Short answer: Jordan Metzner says ChatGPT taking affiliate revenue cuts into Google's pie and could affect Amazon ads, Google Shopping and Shopify, while personalized shopping with direct checkout links replaces listicles like Wirecutter.
Watch this answer from Episode 4 (starts at 22:19) · Episode 4 notes and transcript
From Episode 4: Why Our Recruiters Stopped Reading Resumes And Let AI Take Over Everything, starting at 22:19.
Sam Nadler [22:19]: The next story I think we're gonna cover is the OpenAI to take a cut of shopping sales. From a personal point of view, again, I use ChatGPT to analyze different shopping trade offs. I just purchased on Prime Day a pool vacuum. It's the second pool vacuum I've purchased. The reason I want to use ChatGPT is the first pool vacuum I purchased died in one season, and I really want to avoid that. I also, am somewhat budget conscious. So, like, I didn't wanna spend an exorbitant amount on a pool vacuum. I want something within my budget that ideally would last multiple seasons. And at the end of the day, like, it highly informed my decision. I went with the decision, after, sorting through several options. What do you think of this news of taking a cut of shopping sales?
Jordan Metzner [23:18]: Well, yeah. I mean, this is just more of kind of taking over some of the Google pie. Right? You search on Google, like, you want something, you have Google Shopping, you have all those leads on top. Right? You've got, Amazon and top search results kind of trying to use SEO like we talked about, in a previous episode, to use SEO to try to drive traffic into the site. But what happens when the customer never goes to Google? Right? And the customer starts their search journey on top of ChatGPT. Well, ChatGPT you is gonna wanna take some of that affiliate, and that's looks like what they're gonna be doing. And, honestly, I mean, I think there's there's a huge impact. I mean, this could have a big impact on Amazon ads, on Google Shopping ads, and most likely also, probably have a pretty big impact on Shopify. Hard to say whether that could be positive or negative. But, if Shopify does a good job integrating it to ChatGPT, maybe it could be positive in driving additional traffic up to Shopify, or it could be negative in that, people don't need these Shopify websites in order to sell things on the Internet. They just need a landing page or something that, ChatGPT can check out of.
Jordan Metzner [24:27]: So, yeah. I think this is an another new paradigm of how people are purchasing products and how they're shopping online. And I think this is, again, just the beginning. There's there's been so much content historically created about, the best headphones for this year or the best umbrella, for this season or, the best backpack to wear in the rain or whatnot. Right? And there's, New York Times, who knows what they spent on Wirecutter to have all these, like, listicles. And, we remember BuzzFeed with all their listicles, etcetera. But what happens when, these LLMs are able to actually give you true analysis based on, the top 10, what's import most important to you, not what's most important to everybody in general? Because, some things may not even be relevant to you based on where you live or how you like to act or what your interests are. And so, yeah, personalized shopping with direct links for checkout sound like a huge opportunity and a step forward.
Jordan Metzner [25:24]: But, yeah, maybe we're even gonna see, ChatGPT with, full checkout buttons, and you they got your credit card stored and, just press the buy button. Even easier, you see the whole checkout happen all the way through ChatGPT. So, yeah, and, if ChatGPT is the player who's who's driving those purchases, obviously, that that becomes a huge economic fountain for them. So, yeah, let's let's just do, one more real quick because I think it's a little interesting as well and just talk about Elon. I mean, it seems like he's in the news every week. So, yeah, you wanna kick this one off a little bit?
