Paid Search Strategy in the Age of AI Search Tools

GEO doesn't replace SEM -- here's how they work together in a media plan

Photo Credit: Vitaly Gariev

Key Takeaways:

• GEO evolves paid search — it doesn't replace it. AI search is changing how people find information, but SEM remains essential. The two disciplines need to be briefed together, not managed in silos.

• "Search" is bigger than Google. Social platforms, retail media networks, and AI chat surfaces are all search environments now — and each one requires a channel-specific strategy within a full-funnel media plan.

• Your metrics need to catch up. CTR and page rank alone no longer tell the full story. Search marketers should also be tracking AI Overview inclusion rate, LLM brand mentions, share of model (SOM), and overall brand lift.

• AI search advertising is here — but it rewards precision. ChatGPT is now selling ads, and Performance Max is the only Google campaign type currently eligible to appear in AI Overviews. As AI-generated ad copy levels the playing field, landing page experience becomes your real competitive advantage.

GEO evolves, not replaces, paid search

In 2026, brand marketers and advertisers are well-acquainted with the ways AI search tools like ChatGPT, Claude, and Gemini are changing the way people find information and recommendations - fewer clicks, less web traffic, shorter paths to purchase.

• Ahrefs confirms: Google AI Overviews reduce clicks by 58%!

The need for GEO (generative engine optimization) has transformed SEO (search engine optimization) tactics and made share of model (SOM) more important than rank. LLM crawlers largely ignore paid media content!

Our parent agency, Brainlabs, is the domain expert on how to create content for AI search engine optimization:

So, does this mean search engine marketing (SEM) for top-of-page listing goes away?

No, but it does need to adapt. Read on to learn how!

What even counts as "search" anymore?

Search is so much more than Google (or ChatGPT); it must be considered in the context of a full-funnel media plan, understanding that consumers discover brands and seek information in many different places today.

Social search

We've been writing for years about how Social is the new Search, as 46% of Gen Zers and 35% of millennials prefer to use social media platforms for product and trend discovery over traditional search engines.

Learn how to build media campaigns that harness the power of social media platforms as search engines and discovery hubs.

Many people, especially younger adult consumers, trust creators and influencers they relate to more deeply than brand advertising. That's why creator partnerships, affiliate marketing, and user-generated content (UGC) campaigns are booming right now.

It also means that marketers should apply SEO principles to social ads, for example:

• On Instagram, keywords in captions now perform better than hashtags for meeting searchers in discovery mode

• TikTok's algorithm is powerful for expanding reach and influencing viewers, particularly on its For You page and in search results

• Pinterest's search engine is designed for people seeking inspiration, how-tos, and product recommendations

“Find the long-tail search terms that resonate with your consumers best, and aim to own those key terms. Be specific; don’t take your hands off the wheel, going broad-match or letting the ‘algorithm’ do the work.”

-- Michael Robbins, associate director of paid search & social, Exverus

Retail search

Retail media networks (RMNs) are also ripe environments for applying search marketing strategies that get your product in front of searchers already in purchasing mode.

• EMARKETER reported in 2024 that 56% of American consumers start their product search on Amazon when shopping!

To make your product or brand appear prominently on the search results page of a retailer's e-com site or mobile app:

1. Prioritize home page placements

2. Segment your audiences precisely

3. Dominate your niche

4. Consider many paths to purchase, including in-store

5. Optimize for the right metrics

For detailed info on how to do all that:

Now, to Google: SEM vs. PPC vs. Paid Search

Is there a difference between these terms we often use interchangeably? Yes.

SEM (Search Engine Marketing) is the discipline of marketing within search engines, including organic SEO (search engine optimization) and paid search. Paid search is the practice of buying ad space on search engines. PPC (Pay-Per-Click) is the billing model; you pay each time someone clicks your ad. It applies across channels including search, social, and display.

