Will AI transform search marketing?

Opinion Scott Tieman

Amid a rapidly changing search and AI landscape, here are four strategies that marketers should adopt to ensure they’re ready for this new frontier.

As online search rapidly merges with AI, the events we are likely to witness over the coming months will shape marketing strategies for years to come.

Google is experimenting with AI-driven search with AI Overviews, which provide AI-generated summaries in response to search queries and include links to relevant websites.

Launched in May in the US and expanded to six markets including the UK in August, AI Overviews have experienced some teething problems — such as telling people to use glue to stick cheese on their pizzas and to “eat rocks”. Some believe that AI “hallucinations” — errors — will require huge amounts of pre-processing to make it effective in search.

Undeterred, Google has just announced that it will introduce search and shopping ads in AI Overviews when relevant to the query and the answer provided, with ads carrying the “Sponsored” label.

But this may not be enough to see off the threat to its search business from generative-AI tools such as ChatGPT. If gen AI upends existing search engines, brands will need to revise their search advertising strategies.

Google dominance

While AI’s impact on search is still in its early — occasionally comic — stages, marketers will need to develop sophisticated AI search strategies to maintain sales and stay relevant to consumers.

For two decades, paid ads on Google and search engine marketing (SEM) have been pillars of advertising and marketing strategies, sometimes delivering stunning uplifts in sales. But with the advent of AI and amid scrutiny over Google’s 90% share of the search market, the landscape is changing.

In August, a US court ruled that Google has created an illegal monopoly in search and this could lead to owner Alphabet being broken up.

At the same time, the economic impact of AI on Google’s search business is unclear. AI could create higher-quality results, leading to higher engagement across a broader set of revenue-generating search tools. On the other hand, it could reduce click-through rates — the main way that Google earns its search revenue today.

Generative-AI systems such as ChatGPT are challenging the dominance of Google Search. AI can deliver a pithy summary to a query such as “What is fell running?” rather than requiring users to plough through a list of websites. This threatens to disrupt Google’s core search business and its business model, which depends on users clicking on paid ads.

Google aims to take the initiative with AI Overviews before gen-AI rivals sweep up its business. Yet in response to the question “Which are the best trainers for fell running?”, Google provides no AI Overview, but directs users to sponsored search links filled with ads for running shoes. That said, this could be set to change with the arrival of ads in AI Overviews.

Competitors to watch out for

By contrast, ChatGPT provides a list of trainers for fell running. However, OpenAI has yet to monetise this through brand partnerships. This, surely, is the next great breakthrough in marketing — collaboration and partnerships between AI services and brands. One early example of what’s possible is Dublin City Council striking a deal with ChatGPT to produce a tour guide of the city (welcome in the era of smart tourism).

Perplexity AI, meanwhile, gives AI-generated answers to queries while also showing the web links that provided the information. It also suggests further questions for each query and has said it will introduce native ads into these.

Other services to watch out for include Claude from Anthropic and Jasper.

Agility is key

For marketers, this rapidly changing search and AI landscape requires agile thinking — any strategy developed today could be derailed by new developments a month down the line.

Their strategy must be flexible, ready to change, prepared to fail and quick to pivot in new directions. Given the rapid and complex changes under way, partnering with the expertise of specialist search and AI consultants is advisable.

Amid this uncertainty, here are four strategies that marketers should adopt immediately so that, however the cookie crumbles, they will be ready for this new world of AI-powered search.

Embrace AI insights: Marketers should leverage AI tools to better understand user behaviour and preferences. These insights will help inform content strategies and ensure that brands remain relevant.

Optimise content for AI visibility: Focus on creating high-quality content that is structured and optimised for AI engines. Brands that do this will improve their chances of being featured in AI-generated overviews.

Diversify platforms: With platforms such as TikTok gaining traction, brands must diversify their marketing strategies beyond traditional search engines. Engaging content on various platforms will not only improve brand visibility but also foster stronger connections with consumers.

Brands that strike successful collaborations with AI search services could set the agenda for the advertising strategies of the future. Whether pursuing first-mover advantage or sitting back and watching others fail first, advertisers should follow developments closely and be ready to pounce when the time is right.

Scott Tieman is global head of adtech and martech at Star