Paid search advertising is in its AI era
- Michelle Andrade
- Feb 10
- 4 min read
Updated: Jul 8
How brands need to adapt their search strategy to outrank and outsell in 2025
Raise your hand if you've used ChatGPT, Claude, or another generative AI tool in the last week.
Looks around for hands
We don't need to tell you that AI is transforming the way we search for information and overhauling paid search advertising, as well.
While generative AI chatbots like ChatGPT and Perplexity challenge Google's long-held search dominance, Google is keeping pace with a flurry of new developments like AI Overviews in search results, Multimodal AI, Gemini, Meridian, and PMAX, just to name a few.
What does all of that mean -- better yet, what are the most important parts for brand marketers to know?
Our paid search advertising experts have broken down a few key developments that can help brands run more cost-effective and fruitful ad campaigns today.
Why is my CTR suddenly dropping?
Google AI Overviews (AIOs) are fundamentally altering search result layouts.
Recent research confirms a significant shift in search behavior: both organic and paid CTRs have reached historic lows, especially for queries featuring AIOs. AIOs contribute to "zero-click" searches, where users get answers directly in the search results, reducing website visits.
While CTRs drop, search marketing remains critical for brand authority, trust, and engagement. Success will be measured by visibility, AI-driven search presence, and multi-touch attribution rather than just clicks.
Does my web content matter in a zero-click internet?
Yes! While it's true that blogs and brand websites are getting fewer clicks, that doesn't mean they're obsolete.
In fact, quite the opposite -- sites are now the central API feeding every large language model. Your AIO visibility is your share of voice.
Plus, your brand website is already writing your ad copy: PMAX, Advantage+, and TikTok Smart Creative all scrape brand sites to generate ad copy.
PMAX optimizes across Google's entire ecosystem, not just traditional search placements. Our clients see optimal results when deploying multiple campaigns with robust creative assets and comprehensive audience data.
Your content can still drive awareness and consideration for your business; it just needs to evolve away from optimizing for clicks and toward optimizing for sourcing in AI-generated answers.
How can my content get sourced by AI Overviews?
Answer frequently asked questions (FAQs). Instead of writing around keywords, answer questions your audience is likely to ask about the topic in natural language (no fluffy corporate speak!)
Structured data. Schema markup makes a website 6x more likely to appear in rich snippets and reduces the cost per acquisition (CPA) by an average of 23%!
First-party data fuel. High-performing first-party data strategies begin with observed on-site behavior. Sites with strong event tracking see 2.8x higher conversion rates!
Keep it up to date. Google scans your site every 24–48 hours to optimize ads. Outdated content means outdated targeting.
Technical hygiene is non-negotiable. Web vitals, schema markup, load speed, mobile responsiveness—these now determine media performance.
Test different ad formats to maintain visibility. While AI Overviews don’t allow direct ad placement, Google says other formats like PMAX and Shopping Ads can still be included in AIOs if they're aligned with the searcher's intent. Additionally, Google's Demand Gen campaigns deliver immersive, discovery-focused ads designed for upper-funnel objectives.
How can my brand reach information-seekers outside of traditional search engines?
Early data shows Reddit emerging as a strategic alternative to traditional search engines. According to Similarweb data, Reddit's Google-referred traffic has increased by 40% year-over-year. This growth has enhanced the appeal of Reddit's advertising platform, particularly for brands seeking to connect with high-intent audiences actively discussing products and services.
Demand Gen demands attention
Google's Demand Generation campaigns are also gaining traction as a vital tool for driving upper-funnel engagement. This format delivers immersive, discovery-focused ads across multiple Alphabet properties including YouTube Shorts, Discover, and Gmail.
Campaigns are specifically designed to optimize for awareness and consideration metrics, making them particularly attractive for businesses looking to expand their reach and build brand equity. Early adopters of Demand Gen report impressive engagement rates, with particularly strong results when campaigns incorporate high-quality video assets and curated image collections.
Their success underscores the importance of investing in diverse creative assets to maximize campaign effectiveness.
Social is the new search engine
Social media platforms like TikTok and retailers like Amazon are now the preferred search engines for many Gen Z consumers, so social-search and retail-search must be part of your integrated media strategy to reach them effectively.
While these tools offer powerful optimization capabilities, success in using them still hinges on human direction and high-quality data inputs.
Fortunately, we're all stocked up on both.
Imagine what we could do for your brand?
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