Performance marketing

How AI Will Impact Paid Search

Written by Paid Media Team | Apr 27, 2023

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Historical Context

Artificial Intelligence has been impacting the performance marketing industry for many years now, and it has changed the way professionals perform their job duties whether they recognize it or not. For example, in paid search, automated bidding strategies have helped search marketers bid more effectively in certain scenarios for years now. By leveraging Google’s algorithm, the system can make effective keyword bidding decisions on who may be the most likely to take a valuable action on a website or click through to certain web pages. While this is specific to paid search, in general, the search engines have evolved over time by prioritizing how to deliver the most relevant results to users. “How?”, you might ask. Through artificially intelligent algorithms.

While the advancement of AI is nothing new to search or digital marketing in general, technologies like Chat GPT and Bard have surely made an impact in the marketing vertical.

The Effect of Chat GPT and Bard on Search

Chat GPT and Bard are chatbots (created by OpenAI and Google, respectively) that can solve natural language processing tasks like text classification, question-answering and more. These technologies have begun to raise questions about how individuals will utilize search in the future since these chatbots can synthesize information around the web and deliver instant results. However, both Chat GPT and Bard are limited in scope as it relates to more decision-based questions that require additional context. For example, when searching “which hotels in Paris have the best reviews over the last 3 months,” Chat GPT could not give relevant real time information. While there are both benefits and limitations to the use of these AI chatbots, they will no doubt have a lasting effect on the search engine results pages.

As both Google and Microsoft integrate chatbots like Bard and Chat GPT with their respective engines, we were given a glimpse of how AI-generated results could potentially show in the top placements on the Google results page in a February announcement article (see screenshot below).

Article

This could diversify the complexity of the SERP and turn attention away from both paid and organic listings. However, this is nothing new as zero click searches have been on the rise for years through the inclusion of featured snippets and answer boxes scattered throughout the SERP. (see screenshot below).

The Effect of Chat GPT and Bard on Search

This evolution has allowed users to gain additional information directly from SERP rather than having to click through to websites in certain scenarios. Microsoft will likely integrate Bing results in a similar way, but we have yet to see either search engine redesign their results pages to incorporate these new technologies. Nonetheless, this next evolution of search is all but eminent and will present new challenges for search marketers, but also new opportunities.

How this affects the agency and client relationship

Search engine marketers can benefit from utilizing Chat GPT in several ways. The use of AI can assist in generating unique copy and landing page content using customer data to tailor the content. Additionally, it can accelerate the process of delivering content and ad copy requests, empowering agency partners to execute these client needs with shorter turnaround times.

Despite the benefits, there are limitations for the use of Chat GPT across search engine marketing. Chat GPT has a limited range in creativity, as well as ethical considerations. It’s important to note that it also fails to take keyword portfolio, search engine character limits, or casing/spacing best practices into account. While search engines such as Google and Bing are ever-changing, maintaining SEO best practices will be the key for generating strong ad engagement and performance.

Utilizing AI strategically can improve the search engine marketing experience for both the agency and client side. Nonetheless, marketers will still need to learn how to use the AI effectively, as it cannot replace the understanding of a client's audience targets, brand identity, and strategy.

Next Steps

Test additional digital channels for reaching readers with informational content

People using search engines in order to seek information about specific topics, or answers to specific questions, may be less incentivized to scroll past the AI-generated content provided by the search engine. This could potentially lessen the amount of impressions and clicks on paid search ads that lead to informational content. Other platforms that are heavily used for search and discovery (Youtube, TikTok, Pinterest, Reddit, Google Discovery) may prove to be more suitable for upper-funnel search purposes.

Consider increasing investment in Bing

As users move to test the new Microsoft Edge and Bing Search experience, it may make sense to ride the wave of interest by adding dollars to Bing to capitalize on the increase in available impressions.

Include more broad match keywords

AI technology may allow consumers to search in a more conversational way. As search queries evolve, broad match keywords could catch long form searches that may otherwise be missed.

Keep a close eye on key metrics

As the search landscape changes, key performance metrics can give insight on how these changes are affecting campaigns and can help us understand what campaign/keyword changes need to be made. Keeping a close eye on CPC, click and impression volume will be imperative.

Stay Updated

Staying informed of relevant updates in the search landscape is crucial for a paid search marketer to adapt their strategies and stay competitive. Updates in search algorithms, new ad formats, and changes in consumer behavior can significantly impact ad performance and campaign success. By keeping up-to-date, paid search marketers can take advantage of new opportunities, avoid potential pitfalls, and optimize their campaigns to maximize ROI.

Contact Investis Digital

To learn more about how Investis Digital can help you navigate these changes, optimize your paid search campaigns, and stay up to date on the latest in AI, check out our paid media services or reach out to our team today.

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