The world of paid search advertising is constantly evolving, and one of the biggest drivers of change is artificial intelligence (AI). AI-powered search functionality is a hot topic within the search community; never since the buzz surrounding search techniques – such as voice search a few years back – has the sector responded with so much vigour. As machine learning and other AI technologies continue to develop, they are having a significant impact on the way marketers approach paid search.
In this blog post, we will explore some of the ways that AI is changing paid search advertising and what this means for marketers.
- Smarter targeting
- Automated bidding
- Ad optimization
- Enhanced reporting and analysis
- Improved customer service
- More growth opportunities
One of the most significant impacts of AI on paid search advertising is the ability to target audiences with greater precision than ever before. By analysing vast amounts of data, AI-powered systems can identify patterns and trends that humans might not be able to detect and use this information to target ads to specific groups of people.
For example, if an advertiser wants to target women aged 18-34 who are interested in fashion, AI-powered systems can analyse data from search queries, social media activity, and other sources to identify individuals who fit this description. This means that ads can be shown to the most relevant audience possible, increasing the likelihood of conversions and improving ROI.
Another way that AI is changing paid search advertising is through automated bidding. Traditionally, bidding for keywords in paid search campaigns has been a manual process, with advertisers setting their own bids based on their goals and budget.
However, with AI-powered bidding, the process becomes much more automated. Advertisers can set their goals (e.g., maximum cost per click or maximum cost per conversion), and the AI system will adjust bids in real-time based on factors such as competition and ad quality- leading to more efficient bidding and improved performance.
AI is also impacting the way that ads are optimized for performance. By analysing data on ad impressions, clicks, and conversions, AI systems can identify which ads are performing well and which are not, then suggest ways to improve performance.
For example, an AI-powered system might analyse ad copy and identify phrases or wording that perform well with certain audiences. It can then suggest changes to ad copy to improve click-through rates and conversions.
Enhanced reporting and analytics
AI is also improving the way that advertisers analyse and report on their paid search campaigns. By analysing vast amounts of data from multiple sources, AI systems can provide insights into campaign performance that might be difficult for humans to detect.
For example, an AI system might identify that certain keywords are driving more conversions on mobile devices than desktop computers. Armed with this knowledge, advertisers can adjust their bids and ad copy to better target mobile users and improve performance.
Improved customer experience
Finally, AI is changing the way that advertisers can deliver a better customer experience through paid search advertising. By analysing data on user behaviour, AI systems can identify which ads and landing pages are most effective at driving conversions.
For example, an AI system might analyse data on user behaviour on a landing page and identify that users are spending more time on certain sections of the page than others. This information can be used to make changes to the page to better meet user needs and improve conversion rates.
More growth opportunities
AI reduces wasted ad spend through a more targeted approach and improves campaign performance saving time and allowing more opportunities for growth. Rather than being bogged down with maintaining campaigns, PPC automation can free up resources to explore new strategies, audience targeting, ad types, and other marketing platforms. AI and machine learning are incredibly powerful tools that can uncover real-time insights and improve performance beyond what any human team could achieve alone.
AI is having a significant impact on the world of paid search advertising, and these changes are only set to accelerate in the coming years. From smarter targeting and automated bidding to ad optimization and enhanced reporting, AI is changing the way that marketers approach paid search.
As AI-powered technologies continue to develop, it is likely that they will become even more valuable in the world of paid search advertising. By embracing these changes and adapting to the new realities of the market, marketers can stay ahead of the curve and drive better results for their clients and businesses.
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Working in the marketing industry for 5 years now, Cody has evolved from general digital marketing to specialising in SEO with a few years under his belt. Cody has worked as a consultant and in-house with some large brands and small, helping drive organic traffic and visibility to places where it’s needed most. He loves learning and is now expanding his skillset further with coding and advanced technical SEO to help complement his abilities and enthusiasm for Search Engine Optimisation.