Etsy launches conversational search app for ChatGPT

Etsy is pushing deeper into AI-powered shopping with a new ChatGPT app that lets users search and compare products through conversation. The marketplace announced the beta launch as part of its broader strategy to help sellers reach customers on emerging platforms where shopping journeys increasingly begin.

The new app works through simple prompts. Users can tag @Etsy and type requests like “Help me find a Mother’s Day gift under $100 for my mom who loves gardening.” The system then pulls relevant listings from Etsy’s inventory that shoppers can browse, compare, or click through to the main platform for more details and purchases.

This move reflects a major shift happening across e-commerce as AI platforms change how people search and shop online. Traditional keyword-based search is giving way to conversational interfaces that can understand context and nuance. For Etsy, which hosts millions of unique handmade and vintage items that don’t fit standard product catalogs, this change plays to its strengths.

The company has been testing AI shopping integrations for months. In September, Etsy became the first partner for ChatGPT’s Instant Checkout feature. That experience taught the company that ChatGPT works well as a discovery channel, with many shoppers choosing to visit Etsy’s main site to learn more before making purchases.

Chief Product and Technology Officer Rafe Colburn says the conversational approach helps shoppers express complex needs. Finding “a meaningful gift for Mother’s Day” or “an end table that fits perfectly in their living room” often requires more nuance than simple keyword searches can handle. Large language models excel at connecting how sellers describe their items with what buyers actually want to find.

The ChatGPT integration also gives Etsy earlier insight into shopping journeys. The company can see when and how shoppers use conversational search, helping it understand emerging patterns in buyer behavior. This data feeds back into product development on Etsy’s own platform.

Etsy is also testing conversational search directly on its website. The company is running a beta experience designed to help shoppers find gifts through natural language queries. While still early, the tests are generating real usage data that informs the broader conversational search strategy.

The timing matters for Etsy’s competitive position. As AI chatbots become common shopping tools, marketplaces need to ensure their sellers appear in these new channels. Major retailers and platforms are all experimenting with conversational commerce. Companies that establish early positions in AI shopping interfaces may gain advantages as these tools mature.

For Etsy’s 5.4 million sellers, the ChatGPT app represents another potential discovery channel. The platform’s focus on unique, handmade items could work well in conversational search, where shoppers often seek something special rather than commodity products. The challenge will be ensuring the AI systems properly understand and surface the creative items that make Etsy distinctive.

The company plans to iterate quickly based on user feedback and usage patterns. Etsy’s approach emphasizes testing and learning rather than waiting for perfect solutions. As Colburn puts it, “We won’t figure it out by sitting on the sidelines.”