FairPrice Group Launches AI-Powered 'Store of Tomorrow' with Google Cloud
Singapore's FairPrice Group (FPG), the nation's largest retailer, has launched innovative AI applications as part of an expanded, multi-year collaboration with Google Cloud. The 'Store of Tomorrow' initiative, powered by Google Cloud's Agent Development Kit (ADK) and Model Context Protocol (MCP), enables seamless communication among different AI agents.
FPG is piloting Vertex AI Search for Commerce, set to be integrated into Smart Cart assistants and other customer touchpoints. This solution handles local context, non-English queries, and spelling variations to deliver relevant results. The comprehensive deployment of agentic AI across retail operations is expected to yield tangible returns on investment.
At FairPrice Finest Punggol Digital District and Sengkang Grand Mall, a smart shopping assistant demonstrates this orchestration. It handles queries like 'yam paste' by using multiple AI agents for speech recognition, query processing, product catalog scanning, and suggesting complementary products. FPG plans to deploy enhanced Smart Carts at FairPrice Finest Thomson Plaza in Q4 2025, offering wellness advice and a digital wine sommelier via mobile phones.
FPG's implementation includes robust security measures such as role-based access controls, virtual private cloud controls, and identity and access management controls within Agentspace. This ensures compliance with security policies while leveraging AI agents across customer-facing and enterprise workflows.
FPG is adopting Google Agentspace for building, managing, and using AI agents at scale. Employees can now find and synthesize information faster using agentic intranet search. A creative agent uses Google Cloud's models for image background removal, video generation, and condensing promotional details into ad copy, supporting recent campaigns with significant time and cost savings.
The expanded collaboration between FPG and Google Cloud represents a significant step towards transforming retail operations through agentic AI. With successful piloting and planned deployments, FPG is set to enhance customer experience and drive operational efficiency. Meanwhile, Walmart, another retail giant, is collaborating with Google Cloud to deploy agentic AI applications in their enterprise as part of an extended multi-year project.
