marks a new generation of shopping, the experience will feel familiar. Buddy draws on the retailer’s existing content library and the expertise of team members. The tool will roll out on the Bunnings website this week, replacing the current Ask Bunnings AI tool with broader access over the coming weeks.
Other Retailers Explore AI Solutions
Some of Australia’s biggest companies have announced plans to introduce agentic shopping assistants, but Bunnings will be the first to do so at scale for customers.
Woolworths announced a partnership with Google to incorporate agentic AI into its ‘Olive’ chatbot, which is due to start in Australia later this year. Currently, the AI chatbot mostly answers questions, resolves problems, or directs shoppers to get more information. Soon, it will be able to plan meals, interpret handwritten recipes, apply loyalty discounts, and put suggested items into online shopping baskets.
Coles announced a deal with OpenAI, owner of ChatGPT, last year with a plan to roll out AI tools across its internal corporate workforce early this year. It also flagged plans to see how the AI could reshape shopping experiences.
Woolies’ AI chatbot Olive sparked controversy recently after it went rogue and started talking to some customers about its “mother” when they were trying to arrange for a delivery. Bunnings’ AI chatbot, Ask Bunnings AI, also came under fire last year after it gave a customer illegal electrical advice on how to rewire an extension cord.
Growing Trend in AI Adoption
It comes as payment giants Visa and Mastercard roll out agentic payments technology, Agent Pay and Intelligent Commerce. Mastercard completed Australia’s first authenticated agentic transactions earlier this year.
Research from PayPal last year found 78 per cent of people expected AI assistants would become a mainstream part of online shopping. Unlike generative AI, which responds to prompts or commands, agentic AI acts as an autonomous agent and can accomplish specific goals.
