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Digital news to watch: Amazon and Shopify are now half of U.S. ecommerce

In this week’s digital news, Amazon and Shopify together now account for approximately 50% of U.S. ecommerce. An analysis of 11 sites hit by Google’s recent January 2026 algorithm update shows that losing organic visibility could mean losing AI search citations too.

Grant Simmons explains why topical authority, signal alignment, and unique data-driven content are the foundations of AI visibility and why they always have been. Google Ads now shows where Performance Max campaigns run, giving advertisers clear insights to optimise performance.

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Amazon and Shopify are now half of U.S. ecommerce

Amazon and Shopify now account for nearly half of US online retail. In 2025, Amazon generated about $440 billion in US sales (35.7% share), while Shopify reached 14%, up from 12% a year earlier, bringing their combined share to 49.7%, compared with 43% in 2021. Amazon operates a centralised marketplace, whereas Shopify aggregates millions of independent storefronts. As both expand in a maturing market, rivals such as Walmart, eBay and TikTok Shop compete within the remaining half of US e-commerce.

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Are citations in AI Search affected by Google organic visibility changes?

Lily Ray’s data-led investigation reveals a direct correlation between Google’s organic visibility and citations within AI search tools like ChatGPT. The study demonstrates that websites penalised by recent Google algorithm updates experienced a simultaneous decline in AI-generated references, suggesting that these models use Google’s rankings as a primary proxy for trust and credibility. For the SEO industry, this confirms that AI search is not a sanctuary from Google’s stringent quality standards. The primary impact is that maintaining a robust organic presence is now a prerequisite for AI visibility, as the same authority metrics increasingly govern both traditional and generative search platforms.

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Great SEO is good GEO, but not everyone’s been doing great SEO

Industry analyst Grant Simmons argues that Generative Engine Optimisation (GEO) is a natural extension of high-quality SEO, dependent on how AI models verify and “linkify” information. A “Response Confidence Engine” first verifies content against industry consensus, while a “Linkifying Engine” selects the most authoritative, concise “chunklet” to cite. To succeed, brands must move beyond broad keyword targeting and focus on proprietary, evidence-backed data that satisfies a singular, specific intent.

The practical impact on SEO is the urgent need to eliminate “page drift,” where a single URL attempts to answer too many disconnected queries. Instead, content must be structured into self-contained, high-authority passages that AI can easily extract. Furthermore, as AI models draw from diverse datasets, maintaining a consistent brand voice across PR and social media becomes a critical technical signal for trust. Ultimately, GEO success in 2026 requires a shift from page-level marketing to passage-level authority, ensuring every insight is both unique enough to be valuable and corroborated enough to be trusted.

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Google Ads shows PMax placements in “Where ads showed” report

Google Ads now displays Performance Max data within the “Where ads showed” report, revealing placements, networks and impressions previously hidden. Advertisers can see where ads appear across search partners, display and other channels, enabling more precise performance analysis and budget optimisation. Marketers say the report, once empty, now offers meaningful transparency, including clearer insight into Google Search Partners. Overall, the change transforms formerly opaque PMax reporting into practical, data-driven insight, helping businesses identify which networks deliver results and refine campaign strategy accordingly.

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Chatbots are the new influencers brands must woo

Companies now need to market to AI chatbots, which shape what users see. Chatbots draw from online sources, so brands must provide accurate content in trusted spaces like Reddit, LinkedIn, and Quora. Businesses publish large volumes of targeted material to appear in relevant queries and correct outdated information. Chatbots respond to thoroughness and clarity, not narrative flair. This creates opportunities for agencies and tools that optimise AI visibility while requiring vigilance over old content that could mislead bots.

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Google announces Gemini 3.1 Pro, says it’s better at complex problem-solving

Google’s new Gemini 3.1 Pro is now rolling out in preview. The model’s benchmark results show mostly modest improvements. The updated model is now available in AI Studio and the Antigravity IDE. Enterprise users will see the model in Vertex AI and Gemini Enterprise, and regular users can use it in both the Gemini app and NotebookLM. The API costs for developers have not changed, nor has the context window.

Read more here.

For more information on any of this week’s stories or for support with your digital marketing efforts. Our friendly team would be more than happy to discuss your requirements. Drop us an email at team@modo25.com

Author

Tom Pickard

Author

Tom Pickard

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