Etsy Launches Native ChatGPT App to Transform Discovery

Etsy is evolving its shopping experience by launching a dedicated native app directly within ChatGPT. This integration allows users to browse the platform’s catalog of over 100 million items using natural language, effectively bypassing the constraints of traditional keyword-based search queries.

The feature, which is currently live in beta, enables shoppers to tag @Etsy within a ChatGPT prompt. Instead of manually filtering through results for items like a “wooden coffee table,” users can now make complex, conversational requests, such as searching for a specific gardening-themed gift under $100 for Mother’s Day.

This development arrives as the company seeks a more effective AI strategy. Etsy previously partnered with OpenAI for a “Instant Checkout” feature in September, but that project was discontinued in March after failing to generate the expected sales volume. By pivoting to a native app, the company aims to better integrate its marketplace into the chatbot’s workflow.

Expanding AI Initiatives

Beyond the ChatGPT integration, Etsy is testing a conversational gift assistant on its own platform. This tool is designed to act as a personal shopper, guiding users through narrowing down preferences to find relevant products. These efforts are part of a broader push into AI, which has already seen the implementation of:

• AI-powered discovery features and curated collections.
• Tools for sellers to automatically generate product titles and descriptions.
• Writing assistants to help draft buyer-seller communications.
• The “Designed” label, introduced in 2024 to increase transparency regarding AI-generated content.

Financial Momentum

The company’s focus on core marketplace improvements follows a positive Q1 2026 earnings report, which saw revenue reach $631 million, exceeding analyst expectations. Marketplace gross merchandise sales grew 6% year-over-year, and the platform reached 86.6 million active buyers—a milestone marking the first increase in that metric in two years. Additionally, Etsy currently hosts 5.6 million active sellers.

This strategy aligns with the firm’s decision in February to sell Depop to eBay for $1.2 billion, a move intended to sharpen its focus on its primary marketplace operations. Etsy now joins other major brands like Angi, SeatGeek, Tubi, and Wix in utilizing the native app capabilities within ChatGPT.