How to use AI to shop smarter this holiday season

By: Elaina Russell November 25, 2025

CLARKSVILLE, Tenn. - As the National Retail Federation projects holiday spending to exceed $1 trillion for the first time in history, an increasing number of shoppers are seeking cost-saving options to help manage rising costs this season.

A PwC survey reports 80% of holiday gift budgets are expected to be spent by the end of Cyber Monday. In response, Austin Peay State University (APSU) is sharing artificial intelligence (AI) prompts that provide personalized solutions for budget-conscious consumers.

Using AI for shopping assistance

Utilizing marketing faculty expertise for common holiday shopping challenges, APSU’s Dr. John Volker was tasked with developing practical AI prompts, or text instructions given to AI tools to generate specific responses. These can be used for budgeting, product comparison, and gift recommendations to help shoppers avoid falling prey to sales tactics and overspending.

Volker, a professor of management who teaches AI courses at APSU, created a set of prompts that he believes anyone can use to make holiday shopping more intentional, organized, and enjoyable.

“These prompts are written so that they can be copied and used directly,” Volker said. “They will help individuals step away from impulse buying, toward gifts that reflect thought and care while providing a sense of how AI can enhance the entire experience.”

Creating a strategy

Dr. Pilsik Choi, an associate professor of marketing, emphasizes the importance of avoiding common retail tactics, such as time pressure and inflated holiday pricing, which create the illusion of a deal and often lead to overspending.

"Retailers sometimes mark up prices before applying discounts, making sales appear more attractive than they really are," Choi said. "A smart approach is to track prices over time and calculate savings from the original price to determine if a discount is significant."

The first prompts address the need for a customizable plan that integrates budget and number of gift recipients. Simply copy and paste into your preferred AI tool to generate responses.

Planning

• “Create a simple shopping-tracker table with columns for Name, Gift Idea, Budget, Store/Source, Status, and Notes. Format it so I can paste it into Excel or Google Sheets.”

• “Build a Christmas shopping plan for me that includes a timeline, budget guidance, categories for the people on my list, and a few checkpoints to keep me moving.”

• “I need thoughtful gift ideas I can put together quickly. Include digital options, printable gifts, and items I can buy locally without them feeling rushed.”

Dynamic budget allocation

• "Given my total holiday budget of $[amount] and the following list of gift recipients [list], create a dynamic budget allocation that adjusts for fluctuating prices and deals throughout the shopping season."

Price analysis

• “Give me a simple process I can use to figure out whether an online price is actually a good deal. Include steps for reviewing ratings, comparing models, spotting outdated versions, and identifying suitable alternatives.”

• “I’m deciding between these items: [list]. Compare them in plain language—price, important features, durability, ease of use, and who each one is best suited for. Based on my situation, recommend the best option.”

Personalization

For those who prefer experiences to products, AI prompts offer a way to blend budget consciousness with personalization.

“When it comes to choosing gifts for the people we know best, it’s important to remember shared experiences are generally better gifts than tangible items,” said Dr. Terry Damron, an associate professor of marketing. “There is strong evidence supporting the ability of shared experiences to improve relationships and generate happiness. Children often struggle to remember last year's toys but can vividly recall family experiences."

This set of prompts adds personalization to creating intentional gift-giving experiences.

Experiences

• “The person I’m shopping for prefers experiences over things. Come up with meaningful experience-based gift ideas across categories like events, subscriptions, creative activities, outdoor adventures, or learning opportunities.”

• “Here is a quick profile of the person I’m shopping for: [age, interests, hobbies, personality, budget]. Give me 10 thoughtful gift ideas that suit the recipient's personality. Add a short explanation of why each idea works and include an approximate price range.”

DIY

• “I have the following materials: [list supplies]. Suggest creative, polished DIY gift ideas I can make using only what I already have.”

• “Create a short, lighthearted Christmas poem or mini-story that highlights [recipient’s traits or a memory we share]. Keep it warm but not overly dramatic.”

Regardless of season, these prompts offer a brief glimpse at how AI can be used as a practical tool to help consumers navigate both the abundance of choices and budget constraints. Adding AI assistance to the traditional shopping experience can help consumers navigate the holiday season with greater confidence and less stress.