Search is getting an AI overhaul. This startup says it can help e-commerce brands keep up.

8 hours ago 4

Andrew Lissimore

Andrew Lissimore is the founder of Lantern. Courtesy of Lantern

Andrew Lissimore grew his e-commerce business, Headphones.com, by cracking search engine optimization (SEO).

When ChatGPT emerged on the market, Lissimore prompted the LLM to see how the chatbot ranked his website's audio equipment.

"It didn't reference us," Lissimore told Business Insider.

Search results for e-commerce brands, like his own, are a cornerstone for discovery, customer acquisition, and sales. Now, AI is changing how consumers seek product recommendations, from the rise of agentic commerce to how search engines like Google fundamentally work.

"It's the most important transition since search," Lissimore said, which is why his new startup, Lantern, is doubling down on AI optimization for e-commerce brands. "I thought: people are going to be stuck grasping at straws, trying to figure out how to deal with this."

In 2024, Lissimore launched Lantern to help e-commerce brands strategize around customer loyalty. Lantern raised $3.1 million in seed funding in 2025, led by Salesforce Ventures.

Since then, Lantern has refocused the company on tools that advise brands on how to get their products recommended more by LLMs. Lissimore also hired ex-Amazon engineers to redirect the company's product. Lantern is raising more capital to expand its technical talent, bankroll tokens, and get its product out there.

Lantern's team trained an internal model that predicts how a brand's products could appear in an AI-powered query, and what that brand could do to improve that visibility. The tools cost $99 a month, and for enterprise clients, that cost is customized.

As new terms like GEO (generative engine optimization) and AEO (answer engine optimization) take over, startups are rushing to the scene, offering tools to help brands optimize for AI.

Jasper AI, for instance, raised over a hundred million at the start of the AI craze and has zeroed in on marketing tools. It recently launched a new automated GEO tool and offers several search-optimization features. Daydream, an SEO agency, raised a $15 million Series A funding round this year to scale its agentic SEO tools and hire humans who train it.

To differentiate Lantern from the growing pool of AI-era marketing tools, Lissimore said the company is "focused purely on e-commerce."

While other products might help brands with "overall visibility," Lissimore said, that matters less to niche e-commerce sellers. Instead, Lantern's target client is concerned with individual products and how those perform relative to niche competitors.

Lissimore knows he's entering a potentially crowded market.

"It looks like a lot of companies are bumping up against each other," he said. "But, I think this space is going to be so huge and important that there will be a lot of companies, niches, and problems to solve that aren't being solved yet."

Read the pitch deck that Lantern is using to sell its pivot as it raises more capital.

Note: Some details have been redacted.

Lantern kicks off its deck explaining a future with agentic shopping

Today you ask ChatGPT which running shoes to buy.
                                      
                                      Tomorrow the agent will pick them, negotiate for the best price, buy
                                      them and keep an eye on fulfillment.
                                      
                                      Lantern is building for a world
                                      where only the brands an agent
                                      trusts get bought.
                                      
                                      AGENTIC COMMERCE PERFORMANCE

Lantern

Then, it immediately introduces its founder

Andrew spent a decade building Headphones.com into one of the most
                                      trusted names in audio.
                                      
                                      Now AI agents decide which brands to
                                      trust. He built Lantern so the brands
                                      that earned that trust keep winning.
                                      
                                      $3.1M SEED, LED BY SALESFORCE VENTURES
                                      
                                      Andrew Lissimore

Lantern

The deck explains how shopping is changing in the AI era

THE PROBLEM
                                      
                                      Shopping is moving from links to answers.
                                      
                                      When the AI gives the answer, the click disappears and only a few brands get named.
                                      
                                      8%
                                      
                                      click a normal result when an AI summary is present,
                                      versus 15% without.
                                      
                                      PEW RESEARCH, 2025
                                      
                                      +31%
                                      
                                      higher conversion from shoppers who arrive through an
                                      AI answer.
                                      
                                      ADOBE, 2026
                                      
                                      38%
                                      
                                      of AI-cited pages still rank in the top ten. Ranking and
                                      getting recommended have split apart.

Lantern

It then shows how Lantern works

Ask an AI what to buy and it names a few brands.
                                      
                                      Lantern shows you whether
                                      you are one of them, where
                                      you stand against the
                                      brands it picks over you, and
                                      the exact changes to win
                                      them back.
                                      
                                      Across ChatGPT, Perplexity, Gemini and Amazon assistant, where 300
                                      million people shopped last year.
                                      
                                      Top recommendation gaps

Lantern

Next, it compares how marketing has grown beyond SEO

A NEW PLAYBOOK
                                      
                                      From reporting performance to delivering it.
                                      
                                      The old tools tell you what is wrong. Lantern shows you the exact fix.
                                      
