Artificial intelligence is rapidly changing the way Australians shop, and retailers are moving quickly to keep pace. But as AI takes on a bigger role in the customer journey, one critical part of the experience remains just as important: Payments.

The latest Adyen Index 2026 Australia Retail Report reveals that Australian retailers are racing ahead with AI adoption. All retailers surveyed are using AI in some capacity, while 95 per cent of enterprise retailers say they are familiar with agentic commerce, where AI agents can act on behalf of consumers to discover products and ultimately complete purchases.

For retailers, the opportunity is significant. But the research also highlights an important consideration: consumers may be embracing AI for discovery, but they are not yet ready to fully hand over control of the transaction.

From AI-assisted shopping to autonomous purchasing

AI is already becoming part of the Australian shopping experience. Almost two-thirds (64 per cent) of consumers surveyed have used AI assistants to browse, compare or discover products.

But confidence drops significantly when AI shifts from supporting decisions to making them. While Australians are increasingly comfortable using AI to browse and compare products, that comfort narrows quickly at checkout, with one in five (26 per cent) comfortable with AI completing a purchase, and just 5 per cent are fully comfortable letting AI buy independently.

This creates an important opportunity for retailers. Rather than simply adopting AI for the sake of automation, businesses need to consider how they can build trust at every stage of the customer journey.

And payments are central to that.

Payments are where trust becomes tangible

As commerce becomes increasingly automated, the payment experience will play an even greater role in determining whether consumers are comfortable with new technology.

According to the research, 62 per cent of Australian consumers say payment errors damage their perception of a retailer. Almost one in four (24 per cent) say they actively avoid a retailer after a failed transaction, while 15 per cent would switch to a competitor altogether.

In an agentic commerce environment, where an AI agent may be acting on a customer’s behalf, a seamless and reliable payment experience becomes even more critical. Consumers need confidence that their payment information is secure, transactions are being processed correctly, and they remain in control of their purchases.

For retailers, this means payments should not be treated as simply the final step in the customer journey. They are an integral part of the overall experience and an important opportunity to reinforce trust.

Security and convenience can work together

The good news for retailers is that consumers are not necessarily demanding speed at the expense of security.

In fact, the research found that 91 per cent of Australian consumers prioritise security checks over speed at checkout. And more than a third (36 per cent) of Australians already use biometric authentication, such as fingerprint or facial recognition, to secure transactions.

As AI takes on a greater role in commerce, these findings suggest that identity verification and security are becoming foundational to trust and building consumer confidence.

For retailers, the challenge is therefore not simply to remove friction, but to create a payment experience that is both secure and seamless. Intelligent authentication, effective fraud prevention and reliable payment processing can help retailers protect customers without unnecessarily disrupting the experience.

Building the foundations for the next era of commerce

Agentic commerce is still emerging, but retailers can start preparing for it today.

The foundations are already familiar: connected data, reliable payments, strong fraud and risk capabilities, and a consistent experience across channels. Getting these fundamentals right will allow retailers to experiment with AI while maintaining the trust that consumers need to adopt new ways of shopping.

The Adyen Index 2026 Retail Report shows that Australian retailers are already moving quickly. The next step is ensuring their payment infrastructure can keep pace.

As AI increasingly influences how consumers discover, choose and purchase products, the retailers that succeed will be those that combine innovation with confidence at the point of transaction.