A Brand Agent is Microsoft's AI shopping agent for a merchant's own storefront, announced in January 2026 and installed through Microsoft Clarity — not a Shopify feature, and not limited to Shopify Plus.
- Commerce GEO (generative engine optimization) is the practice of making a catalog and content citable by AI assistants like ChatGPT, Claude, Gemini, and Perplexity, not just rankable in search.
- TACOS (total advertising cost of sale) measures ad spend against total revenue, not just ad-attributed revenue — the metric that matters once AI assistants influence purchases ads never touch.
- Defined-term content is disproportionately quoted by AI assistants because a crisp one-sentence definition is exactly the shape of text a model can lift and cite.
- Most agentic-commerce confusion comes from conflating adjacent terms — a Brand Agent is not a chatbot, TACOS is not ACOS, and structured data is not the same thing as a PIM.
Agentic commerce arrived fast and brought its own vocabulary with it. Merchants and agency teams now have to hold apart terms that sound similar but mean different things — a Brand Agent is not a chatbot, TACOS is not ACOS, and "structured data" means something specific, not just "organized information." This glossary defines the ~40 terms you'll actually run into, grouped by category, one sentence each. No essay between entries — the definitions do the work.
Platform & products
The named products and platform features you'll encounter across Shopify, Amazon, and the major AI assistants.
- Agentic commerce
- Commerce transactions initiated, researched, or completed with an AI agent acting on the shopper's behalf, rather than a human clicking through a storefront unassisted.
The longer explanation, with how an agent moves from discovery to checkout and which protocols sit underneath, is in what agentic commerce is, in plain English.
- Brand Agent
- Microsoft's AI shopping agent for a merchant's own storefront, announced in January 2026 and installed through Microsoft Clarity plus Microsoft's waitlist — not a Shopify feature, and not limited to Shopify Plus. Brand Agents was in beta as of Microsoft's July 2026 documentation, for Shopify and WooCommerce sites.
- Copilot Checkout
- Microsoft's checkout inside Microsoft Copilot, announced in January 2026 — a Microsoft product, not a Shopify one; for Shopify merchants it runs on Shopify's direct checkout, and the order books into the merchant's store like any other.
- Shopify Catalog
- Shopify's standardized, enriched dataset of eligible merchants' products, made available to AI channels; eligibility starts at the Starter plan.
- Universal Commerce Protocol (UCP)
- The open standard behind Shopify's Catalog, Cart and Checkout MCPs, which lets AI surfaces such as Microsoft Copilot complete purchases inside a conversation.
- Agentic storefronts
- Shopify's way of selling inside AI channels such as ChatGPT, Microsoft Copilot and Google AI Mode — active by default for eligible stores and managed under Sales channels → Agentic.
- Agentic plan
- A Shopify plan for businesses not using Shopify as their storefront, letting them sync products to Shopify Catalog and sell in AI channels; announced in Shopify's Spring '26 Edition (check Shopify for current availability and pricing).
- Alexa for Shopping (formerly Rufus)
- Amazon's built-in AI shopping assistant, renamed from Rufus on May 13, 2026, which answers product questions directly inside the Amazon app and site using Amazon's own catalog and review data.
- Off-site assistant
- An AI assistant that recommends or discusses products outside the merchant's own storefront — ChatGPT, Claude, Gemini, and Perplexity are the primary examples merchants optimize for.
- Google AI Overviews
- AI-generated summary panels shown above traditional results in Google Search, which can cite and link to product pages the way a human-written snippet used to.
- Shopify Plus
- Shopify's enterprise tier, with the fullest checkout extensibility, unlimited and company-specific B2B catalogs and multi-store tools — not a requirement for Brand Agents, Copilot Checkout, Shopify Catalog or agentic storefronts.
- Conversation design
- The deliberate scripting of how a Brand Agent greets, questions, and guides a shopper — tone, fallback behavior, and escalation paths, not just the product answers underneath.
- Merchandising agent
- An AI system that actively curates, bundles, or recommends products on a merchant's behalf, going beyond answering questions into making merchandising decisions.
- Agentic Commerce Setup
- GigaCommerce's flagship engagement: a fixed-scope implementation that gets a merchant's Brand Agent, catalog data, and checkout configuration live within two weeks.
Catalog & data
The product-data concepts that determine whether an agent can actually answer a shopper's question.
- Structured attribute
- A named, machine-readable field with a discrete value — material: leather, sleeve_length: short — as opposed to the same fact buried in a marketing sentence.
- Catalog enrichment
- The process of extracting facts trapped in product-description prose and turning them into structured fields an agent can query directly.
- PIM
- Product information management system — dedicated software for managing product data at scale, as distinct from using a platform's native fields for the same purpose.
