Amazon's Alexa+ AI Assistant Coming to Germany as E-commerce Landscape Shifts
Amazon is set to launch Alexa+, a generative AI voice assistant for Echo devices, in Germany. This comes as consumers worldwide, including in the UK, are spending more thoughtfully, leading to a decrease in average monthly Amazon spending. Meanwhile, new competitors like Temu and Shein are reshaping the e-commerce landscape, but Amazon remains the dominant force.
Amazon's upcoming AI assistant, Alexa+, is designed to engage in natural conversations and compete with the likes of ChatGPT and Gemini. While price is crucial for consumers, detailed product descriptions, images, and review quality also play a significant role in purchasing decisions. This is highlighted in Remazing and Appinio's 'Amazon Shopper Report 2025', which explores how platforms like Temu and Shein are altering German customers' behaviour.
Fast and free shipping, along with attached streaming services, remains the primary draw for Amazon's Prime delivery flat rate. However, Amazon's current AI assistant, Rufus, is not yet a significant driver of purchase conversion, with 72% of consumers unaware of it. Many Far Eastern providers, including Temu and Shein, often lack adequate product content, making it essential for merchants to focus on data-driven content to minimize open questions and win customers.
The introduction of Alexa+ signals Amazon's commitment to staying competitive in the AI assistant market. Despite the rise of Temu and Shein, Amazon's dominance persists. As consumer behaviour evolves, merchants must prioritize comprehensive product content to succeed in the ever-changing e-commerce landscape.
