Julie Bornstein is a long-time e-commerce executive who has been driving the ship at her new venture, Daydream. They’re now gearing up to release an AI-powered chatbot created exclusively for fashion-centric shopping. This launch comes as other big names, including OpenAI and Perplexity, announce similar AI shopping capabilities. This step deepens the battle lines drawn across the new world of ecommerce.
Bornstein holds a B.A. in English from the University of Pennsylvania. His insight into the industry comes from an extensive career in cities. An alumna of the Princeton in Asia Fellowship in Laos, this experience opened her eyes to a more diverse perspective that she brought with her to her leadership role at Daydream. She emphasizes that specialized AI shopping assistants, such as those focused on fashion, can offer consumers a more personalized experience than general-purpose tools.
“Vertical models — whether in fashion, travel, or home goods — will outperform because they’re tuned to real consumer decision-making,” Bornstein stated. Her thesis-based insights are deeply attuned to the messiness of the online shopping experience. This is particularly the case for sectors that require a deeper, more comprehensive touch.
At the same time, Zach Hudson, Onton’s co-founder and CEO, has been focused on the interior design space. Illustration by Onton Onton has created a truly remarkable data pipeline. It serves as the comprehensive directory for one of the industry’s most robust inventories available, streamlining the shopping journey for consumers looking for home décor products. Hudson believes that AI shopping startups that specialize in niche markets will ultimately provide superior service compared to larger, more generalized platforms.
“Any model or knowledge graph is only as good as its data sources,” Hudson remarked, highlighting the importance of quality data in developing effective AI tools. He expressed skepticism about the ability of smaller startups to compete against established companies if they rely solely on off-the-shelf language models and conventional conversational interfaces. “If you’re using only off-the-shelf LLMs and a conversational interface, it’s very hard to see how a startup can compete with the larger companies,” he added.
Meanwhile, OpenAI and Perplexity have recently rolled out AI shopping features. This has profound implications for how consumers interact with technology and what they consider when deciding to make a purchase. These businesses are adding AI features to the chatbots they already have, allowing shoppers to explore their future purchase options more effectively. For instance, ChatGPT can assist users in finding products like “a new laptop suitable for gaming under $1000 with a screen that’s over 15 inches.”
Amanda is a senior writer at TechCrunch. She’s deeply interested in the intersection of technology and culture, and explains that though Daydream, Onton and others are carving their niche, the music tech space is still very much an uphill battle. The rise of AI shopping assistants is a clear indication that the future of online shopping lies in more personalized, efficient, and enjoyable experiences.
Bornstein points out the emotional aspect of fashion shopping, stating, “Fashion … is uniquely nuanced and emotional — finding a dress you love is not the same as finding a television.” This epiphany informs her work at Daydream. She wants to build a compelling, easy to use shopping assistant that connects with users on an emotional level.
AI is moving so quickly in the e-commerce space. Daydream and Onton are both making intentional moves to be ready for the specialized needs of their respective markets. Their niche focus empowers them to use technology in ways that are not just cool, but move the needle on real consumer pain points.