Debenhams Group has partnered with PayPal on an AI-driven shopping experience.

The tie-up makes Debenhams the first UK retailer to enable customers to discover, receive personalised recommendations and checkout entirely within the PayPal app.

PayPal is currently testing its AI assistant with select US customers, according to Debenhams. A broader US and UK launch is planned for later this year. 

Through the partnership, shoppers can use an AI assistant within PayPal to ask for product suggestions, explore relevant items and browse selections from brands including Karen Millen, Boohoo and BoohooMan. 

Customers can then complete their purchases directly within the app’s chat experience, with PayPal automatically using saved account details for home delivery.

The agentic AI assistant understands the shoppers’ profiles, asks follow-up questions and acts on their behalf, guiding them to relevant product pages and tailoring recommendations to suit their taste and budget.

With 16% of Debenhams Group’s sales already processed through PayPal, the business claimed that the partnership had the potential to expand the retailer’s customer reach.

Co-developed by PayPal and Debenhams, the initiative is currently available to US shoppers, where it has also been integrated with AI tools such as Perplexity and Microsoft Copilot. 

The experience is set to roll out across additional Debenhams Group brands over time.

Debenhams Group CEO Dan Finley said: “At Debenhams Group, our goal is to help customers discover and be inspired by new products and brands, while making shopping as easy and enjoyable as possible. 

“This kind of innovation has the potential to fundamentally transform online retail; in a way we haven’t seen since the shift to mobile shopping.”

He added: “We’re proud to be the first UK retailer to partner with PayPal on this experience, bringing a faster, more intuitive way to shop to customers across our brands.”

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