All the levers of Paid Search have to work in harmony for effective digital marketing campaigns. Search Engine Journal recommends putting together an Integrated Search Brief at the beginning of each project so every team is working toward the same business objectives. Here's an example:

Integrated Search Brief
Primary Audience: Brand marketers
Buyer Segment: CMOs, VPs, or Directors, companies $100MM+ annual revenue
Buyer Role: Find 5 best media agencies on West Coast & request consultations
Stage of Funnel or Customer Journey: Mid-funnel, consideration stage
Intent Type	Example Query	Likely searcher need	Channel Role
Problem-aware	"how to buy media cheaply"	Understand options	SEO, Content
Solution-aware	"best media agencies"	Evaluate category	SEO, PPC
Comparison	"Exverus vs. Brainlabs"	Make shortlist	SEO, PPC, Landing page
Transactional	"request agency consult"	Take action	PPC, Content, landing page

“Set up proper goals (by managing your tags) and attribution (how you’ll report and measure ad success in relation to your business goals).

Set up enhanced conversions and value-based conversion bidding based on your business goals (revenue, profit margins or lifetime value) well in advance to provide [Google and LLMs] with rich data points that guide automated bidding and machine learning.”

-- Ryan Schuster, MBA, director of paid search & social at Exverus, in ADWEEK

Google/AI Search metrics that matter

If your CTRs are dropping, don't be alarmed.

With search results pages receding in favor of AI Overviews, and Google sending less traffic to brand websites, page rank and click-through rate aren't the ultimate goals they used to be; they're just part of the picture.

Now, search marketers should be holistically measuring:

• click-through rate (CTR)

• cost per click (CPC)

• AI Overview inclusion rate

• brand mentions in AI search tools

• share of model (SOM)

• overall brand lift

• multi-touch attribution

Ditch the tired marketing acronyms, and measure what really drives business growth across the funnel.

PMAX & Google Demand Gen: Google AI Tools

Experiment with Google Performance Max (PMAX), which places high-impact formats across Google's entire ecosystem including search, YouTube, and Google Display. It works best with a variety of creative assets and rich data sets.

PMAX and Google Shopping ads can all be placed in AI Overviews if they're aligned with the searcher's intent. Demand Gen can also be impactful for upper-funnel needs, as

Exverus' Michael Robbins explained to Performance Marketing World, "Since the purpose of AI search is to be dynamic and curated to the searcher, this ad type is versatile, broad, and adaptable enough to feature."

Once considered a "black box" with little transparency about where ads are placed and why, PMAX made a significant update in April 2025 that expanded channel-level reporting of where media dollars are going and which platforms are performing best.

As of late 2025, Google AI Max Ads can be placed in AI Overviews, as well.

Advertising in AI search tools

Up until 2026, AI search has predominantly affected SEO, not so much SEM, because buying visibility in AI answers hasn't been an option yet. GEO, or building content to organically show up in AI answers, has been the main driver of AI visibility. Rather than building around keywords, content marketers are building around questions.

Now, OpenAI has begun selling ads in ChatGPT, and our parent agency, Brainlabs, is already testing this new frontier. Learn what their testing revealed about targeting, pricing, measurement, and recommendations below:

“[ChatGPT Ads] rewards precision. The more tightly your creative maps to the prompt, the better your cost efficiency. CPC is not worth it.”

-- Ben Kahan, head of programmatic, Brainlabs North America

The proliferation of AI-generated ads will mean that your ads will look very similar to your competitors using the same AI program. AI copy will level the playing field, only further increasing the importance of an optimized landing page experience to gain an advantage over the competition. Paid search ad copy will decrease in importance as landing page experience increases in importance.

Meanwhile, Anthropic has scaled its Claude product to the top of the AI food chain by focusing on enterprise functions, subscriptions, and token sales, rather than ad sales. Brainlabs has been building custom Claude Cowork integrations with Notion and a library of over 400 skills authored by employees in just four weeks!

We'll continue to be at the forefront of AI search advertising as it develops.

The Role of paid search in a media mix

Again, search marketing can’t succeed in a vacuum! It must be integrated into an omnichannel media strategy based on your audience’s needs and preferences. Here’s a helpful way to think about the functions of various media channels and how they synergize: 

What does your audience want?

• Exploration → Social Media 

• Information → Paid Search

• Purchase → Retail Media

At Exverus, we don’t keep these departments siloed. Our search marketers work closely alongside the paid social, programmatic advertising, and retail/e-commerce teams to share keyword strategies, devise ways to smoothly connect each touchpoint to a purchase, and keep creative brand assets and messaging consistent across all platforms. 

Provide your target audience with top-quality content in platform-specific formats, and you’ll become the brand they go to without even needing to search. 

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