                                      THE OLD PLAYBOOK
                                      
                                      • Dashboards that report problems
                                      
                                      • Workflows that cannot keep pace
                                      
                                      • Insights with no action
                                      
                                      • An SEO playbook that no longer carries over
                                      
                                      THE LANTERN WAY
                                      
                                      • Sees how AI reads every product
                                      
                                      • Pinpoints what limits visibility
                                      
                                      • Gives the exact changes to make
                                      
                                      • Built to act on, not just report

Lantern

The deck then dives deeper into agentic commerce

 how products get surfaced, selected and converted inside
                                      AI shopping.
                                      
                                      01
                                      
                                      Surfaced
                                      
                                      Do the agents find your products at all.
                                      
                                      02
                                      
                                      Selected
                                      
                                      Do they recommend you over
                                      the competition.
                                      
                                      03
                                      
                                      Converted
                                      
                                      Do shoppers, and soon agents,
                                      actually buy.

Lantern

Lantern says its tools will help e-commerce brands 'win AI recommendation'

Everything you need to win the AI recommendation.
                                      
                                      Agent Ready Score
                                      
                                      Measures how prepared your store is for AI-driven commerce.
                                      
                                      AI Visibility Tracking
                                      
                                      Shows how often your products and brand appear across AI answers.
                                      
                                      Product-Level Analysis
                                      
                                      Pinpoints what limits how each product is interpreted and recommended.
                                      
                                      Category Benchmarking
                                      
                                      Compares your performance against the brands AI picks over you.
                                      
                                      Automated Fixes
                                      
                                      Applies prioritized changes across pages and catalogs, with team approval.
                                      
                                      Specialized Agents
                                      
                                      Teams of agents on a proprietary model, monitoring and improving continuously.
                                      
                                      Works with Shopify, BigCommerce, WooCommerce, Adobe Commerce, Salesforce, Squarespace, Wix

Lantern

It also explains how Lantern will adapt to shifting tech

BUILT FOR A MOVING TARGET
                                      
                                      The infrastructure is not settled. Lantern adapts so you
                                      do not have to.
                                      
                                      Models change, retrieval shifts, and new protocols appear with no clear standard. Lantern adapts as the landscape moves, and helps shape the standards that define it.
                                      
                                      PROTOCOL
                                      
                                      Universal Commerce Protocol
                                      
                                      Helping define how agents discover products across the open web.
                                      
                                      PROTOCOL
                                      
                                      Agentic Commerce Protocol
                                      
                                      Helping define how agents complete purchases on a buyer's behalf.

Lantern

Lanterns says e-commerce brands will need to earn agents' trust now

The agents that recommend brands to
                                      you today are the ones that will buy
                                      them for you tomorrow.
                                      
                                      Earn their trust now, before the buying starts.

Lantern

Then the deck includes data outlining projections for AI commerce

700%
                                      
                                      RETAIL TRAFFIC FROM AI · YEAR OVER YEAR
                                      
                                      AI sent nearly 700% more shoppers to retail
                                      last year, and that is before agents start
                                      buying on their own.

Lantern

It recaps how Lantern has already raised capital

The brands that move first win.
                                      
                                      $3.1M
                                      
                                      seed round led by Salesforce Ventures
                                      
                                      300M+
                                      
                                      people shopped through AI assistants last year, across
                                      ChatGPT, Perplexity, Gemini and Amazon
                                      
                                      Free to start
                                      
                                      Lantern shows a brand exactly where it stands, then
                                      the exact changes to climb

Lantern

Then it introduces more of its team

The founders building Lantern.
                                      
                                      An operator who built Headphones.com, with engineers from Amazon.
                                      
                                      Andrew
                                      
                                      Built Headphones.com into one of audio's most trusted
                                      brands.
                                      
                                      Sanders
                                      
                                      Ex-Amazon engineer building the core of Lantern.
                                      
                                      Eric
                                      
                                      Ex-Amazon, finishing a Berkeley Haas MBA on
                                      weekends.
                                      
                                      Conor
                                      
                                      Pioneering AI-native GTM at Lanter

Lantern

Finally, the deck closes by bringing it back to agentic shopping

Soon, agents will do the buying.
                                      Lantern makes sure they buy
                                      from you.
                                      
                                      The light that shows your brand the way to the front, and keeps it there.

Lantern

Read next

Sydney Bradley has been covering media and tech for Business Insider since 2020. She breaks news and writes extensively about Instagram and Facebook, as well as new platforms and startups shaping social media, dating apps, the creator economy, venture capital, and tech culture.Sydney's reporting on Instagram was nominated as a finalist for the 2021 Los Angeles Press Club National Entertainment Journalism Awards.She graduated from the University of Virginia with a degree in American Studies. You can follow Sydney's work on LinkedIn, Twitter, and Instagram at @sydneykbradley.Have a tip? You can also contact her via encrypted messaging app Signal (@sydneykbradley.123), encrypted email ([email protected]), or standard email ([email protected]). Use a personal email address, a nonwork WiFi network, and a nonwork device; here’s our guide to sharing information securely.Selected stories:

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