- Shopify metafield
- A custom structured field on a Shopify product, collection, or variant — the mechanism most mid-market merchants use to add attributes without a separate PIM.
- Compatibility data
- Structured "works with" or "fits" relationships between products, which agents rely on heavily because shoppers frequently ask compatibility questions by exact model or part.
- Product taxonomy
- The hierarchical category structure a catalog is organized under, which agents use to scope what "kind" of product they're reasoning about before checking specific attributes.
- Attribute coverage
- The percentage of SKUs in a category that have a given structured field populated — the core metric for measuring how enriched a catalog actually is.
- Catalog debt
- The accumulated backlog of missing, inconsistent, or prose-trapped product data that silently degrades agent accuracy and AI search visibility over time.
- Variant data
- Structured attributes at the size, color, or configuration level rather than the parent product level — a common gap since many catalogs enrich the parent and leave variants blank.
- Backend attribute (Amazon)
- Amazon search terms and fields that aren't shown on the listing but still feed indexing and, increasingly, Alexa for Shopping's ability to answer questions about the product.
GEO & AI search
The discipline of getting cited and recommended by AI assistants, as distinct from ranking in traditional search.
- Commerce GEO
- Generative engine optimization applied to commerce — the practice of structuring a catalog and content so AI assistants like ChatGPT, Claude, Gemini, and Perplexity cite and recommend it.
- GEO vs SEO
- SEO optimizes for ranking in a list of links; GEO optimizes for being the fact or product an AI assistant quotes or recommends directly, often without a click-through at all.
- Citation
- An instance of an AI assistant referencing or recommending a specific merchant, product, or piece of content in its response to a user query.
- Citation rate
- The share of relevant queries in which a given assistant cites or recommends a merchant's products — the core benchmark metric for Commerce GEO work.
- llms.txt
- A proposed plain-text file at a site's root that summarizes what the site offers, aimed at giving AI crawlers a fast, structured entry point similar to robots.txt for search crawlers.
- AI crawler
- A bot operated by an AI company (OpenAI, Anthropic, Google, Perplexity, and others) that fetches web content specifically to train models or answer live user queries.
- Structured data (schema.org)
- Markup embedded in a page, such as Product or FAQPage schema, that tells both search engines and AI assistants exactly what a piece of content is, rather than making them infer it.
- Corroboration graph
- The network of independent mentions, reviews, and citations of a product across the web that AI assistants use as a trust signal before recommending it.
- Quotable content
- Content written in short, self-contained, fact-dense sentences specifically because that shape is what AI assistants can lift cleanly into a generated answer.
- AI Citation Check
- GigaCommerce's free tool that tests whether AI assistants currently cite or recommend a given merchant's products for its own core queries.
Amazon-specific
Terms specific to selling and measuring performance on Amazon now that shoppers ask Alexa for Shopping.
- TACOS
- Total advertising cost of sale — ad spend divided by total revenue (ad-attributed and organic combined) — the measurement Amazon sellers shift to once AI-influenced sales grow outside ad attribution.
- ACOS
- Advertising cost of sale — ad spend divided by ad-attributed revenue only — the older metric that understates efficiency once Alexa for Shopping and off-site assistants drive organic-looking sales.
- The Rufus test
- A practical check, named before Amazon renamed the assistant, where a seller asks Alexa for Shopping the exact questions a shopper would about their listing, to see whether the assistant can answer accurately from the current product data.
- A+ Content
- Amazon's enhanced brand content module on a listing, which increasingly needs to carry structured, factual detail because Alexa for Shopping draws on it when answering shopper questions.
- Browse tree
- Amazon's internal category hierarchy that a listing is filed under, which determines what filters and comparisons a listing is eligible to appear in.
- SPAG PPC structure
- Single-product ad group structure, in which each ad group advertises exactly one product — the standard architecture for keeping Amazon PPC data clean enough to act on.
Measurement & delivery
How agencies and merchants track whether agentic-commerce work is actually paying off.
- Agentic Commerce Readiness Score
- GigaCommerce's free 100-point, three-minute assessment that grades a merchant's catalog, structured data, and checkout readiness for Brand Agents and AI search.
- Readiness checklist
- The step-by-step audit a merchant or agency runs through — catalog, structured data, checkout, and content — before flipping on a Brand Agent in production.
- QBR (agentic engagement)
- A quarterly business review structured around agentic-commerce metrics specifically — citation rate, agent accuracy, TACOS — rather than generic traffic and conversion reporting.
- White-label delivery
- An arrangement where an agency sells agentic-commerce work under its own brand while a partner like GigaCommerce delivers the implementation behind the scenes.
