According to new research from website solutions firm Firney, UK retailers working with conversational AI search are seeing conversion rates up to three times higher when compared to traditional keyword-based search.

The study, titled The £4 Trillion Conversation, has highlighted that users using AI-powered search convert at rates between 200 per cent to 300 per cent higher than those browsing using standard filters and category pages.

It found that consumers who use site search spend 2.6 times more than “passive browsers”, while conversational consultation can reduce return rates up to 78 per cent as shoppers are directed to the correct product the first time.

The findings come as UK retailers are battling with rising acquisition costs, weaker spending and sustained pressure on margins.

It suggests that UX improvements are no longer adequate to “unlock growth” as cart abandonment on mobile reaches 79 per cent.

Marc Firth, CEO and co-founder of Firney, said: “Shoppers don’t think in keywords. They think in needs and outcomes. Conversational AI allows retailers to interpret that intent directly, rather than forcing customers to guess the right search term.”

“In a margin-constrained market, even small improvements in conversion and returns have a significant commercial impact.”

The report also highlights behavioural shifts among younger UK shoppers. Among Gen Z consumers, 43 per cent begin product searches on TikTok rather than Google, 62 per cent prefer visual search to text, and 70 per cent already use AI tools during the shopping journey.

However, the study pointed out that while 65 per cent of consumers are comfortable using AI for tasks such as price comparison, only 14 per cent trust fully autonomous purchasing without human oversight.

“Retailers can no longer rely on traffic growth alone,” added Firth.

“Understanding customer intent in real time and reducing friction through conversation is becoming a competitive advantage.”

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