Grid Dynamics Scales Hyper-Personalization for Galeries Lafayette; Drives 7% Revenue Increase via AI-Powered Search and Merchandising

Key Terms

google vertex ai search for commerce technical

A cloud service that lets online retailers add AI-driven product search and recommendations to their websites and apps, using Google's machine-learning tools to understand queries, rank results, and personalize suggestions. Think of it as a smart store clerk who quickly finds the best items for each shopper based on product data and past behavior; for investors, adoption can signal faster sales, higher customer retention, and potential margins from subscription or usage fees tied to the platform.

merchandising experience platform (mxp) technical

A merchandising experience platform (MXP) is a software system that centralizes product information, pricing, promotional content and rules so retailers can present the right items to customers across websites, apps and stores. Think of it as a retail control center that helps shape what shoppers see and buy; for investors, an effective MXP can boost sales, improve margins and scale marketing efficiency by making merchandising faster, more consistent and more measurable.

ai-powered technical

"AI-powered" describes technology that uses artificial intelligence to perform tasks, make decisions, or analyze information automatically. It’s similar to having a highly skilled assistant that can learn from data, recognize patterns, and improve over time, helping to make processes faster and more accurate. For investors, this means better insights and more efficient operations, potentially leading to smarter investment choices.

Key Takeaways:

• Galeries Lafayette achieved a 7% total revenue increase and an 8% rise in average basket value by replatforming its legacy search and recommendation stack with Google Vertex AI Search for Commerce and Grid Dynamics' proprietary Merchandising Experience Platform (MXP).
• The solution successfully modernized a complex catalog of over 600,000 products—including 350,000 from third-party marketplaces—contributing to a 20% year-over-year increase in online sales.
• This successful program showcases Grid Dynamics’ expertise in bridging the gap between advanced AI models and measurable retail profitability for global enterprises.

SAN RAMON, Calif.--(BUSINESS WIRE)-- Grid Dynamics Holdings, Inc. (Nasdaq: GDYN) (“Grid Dynamics”), a premier AI transformation partner for the Fortune 1000, today announced the successful deployment of a hyper-personalized digital shopping experience for Galeries Lafayette, the iconic French department store. By integrating Google Vertex AI Search for Commerce with the proprietary Grid Dynamics Merchandising Experience Platform (MXP), the retailer has modernized its search, navigation, and recommendation engines across its web, client, and seller applications.

The initiative addressed significant challenges posed by a legacy search stack that struggled to manage a vast catalog of 600,000 products, including 350,000 from third-party marketplaces. This complexity often led to poor search relevance and high manual workloads for merchandising teams. The new platform provides a tailor-made experience for each visitor, leveraging real-time data ingestion to ensure accurate product availability and pricing. During peak commercial operations, the platform maintained rock-solid stability, achieving:

• 7% total revenue increase
• 8% rise in average basket value
• 20% year-over-year increase in online sales
• Measurable gains in search conversion, recommendation-driven revenue, and merchandising efficiency.

"The tests conducted this summer demonstrated significant benefits on all of our business and product KPIs, confirming the relevance of this technological choice for our hyper-personalization strategy," said Lucas Serralta, Chief Product Officer at Galeries Lafayette. "Beyond this deployment, this platform paves the way for many innovations, such as the development of intelligent agents capable of enhancing the online and in-store shopping experience."

"Our work with Galeries Lafayette is a marquee example of how we bridge the gap between sophisticated AI models and real-world retail profitability," said Yury Gryzlov, COO and Head of Europe at Grid Dynamics. "By combining Google's powerful search capabilities with our MXP's precise merchandising controls, we've empowered one of the world's most iconic brands to turn complex data into seamless, high-conversion customer journeys at scale."

Watch a video case study on this collaboration to learn how Grid Dynamics drives measurable enterprise value through AI-powered search and merchandising solutions.

About Grid Dynamics

Grid Dynamics (Nasdaq: GDYN) is a premier AI transformation partner for the Fortune 1000. We combine deep AI expertise with proven enterprise-scale delivery to help clients identify where to invest in AI, build systems that work at scale, and capture real business value from AI deployments. A key differentiator for Grid Dynamics is our almost a decade of leadership in enterprise AI. Founded in 2006, Grid Dynamics is headquartered in Silicon Valley with offices across the Americas, Europe, and India.

To learn more about Grid Dynamics, please visit https://www.griddynamics.com. Follow us on LinkedIn.

Forward-Looking Statements

This communication contains “forward-looking statements” within the meaning of Section 27A of the Securities Act of 1933 and Section 21E of the Securities Exchange Act of 1934 that are not historical facts, and involve risks and uncertainties that could cause actual results of Grid Dynamics to differ materially from those expected and projected. These forward-looking statements can be identified by the use of forward-looking terminology, including the words “believes,” “estimates,” “anticipates,” “expects,” “intends,” “plans,” “may,” “will,” “potential,” “projects,” “predicts,” “continue,” or “should,” or, in each case, their negative or other variations or comparable terminology. These forward-looking statements include, without limitation, quotations and statements regarding the expected benefits of our capabilities and our company’s future growth including with customers, our collaboration with Galeries Lafayette, and Google Cloud.

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Media Contact:

Grid Dynamics
Cary Savas
+1 (650) 523 5000
investorrelations@griddynamics.com

Source: Grid Dynamics Holdings, Inc.