Etsy launches its app within ChatGPT as it continues its AI push

Source: TechCrunch

Etsy launches its app within ChatGPT

Etsy announced Tuesday the launch of its native app within ChatGPT, opening a new way for shoppers to explore its catalog of over 100 million listings.

The experience moves beyond traditional keyword queries. Instead of typing “wooden coffee table” and scrolling through results, users can express what they’re looking for in natural language, e.g., “Help me find a Mother’s Day gift under $100 for my mom who loves gardening.”

Now live in beta, the feature lets users tag @Etsy directly within a prompt. The Etsy app in ChatGPT then surfaces relevant product listings that users can browse, compare, and click through to Etsy for more details or purchase.

Previous ChatGPT integration

• In September, Etsy became an early partner in ChatGPT’s Instant Checkout integration, allowing purchases directly inside the chat interface.
• The initiative ended in March, after reports that Etsy did not see a large volume of sales from the integration. This led Etsy to start building a native app within ChatGPT instead.

Conversational search beta on Etsy

Alongside the ChatGPT launch, Etsy is testing a beta conversational search experience on its own platform, focused on helping users find gifts. The “gift assistant” acts as a personal shopper, guiding users through a conversational flow to discover ideas, narrow preferences, and surface relevant products.

[Image: Etsy gift assistant]
Image Credits: Etsy

Broader AI push

Etsy’s AI initiatives also include:

• An AI‑powered discovery experience featuring curated collections.
• A suite of seller tools that generate product titles and descriptions, and a writing assistant for drafting messages to buyers.
• A “Designed” label introduced in 2024 to identify AI‑generated content, improving transparency as AI artwork becomes more common on the platform.

Financial context

• In its Q1 2026 earnings report, Etsy posted revenue of $631 million, surpassing expectations.
• Marketplace gross merchandise sales were up 6 % YoY.
• Active buyers rose for the first time in two years to 86.6 million, and the platform hosts 5.6 million active sellers.

Depop sale

In February, Etsy announced the sale of Depop to eBay for $1.2 billion in cash, a move aimed at concentrating on its core marketplace.

Other native apps in ChatGPT

Etsy joins a growing list of companies building native apps within ChatGPT, including:

• Angi
• SeatGeek
• Tubi
• Wix

Developers have been able to create apps inside the chatbot since October.