Shipt, Target’s delivery service, has launched “Ask Shipt,” an artificial intelligence-based shopping assistant, intensifying the race to deliver better digital grocery services.
This AI tool is now offered on both Shipt’s app and website, as of last Wednesday. Users can either provide a description or upload an image of the food items they wish to emulate, allowing the assistant to create a customized shopping list. Customers can edit or share their lists before adding selections to their cart and checking out. Shipt’s announcement coincided with a comparable initiative announced the same day by its competitor Instacart, as both companies bring forward their own AI-powered grocery solutions.
AI-Driven Shopping Assistants: Competition Intensifies between Shipt and Instacart
The introduction of “Ask Shipt” reflects a parallel strategy to Instacart’s unveiling of its AI assistant, Clementine, which was also announced on the same day. Instacart is further expanding its technology by introducing a white-label AI shopping assistant solution for other retailers.
Katie Stratton, who serves as Shipt’s chief growth and strategy officer, stated that the AI aims to help shoppers who struggle with starting or managing their lists. She noted, “Many times you don’t even know what you’re looking for yet… you just want to describe what that is.” Shipt has also recently added integrations with ChatGPT and Claude to further optimize AI-supported cart assembly.
Stratton interpreted Instacart’s contemporaneous rollout as evidence of a common customer pain point. “When I see competitors launching similar things, it’s validation that this is delivering on a real need,” she said.
Curation, Customization, and Retail Media
Beyond simplifying list creation, Ask Shipt also introduces “Shipt Kits”—curated product bundles for occasions such as school lunches or football parties, and for various dietary needs. Shoppers have the option to personalize these selections, for example by choosing only gluten-free products within the AI interface.
The AI assistant is connected with Shipt Media, Shipt’s retail media platform, enabling brands to compete for placement within the recommended lists. This functionality introduces new promotional opportunities; Stratton emphasized, however, that customers ultimately control their purchases: “I remain in control as the human who’s placing the order.”
Shipt sets itself apart with a smaller, more focused marketplace. At the end of last year, Instacart counted around 600,000 shoppers, compared to Shipt’s workforce of approximately 300,000. While Instacart aligns with more than 2,200 retail banners, Shipt partners with about 120 retailers. A unique Shipt advantage is its feature allowing customers to choose a “preferred shopper” for their orders.
Target, Shipt’s parent, has been ramping up its use of AI in various areas. Recent deployments include tools like AI-powered photo search and review summaries, and in August, Chandhu Nair was announced as Target’s first Chief AI Officer. Although Target has not yet debuted a stand-alone AI chatbot for customers (outside of partnerships with Google, Microsoft, and OpenAI as described in this collaborations link), CEO Michael Fiddelke noted in August that Target’s digital traffic from external AI sources was increasing at a rate over 3.5 times the industry average compared to the previous year.
Industry Numbers and Emerging Trends
Recent data shows strong momentum in retail and delivery sectors. For example, Kroger achieved 20% e-commerce sales growth in its most recent quarter, mainly due to higher demand for delivery. Deloitte has forecasted the total holiday retail market will reach $1.7 trillion this year, anticipating a 4-5% increase over last year. In parallel, Costco announced the opening of 14 new locations within the next two months.
Conclusion
The simultaneous launch of AI assistants by Shipt and Instacart signals an industry pivot toward hyper-personalization and simplified shopping experiences. As major players like Target and Instacart increase their AI investments, the competitive environment is poised to become even more dynamic, with personalized conveniences and platform quality setting the leaders apart.
