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PPC News & UpdatesJanuary 23, 2026

Merchant Center Launches Business Agent & New Promos

Google is rolling out Business Agent — a branded AI assistant for your products — plus expanded promotion support. Here's what e-commerce advertisers need to know.

PPC Chief

Expert PPC Management

Google Merchant Center Business Agent and shopping promotions

A Strategic Shift in Google Shopping

If you manage Merchant Center feeds, Shopping promotions, or you're thinking about AI-driven commerce, this is something you need on your radar. Google is rolling out two major updates that change how your Merchant Center setup impacts what shoppers see.

Business Agent is a virtual sales associate that can answer product questions in your brand's voice, connecting you with consumers during critical shopping moments.

These changes go beyond traditional product listings. Google is surfacing AI-powered interactions and richer promotional data directly from your Merchant Center. Your feed attributes and organisation-level markup now affect how offers and conversational touchpoints appear to shoppers — before they even reach your website.

What's New: Business Agent

Business Agent launched on January 12, 2026, for eligible US retailers. It's a branded AI assistant that appears in Google Search and can answer customer questions using your product and website data.

Think of it as a virtual sales associate that speaks in your brand's voice. When shoppers search for products, they can interact with your Business Agent to get answers, compare options, and even complete purchases — all without leaving Google.

Early Adopters Already Live

Major retailers including Lowe's, Michael's, Poshmark, and Reebok are already using Business Agent. These brands can now engage customers during critical decision-making moments through AI-powered conversations.

Coming Soon: More Capabilities

Over the coming months, Google will expand Business Agent features:

  • Custom training: Train the agent based on your specific data and brand guidelines
  • Customer insights: Access new data about what shoppers are asking
  • Related offers: Suggest complementary products during conversations
  • Agentic checkout: Enable direct purchases within the AI experience

Business Agent Eligibility Requirements

Not every merchant can access Business Agent yet. Google has set specific thresholds:

  • Verified US Merchant Center account: Your account must be verified and in good standing
  • Claimed brand profile: You need an active, claimed brand profile in Merchant Center
  • 50+ approved offers: Your product feed must have at least 50 approved items

These criteria gate access to customisation and AI interaction features. If you don't meet them yet, focus on building your catalogue and completing verification.

What's New: Subscription and Intro Promotions

Google has updated Shopping promotion rules to support new promotion types. Starting January 2026, you can now run:

  • Subscription promotions: Discounts on recurring subscription fees
  • Introductory offers: Discounted first months or free trial periods
  • Subscribe-and-save deals: Special pricing for customers who commit to recurring orders

To get these approved, you must use the new "Subscribe and save" eligibility attribute or equivalent promotion feed attributes. Without the correct attributes, your promotions will be disapproved.

Direct Offers: A New Ad Pilot

Google also announced Direct Offers, a pilot feature in AI Mode. It lets advertisers offer exclusive discounts to people searching for products. You set up offers in your campaign settings, and Google decides when to display them based on context.

Early partners include Petco, e.l.f. Cosmetics, Samsonite, Rugs USA, and Shopify merchants. If this pilot expands, expect more advertisers to get access throughout 2026.

New Data Attributes for AI Discovery

Google is introducing dozens of new data attributes in Merchant Center designed for conversational commerce. These go beyond traditional keywords to include:

  • Answers to common product questions
  • Compatible accessories and add-ons
  • Product substitutes and alternatives
  • Loyalty programme details
  • Return and warranty policies

These attributes help AI features like Business Agent, AI Mode, and Gemini provide accurate, helpful responses. The more complete your data, the better your products will perform in conversational search.

The Bigger Picture: Universal Commerce Protocol

These updates are part of Google's larger push toward "agentic commerce." Google is launching the Universal Commerce Protocol (UCP) — an open standard for AI-powered shopping that works across the entire journey from discovery to post-purchase support.

Major players helped develop UCP, including Walmart, Wayfair, Shopify, Etsy, and Target. Payment providers like Visa, Mastercard, Stripe, American Express, and Adyen have endorsed the standard. This is a fundamental shift in how online commerce will work.

Once-simple catalogue quality now impacts how shoppers interact with your brand before they even hit your site.

Why This Matters for Your Business

These changes represent a shift toward AI-enhanced commerce experiences. Your Merchant Center setup isn't just about product listings anymore. It's about:

  • Conversational touchpoints: AI assistants answering customer questions using your data
  • Richer promotional visibility: Subscription and intro offers appearing in new placements
  • Brand representation: How your brand "speaks" through AI interactions
  • Purchase completion: Customers buying through AI without visiting your site

Feed quality has always mattered for Shopping performance. Now it affects how AI systems represent your brand to potential customers. Poor data means poor AI responses — and lost sales.

Immediate Action Items

1. Check Business Agent Eligibility

Confirm your Merchant Center meets the thresholds: verified account, claimed brand profile, and 50+ approved offers. If you're close, prioritise getting there.

2. Update Your Promotions Feed

If you offer subscriptions or introductory deals, update your feed or API to include the new promotion attributes. Test these in a staging environment before going live.

3. Review Your Product Schema

Check your product and organisational schema for completeness. Look at loyalty programmes, return policies, compatibility info, and common Q&A. AI features will draw from this data.

4. Monitor Merchant Diagnostics

Watch closely for promotion disapprovals or feed errors tied to new attributes. The diagnostics tab will flag issues before they hurt your visibility.

5. Prepare for Agentic Commerce

Start thinking about how AI assistants should represent your brand. What questions do customers ask? What's your brand voice? How should related products be suggested? These decisions will matter more as AI shopping expands.

The Bottom Line

Google is building toward a future where AI handles much of the shopping journey. Business Agent, Direct Offers, new promotion types, and enhanced data attributes are all pieces of this puzzle.

For e-commerce advertisers, the message is clear: your Merchant Center data quality now directly impacts customer interactions before they reach your site. Invest in your feed, complete your brand profile, and prepare for conversational commerce. The retailers who adapt early will have a significant advantage.

Written by

PPC Chief

15+ years of Google Ads expertise. We help businesses cut wasted ad spend and turn PPC into a predictable source of qualified leads and revenue.

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