- Rule of thumb
- How GigaCommerce labels a working heuristic from its own delivery work — a number we use to decide where to start, stated as such, never presented as a measured statistic.
| Term | Often confused with | The actual difference |
|---|---|---|
| Brand Agent | Generic storefront chatbot | A Microsoft AI agent on your own storefront that reasons over your catalog and policies — not a scripted FAQ bot. |
| TACOS | ACOS | TACOS divides by total revenue; ACOS divides by ad-attributed revenue only. They diverge as AI-influenced sales grow. |
| Commerce GEO | SEO | SEO optimizes for ranking in a link list; GEO optimizes for being cited or recommended directly inside an AI answer. |
| Structured attribute | Product description | An attribute is a discrete field a machine can query; a description is prose a machine can only guess at. |
| Catalog enrichment | SEO copywriting | Enrichment fills structured fields for machines; SEO copy persuades human readers and search rankings. |
How to use this glossary
Treat this as a working reference, not a one-time read. When a client or teammate uses a term loosely — "can we get a chatbot like Brand Agents" or "our ACOS looks great" — the precise definition is usually the fastest way to correct the assumption underneath it. Two examples worth internalizing:
- "What is a Brand Agent?" It is Microsoft's AI shopping agent for a merchant's own storefront, announced in January 2026 and installed through Microsoft Clarity — not a scripted chatbot, and not limited to Shopify Plus.
- "What is TACOS?" Total advertising cost of sale divides ad spend by total revenue, ad-attributed and organic combined — the metric Amazon sellers increasingly rely on because Alexa for Shopping and off-site assistants like ChatGPT drive sales that ad-attribution models never see.
Agentic commerce is a young field and vendors ship fast — Shopify's Spring '26 edition alone carried 150+ updates, and Microsoft had launched its own products months earlier. Treat any definition here as accurate as of publication and expect the vocabulary to keep expanding.
Where to go deeper
This glossary is deliberately flat — one sentence per term, no argument. For the fuller picture behind any category, start with the Shopify agentic commerce 2026 guide for platform terms, or what gets products recommended by AI for the GEO terms. If you want to know where your own catalog and setup stand against these terms in practice, the readiness checklist walks through it step by step.
If a term here describes a gap rather than a capability you already have — no compatibility data, no llms.txt, no measured citation rate — that gap is usually the highest-leverage place to start. Catalog enrichment and Commerce GEO are the two GigaCommerce services built specifically to close those gaps.
FAQ
What is a Brand Agent?
- A Brand Agent is Microsoft's AI shopping agent for a merchant's own storefront, announced in January 2026 alongside Copilot Checkout and installed through Microsoft Clarity on Shopify or WooCommerce. Neither is limited to Shopify Plus. A Brand Agent reads a merchant's catalog to answer shopper questions directly on-site, which is different from a generic third-party chatbot bolted onto a storefront.
What is Commerce GEO?
- Commerce GEO (generative engine optimization for commerce) is the practice of structuring a catalog and content so AI assistants — ChatGPT, Claude, Gemini, Perplexity, and Google AI Overviews — cite and recommend it. It differs from SEO in the outcome it targets: SEO optimizes for ranking in a list of links, while GEO optimizes for being the fact or product an assistant quotes directly inside a generated answer.
What is TACOS?
- TACOS (total advertising cost of sale) divides total ad spend by total revenue — ad-attributed and organic combined — rather than dividing by ad-attributed revenue alone, which is what the older ACOS metric does. TACOS matters more as AI assistants like Alexa for Shopping and off-site tools such as ChatGPT influence purchases that ad-attribution models never capture, making ACOS alone understate true efficiency.
What does a specific term in this glossary mean if it's not covered clearly enough?
- Each entry here is intentionally one sentence for quotability. If you need the fuller explanation behind a term, check the related deep-dive articles linked in this piece — for example the [Shopify agentic commerce 2026 guide](/insights/agentic-commerce/agentic-commerce-shopify-2026-guide) covers platform terms in depth, and [how Perplexity picks products](/insights/commerce-geo/how-perplexity-picks-products) covers GEO mechanics in depth.
How often will new terms get added to this glossary?
- Agentic commerce is moving fast enough that new named products and metrics appear with each platform release cycle. Expect this glossary to expand as Shopify, Amazon, and the major AI assistants ship new features — the definitions themselves are versioned to reflect what's live at time of publication.
Sources
- 1.Shopify B2B features by plan · Shopify Help CenterB2B on Basic, Grow, Advanced and Plus, not Starter or Retail; 3 active catalogs vs unlimited; Plus-only and Advanced-only features
Operators who set up agentic storefronts, Microsoft Brand Agents, Copilot Checkout, and AI-ready catalogs for mid-market merchants. We publish the frameworks we actually use with clients.
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