Algolia Collaborates with Microsoft to Improve AI-Driven Product Discovery

Algolia Collaborates with Microsoft to Improve AI-Driven Product Discovery

The collaboration between Algolia and Microsoft gives retailers fresher visibility, increased discoverability, and new influence across AI-powered shopping channels.

Algolia, the AI Search and Retrieval Platform, has announced a collaboration with Microsoft to provide retailers and brands with greater influence, accuracy, and visibility in AI-driven shopping experiences. 

The collaboration integrates Algolia’s real-time enriched product attributes (product data, inventory availability, and product pricing) into Microsoft Copilot, Microsoft Bing Shopping, and Microsoft Edge, helping retailers ensure their products appear correctly and competitively across emerging AI discovery surfaces.  

As nearly 60% of US consumers now use AI tools for shopping, retailers are confronting a new reality: first impressions increasingly occur “off-site.” Outdated product feeds and legacy crawling often result in stale or inconsistent data, undermining shopper trust and costing conversions. 

Piyush Patel, Chief Ecosystem Officer, Algolia, said, “AI has changed how consumers shop, and retailers want a voice in how their products appear in that new world. Together with Microsoft, we’re ensuring retailers don’t lose control of their story as shopping moves into agentic and conversational experiences on off-site/off-property sites.” 

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Empowering Retailers With Control, Coverage, and Discovery

Through the collaboration, Algolia customers gain greater influence over how their products are represented across Microsoft digital sites. Retailers benefit from enhanced brand control and stronger context awareness within Copilot, Bing Shopping, and Edge, backed by fresher, deeper, and more accurate product data.  

Early Algolia customer pilots—including Frasers Group, JTV, Little Sleepies, Shoe Carnival & Shoe Station, and others—demonstrate how brands can unlock additional discoverability when product attributes align with the types of natural-language queries AI agents receive. 

Jennifer Myers, Head of Strategic Partnerships for Microsoft Shopping, said, “Retailers shouldn’t be forced to adapt to opaque AI systems, instead they should help shape them. Algolia’s real-time data foundation helps us deliver trustworthy, high-quality shopping experiences across Copilot, Bing, and Edge.” 

Rather than simply integrating technologies, Algolia and Microsoft are working directly with retailers to define the next chapter of AI commerce.

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Why This Partnership Matters for Retail Media 

The Algolia–Microsoft collaboration marks a pivotal shift in the retail media landscape. AI-driven discovery becomes truly shoppable through real-time, retailer-approved data, giving merchants influence over external, “off-property” AI surfaces. Retailers can now extend their merchandising strategies into LLM environments that were previously inaccessible. 

Patel noted, “The integration also reduces the risk of out-of-stock or stale offers being surfaced to shoppers, strengthening trust in AI-powered experiences. In addition, these insights help shape merchandising strategies and strengthen retail media performance.” 

Algolia, with the help of Microsoft, is laying the foundation to address critical gaps in agentic commerce, more dynamic product storytelling, and deeper insights into how products perform across Microsoft experiences — opening long-term opportunities for richer reporting and retail media measurement. 

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