E-commerce platform Shopify posted second-quarter results that beat market expectations, helped by an increase in traffic from AI search. TechCrunch reported on Aug. 5 that Shopify said AI search did not replace traditional search but complemented it, contributing to higher traffic inflows and more orders for merchants.

Shopify President Harley Finkelstein (할리 핀켈스타인) defined AI on an earnings conference call as a complement to search, not a substitute. He said the effect was particularly pronounced among small sellers, who account for most Shopify customers, and in long-tail e-commerce.

Shopify said AI-based referrals and orders in the second quarter tripled from a year earlier. Traditional search did not decline. Traditional search sessions increased 1.3 times over the past two years and accounted for about one-third of total storefront sessions.

Shopify second-quarter revenue rose 36 percent from a year earlier to $3.6 billion, beating Wall Street expectations of $3.4 billion. Gross operating profit increased 31 percent to $1.71 billion, topping an estimated $1.63 billion. Shopify said it assessed that AI search contributed in part to the strong results.

Shopify cited product matching aligned with purchase intent as a strength of AI search. While existing search engines show results centered on a small number of keywords and popularity rankings, it said AI agents call the Shopify catalog multiple times to find products that meet conditions based on more structured data.

Shopify said its payment experience could also benefit as AI takes on a bigger role in transaction processes.