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Lowe's AI Agent Drives 3x Online Conversion

Lowe's AI Agent Drives 3x Online Conversion

Key takeaway

  • Lowe's AI agent Mylow boosts online conversion by three times.

  • It has handled 25 million questions since launch.

  • The company is also expanding AI tools for contractors and employees.

3 Key Points

  1. What happened

    Lowe's reported that customers using its Mylow AI agent convert at three times the rate of other online shoppers. The agent has handled more than 25 million questions since its introduction.

  2. Why it matters

    This gives Lowe's a direct link between AI use and purchasing behavior, showing AI is moving from customer assistance into sales. It also applies to areas where distributors traditionally compete, like product expertise and quoting.

  3. What to watch

    Lowe's is also using AI for professional contractors with its Material Lists tool, which turns handwritten notes and files into product lists for quotes. The company's online sales increased 15.7% in the second quarter.

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Context & Analysis

Lowe's is moving AI from a customer service feature to a core part of its sales strategy, and it is now reporting measurable business results alongside adoption. The Mylow agent's 25 million questions and three-times conversion rate offer concrete evidence that AI can influence purchasing behavior. This is notable for distributors because Lowe's is applying AI to areas like product expertise, project assistance, and quote preparation—traditional strengths of distributors.

The company is also extending AI into the Pro business with tools like Material Lists, which helps contractors turn job-site notes into product quotes. This targets small and midsize contractors who often handle estimating and purchasing themselves. Additionally, Mylow Companion gives store employees another way to answer product and project questions, potentially reducing the need for deep expertise across every category.

While Lowe's does not attribute its online growth solely to AI, the conversion data provides a clear link. The next stage of competition, as the article suggests, will likely center on combining human expertise with AI to answer technical questions faster and move customers from a problem to a completed order with fewer steps. Lowe's results indicate that customers are already responding to this approach.

FAQ

What is Mylow AI agent?
Mylow is Lowe's AI agent that helps customers with home improvement projects, product specifications, and product selection. It has handled more than 25 million questions since its introduction.
How much did Lowe's online sales grow in the second quarter?
Online sales increased 15.7% in the second quarter, while total sales increased 8.3% to about $26 billion.
What is Material Lists?
Material Lists is an AI-powered tool introduced in May that turns handwritten notes, photographs, spreadsheets, and other project files into product lists for quotes, aimed at small and midsize contractors.
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