Last updated: Brace for impact: How generative AI search could hurt lead generation for brands

Brace for impact: How generative AI search could hurt lead generation for brands

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For years now, organic search has been a core part of the marketing playbook for generating website traffic, leads, and sales – but generative AI could be on the verge of upending all that.

Today, about half (53.3%) of all website traffic comes from organic search, according to Search Engine Land. Gartner predicts that by 2028, brands will see organic traffic decrease by 50% or more as consumers lean into using generative AI search.

The drop will probably happen even faster than that, says Nicole Leffer, an independent CMO AI advisor.

“If you look at the early generative AI adopters and how fast their behavior is changing, it’s absolutely insane,” she says. “You show them something like ChatGPT or Perplexity.ai, and they never use Google again, or at least not like they used to.”

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Generative AI’s impact on SEO + customer engagement

It’s been a rough couple of years for those working in or depending on organic SEO. First, TikTok overtook Google as the search engine of choice for up and coming buyers. Now AI is looking to completely change how we learn and engage via the internet.

What makes generative AI chatbots so powerful is that customers can ask them to make purchase suggestions based on whatever criteria they have in mind, such as product features, user ratings, pricing, and location.

This allows shoppers to ignore all the pop-up ads, promos, and other tactics marketers often use to lure people to websites.

Theoretically, Generative AI could also make search engine optimization (SEO) strategies less effective for brands by producing content tailored to a user’s needs at scale.

In other words, if online shoppers have the ability to conduct most of their product research with generative AI tools, they’re less likely to see or respond to keywords marketers use to appeal to them.

“As people increasingly rely on AI chatbots for their shopping needs, the direct engagement that brands have traditionally cultivated through their websites is at risk,” says Neil Sahota, an AI advisor to the United Nations and CEO of ACSILabs, an AI think tank.

“This will challenge marketers to innovate or face declining visibility in the digital marketplace,” he adds.

4 ways to brace for gen AI impact

Overcoming the negative impact of generative AI on organic website traffic won’t be easy. But marketers can take control by knowing the challenges and developing a strategy for this massive change.

Here are four approaches:

  1. Embrace AI optimization. Just as marketers got SEO down to a science, they need to think about influencing systems of intelligence, like AI chatbots, to produce results favoring their brands, Leffer says. Working with their technology partners, CMOs should fine-tune their own AI algorithms and models to improve performance, accuracy and efficiency. They also should try to sway the training of the large language models (LLMs) powering generative AI chatbots. One way to do that: Invest more in PR and blogs, since AI chatbots are trained on published articles, Leffer suggests.
  2. Partner with generative AI platforms. Personal AI assistants – armed with comprehensive data of user preferences, habits, and purchasing histories – will act as gatekeepers to their attention and wallets, Sahota says. He recommends that companies work with generative AI vendors to represent their brands in chatbot results.
  3. Personalize content for AI. Sahota predicts customer journeys of the future will become more seamless and integrated, with AI assistants handling everything from product discovery to post-purchase feedback. Marketers will need to “design experiences that are not only appealing to humans, but also to the AI algorithms that represent them. This includes creating content and interactions that are easily interpreted and valued by AI, ensuring that the brand’s message is effectively communicated through this new medium,” he adds.
  4. Fight fire with fire. While gen AI could undermine online lead generation opportunities, the technology also can also help find potential customers. For example, marketers can integrate it into lead scoring systems to help identify and prioritize the best leads. Similarly, AI analytics tools can help understand consumer behavior to help craft campaigns that are personalized and predictive, anticipating customer needs, says Sahota.
  5. Don’t go it alone. Because AI is evolving so rapidly, it’ll be tough for the average marketer to stay current on best practices for dealing with the technology. That’s why it’s vital to form or join marketing communities to experience this change together and share the latest ideas for taking advantage of it, Leffler says.

Maximize the potential of generative AI search

Generative AI is set to transform how marketers attract and engage customers. To what degree that will happen is impossible to know. However, by planning for this transformation now, marketers can minimize damage to their programs while maximizing long-term growth and success.

“The key for marketers is to remain adaptable, continually learning and evolving alongside AI technologies,” Sahota says. “By doing so, they can navigate this uncharted territory with confidence, creating marketing strategies that not only reach but truly resonate with both humans and their AI assistants.”

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