TLDR
One in five Australians plan to use AI to research gifts this Christmas, up from one in eight a year ago, according to Integral Ad Science's Holiday Shopping Australia 2026 report. Mobile leads as the primary device for 62% of shoppers, and 49% plan to buy online more than last year. Retail media plans that stop at search and social now miss the first step for one shopper in five.
KEY TAKEAWAYS
The AI number and where it came from
One in five Australians, 22%, plan to use AI tools to research products or gift ideas this Christmas, up from 12% in 2025.[1] That is an 83% rise in a single year. The figure comes from Integral Ad Science (IAS), whose Holiday Shopping Australia 2026 report surveyed 532 Australian consumers in September 2026, compared against 501 surveyed in July 2025; IAS flags the year-on-year comparisons as directional.
Jessica Miles, Country Manager ANZ at IAS, said the pace of change had outrun most planning cycles. "Australia's holiday shopper has changed more in 12 months than most media plans have. AI-assisted product discovery has nearly doubled. Mobile has extended its lead. And shoppers are doing more of their buying online," Miles said.[1]
The broader openness to AI is wider still. 62% of Australians said they are open to using AI tools to help them shop this holiday season, up from 56% in 2025.[2] The gap between openness at 62% and active intent at 22% points to a large middle group that AI-optimised content could convert during peak season.
The Australian figure sits below a comparable US number. Stackline's survey of over 1,000 US consumers, published on 2 October 2026, found that 43% plan to use AI tools ahead of or during Prime Big Deal Days, Amazon's major October sales event running 6 to 7 October. Megan Knisely, Insights Author at Stackline, said "Roughly 43% of shoppers plan to use AI tools ahead of or during the event, led by ChatGPT at 25%", mostly for price comparison.[3] The two surveys ask different questions of different shoppers, so the gap is a marker, not a forecast.
The broader shopping picture
IAS data shows AI adoption sitting inside a broader shift toward digital and mobile. 62% of Australians say their mobile device will be used most for shopping this holiday season, up from 57% in 2025, and 49% plan to shop online more than last year, up from 40%.[1] That nine-percentage-point jump in online intent is the largest single shift in the report.
Spending intentions are holding firm. 77% of Australians plan to maintain or increase their holiday shopping budgets, up from 73% last year, while 54% say they will pay closer attention to sales and discounts.[2] Stable budgets combined with sharper discount attention describes a shopper who has money to spend but intends to be deliberate about where it goes.
Social media and video are both growing as shopping entry points. 49% of Australians plan to increase their use of social media platforms when shopping for the holidays, and 38% plan to use YouTube and video sites more, both figures up on 2025.[2] 60% plan to do most or all of their holiday shopping online.[2]
| Metric | 2025 | 2026 |
|---|---|---|
| Plan to use AI to research gifts | 12% | 22% |
| Open to AI for shopping | 56% | 62% |
| Mobile as primary shopping device | 57% | 62% |
| Plan to shop online more than last year | 40% | 49% |
| Budget held or increased | 73% | 77% |
What Australian retailers should change before 6 October
Prime Big Deal Days runs on 6 to 7 October, four days after the IAS report dropped. Retailers and retail media networks that have not built an AI discovery presence are missing the first touchpoint for the segment that spends most. Earlier analysis by Prompt the Market found that AI-referred shoppers spend 53% more per visit, with the Muse AI platform processing over 5.6 million requests in the third quarter of 2026.[4]
Loyalty program engagement has fallen to 45%, and the traditional retention mechanism that kept high-value shoppers inside a retailer's own ecosystem is weakening at exactly the moment AI assistants are stepping in to fill the discovery role. A shopper who asks ChatGPT which air fryer to buy does not start at a brand's homepage.
Product detail pages, structured data and brand mentions in third-party review content matter more than they did a year ago, because AI tools draw on all three when generating gift recommendations. A media plan that allocates budget only to paid search and social will reach shoppers who already have a brand in mind. The 22% who start with AI are still forming theirs.
SOURCES & CITATIONS
FREQUENTLY ASKED QUESTIONS
How many Australians were surveyed in the IAS Holiday Shopping 2026 report?
What share of Australians plan to use AI for gift research this Christmas?
How does Australian AI shopping intent compare with the United States?
Why does AI discovery matter more than social or paid search for peak season?
James Dore is Strategy Director at Bushnote, a leader in SEO and AEO in Australia. He writes on search, AI and the technology decisions shaping government and industry.
