AI-Powered Search Engine Marketing: Preparing for the Future

The emergence of conversational chatbots powered by AI is set to transform Search Engine Marketing (SEM). OpenAI, Google, and Microsoft have teased the future inclusion of advertising in their AI-driven results, making marketers wonder when and how to adapt. As ChatGPT, Bard and AI-enhanced Bing have rolled out to the public, the question on every marketer’s mind has been, “When can we advertise in these results?

Search Engine Marketing (SEM): What You Need to Know

Search Engine Marketing (SEM) is a powerful marketing strategy focused on promoting a website through search engine result pages. By securing a high position in search results, SEM aims to generate more traffic and acquire new customers. It often works hand in hand with Search Engine Optimization (SEO), but the two have distinct roles. While SEO is associated with organic promotion, SEM is primarily linked to paid advertising, such as Pay-Per-Click (PPC) ads.

Why SEM Matters

The importance of SEM lies in its ability to help businesses achieve top positions in search engine results, including Google and Bing. Research shows that over 71% of clicks occur on the first page of search results, making it a highly valuable space for businesses. SEM’s significance is reinforced by its consistent growth. While organic search click-through rates declined by 13% in the first quarter of 2019, SEM experienced a remarkable 75% increase during the same period.

SEM boasts several benefits that make it an essential traffic generation and customer acquisition channel:

• Higher Conversion Rates: SEM targets potential customers with relevant keywords, resulting in a higher likelihood of conversions. Visitors from paid ads are twice as likely to make a purchase compared to those from organic links.
• Better Brand Awareness: SEM not only converts existing audiences but also enhances brand awareness. Ads can expose users to your brand even if they don’t click, increasing recognition.
• Immediate Results: Unlike SEO, which can take months to yield results, paid ads appear instantly. SEM enables businesses to reach their target audience immediately.
• Consistent Traffic: While SEM campaigns are active, they continuously drive traffic to your website. When ads are paused, 89% of this traffic is not replaced by organic clicks, making SEM’s impact consistent.

Given these advantages, SEM is a compelling strategy that businesses should not overlook.

How SEM Works

From a searcher’s perspective, SEM displays results with “ad” or “sponsored” labels at the top of search results. For marketers, SEM involves using platforms like Google Ads and Bing Ads. Marketers select the network, set up campaigns, and choose keywords related to their promotion. These keywords help target the intended audience. Additional criteria, such as location, age, gender, device, or time of day, can further refine the campaign.

SEM platforms employ an Ad Auction system to determine when and where ads appear. Your ad’s placement on the search engine results page depends on the maximum amount you’re willing to pay per click and your overall rating on the platform.

SEM offers various visual formats for ads in search results, each tailored to specific marketing objectives and audience engagement. Understanding these formats and their applications can help businesses make the most of SEM.

Strategies for preparing for this AI-driven future

1. Prioritize Quality over Quantity

With AI-driven search results, quality content is crucial. Invest in high-quality creative assets for your website to increase the chances of being selected as a reliable source by Language Model Models (LLMs). The goal is to provide a helpful and reliable search experience.

2. Context Matters

Ensure that the AI chatbots have sufficient contextual information about your products or expertise to provide relevant answers to searchers. Like regular SEM, it’s essential to understand the context and language your target audience uses when phrasing queries.

3. Align Goals

Define your campaign goals clearly so that AI chatbots can identify searchers whose needs align with your objectives. Set up enhanced conversions and value-based conversion bidding to provide rich data for automated bidding.

4. Experiment with Conversational Copywriting

Google’s conversational copywriting feature isn’t widely available yet, but you can apply for early access through select agencies. Experiment with AI tools to understand how to better communicate with your target audience.

5. Utilize Brand Plug-Ins

ChatGPT’s brand plug-ins can be invaluable for providing efficient and accurate answers to users. These plug-ins allow AI chatbots to access detailed information directly from your brand’s knowledge base. While OpenAI works on UX and data security, explore existing plug-ins for inspiration.

6. Prepare Your Team

Align your internal team and clients on a brand-safe approach to generative AI SEM. Create a culture of experimentation where everyone feels comfortable testing and learning from mistakes. Educate clients and colleagues on the reasoning behind your strategy adjustments.

7. Keep Quality and Relevance at the Forefront

Paid media should seamlessly integrate into the conversational experience. Focus on maintaining quality, relevance, and staying updated with the evolving landscape of AI search tools.

As AI-powered chatbots become more integrated into SEM, marketers who prioritize quality, context, and alignment with goals will be well-prepared for the future of AI-driven search engine marketing.

FAQ: AI-Driven Search Engine Marketing

What is AI-driven search engine marketing (SEM)?

AI-driven SEM is the use of artificial intelligence (AI) to improve the performance of search engine marketing campaigns. AI can be used to automate tasks, optimize campaigns, and gain insights into customer behavior.

What are the benefits of using AI in SEM?

There are a number of benefits to using AI in SEM, including:

• Increased efficiency: AI can automate many of the tasks involved in SEM, such as keyword research, ad creation, and campaign bidding. This can free up your team to focus on more strategic tasks.
• Improved performance: AI can help you to optimize your SEM campaigns for better results. For example, AI can help you to target the right keywords, create more effective ads, and set optimal bids.
• Deeper insights: AI can help you to gain deeper insights into customer behavior. This information can be used to improve your SEM campaigns and create more effective marketing campaigns overall.

What are some examples of AI-driven SEM tools?

There are a number of different AI-driven SEM tools available, including:

• Google Ads Smart Bidding: Google Ads Smart Bidding uses AI to automatically set bids for your ads. This can help you to improve the performance of your campaigns and get more conversions.
• Bing Ads Performance Max: Bing Ads Performance Max is a similar tool to Google Ads Smart Bidding. It uses AI to automatically set bids and choose the best ad formats for your campaigns.
• Semrush: Semrush is an all-in-one SEO and SEM tool that offers a number of AI-powered features, such as keyword research, ad optimization, and competitive analysis.
• SpyFu: SpyFu is another all-in-one SEO and SEM tool that offers a number of AI-powered features, such as keyword research, ad optimization, and competitor research.

How can I get started with AI-driven SEM?

If you are interested in getting started with AI-driven SEM, there are a few things you can do:

1. Choose the right tools: There are a number of different AI-driven SEM tools available. Choose the tools that are right for your needs and budget.
2. Learn how to use the tools: Once you have chosen your tools, learn how to use them effectively. Most tools offer training resources and support.
3. Start small: Don’t try to automate everything right away. Start by automating a few tasks or optimizing a few campaigns. Once you are comfortable with the results, you can start to automate more and more.
4. Monitor your results: It is important to monitor the results of your AI-driven SEM campaigns. This will help you to identify what is working well and what needs to be improved.