AI Revolutionizes Retail with 95% Drop in Failed Searches and Boosts Revenue by 5.5%
July 9, 2025
A recent partnership highlights how AI can revolutionize retail by enhancing product discovery, understanding customer needs quickly, and building trust and loyalty.
This AI deployment led to a 5.5% increase in search-based revenue, a 10% boost in click-through rates, and a dramatic 95% reduction in failed searches, with no-result queries dropping from 2% to just 0.1%.
The AI system was specifically designed to interpret complex trade-specific slang and synonyms, significantly reducing irrelevant search results and manual workaround efforts.
Rob Contreras, Head of Innovation at Toolstation, emphasized that understanding customer intent through AI helps deliver a knowledgeable, responsive digital experience similar to in-store staff.
Toolstation integrated Google Cloud’s AI across its website, app, contact center, and in-store tills, creating a unified, intelligent platform that enhances product discovery, recommendations, and personalization.
Google Cloud highlighted that deep understanding of customer language and intent through Vertex AI Search for Commerce drives better customer journeys, increased loyalty, and business growth.
The AI solution, supported by Gemini models, achieved a 95% reduction in failed searches and a significant decrease in no-result queries, improving the overall customer search experience.
This AI-powered platform immediately improved the customer journey by making searches more accurate and responsive, thereby strengthening trust and loyalty.
The success of this AI deployment aligns with broader digital transformation initiatives and is set to be recognized at the upcoming RTIH AI in Retail Awards.
As a result of these improvements, search-based revenue increased by 5.5%, and customer loyalty saw a 2% rise, with fewer reports of irrelevant search results.
The collaboration aimed to create a more knowledgeable digital storefront that matches the expertise of in-store staff, addressing industry challenges related to complex language interpretation.
Summary based on 4 sources
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Sources

Cision PR Newswire • Jul 9, 2025
Toolstation Boosts Search-Based Revenue by 5.5% and Transforms Product Discovery with Google Cloud AI
Retail Technology Innovation Hub • Jul 9, 2025
Toolstation taps Vertex AI Search for Commerce to cut failed searches, increase CTRs and enhance CX — Retail Technology Innovation Hub
Curated - BLOX Digital Content Exchange • Jul 9, 2025
Toolstation Boosts Search-Based Revenue by 5.5% and Transforms Product Discovery with Google Cloud AI