The Impact of AI on Paid Search Campaign Performance: How ChatGPT is Changing Search Query Volume

The world of paid search advertising is shifting dramatically, and AI-driven tools like ChatGPT are playing a major role in this transformation. As a company that has spent years analyzing PPC trends, we’ve noticed an emerging question among advertisers: Is AI reducing the number of searches taking place on Google? The answer is complicated, but one thing is clear—AI is reshaping how users seek information, which directly impacts paid search performance.

Impact of AI on Paid Search
AI as a Search Alternative

Think about how you used to search for information. A few years ago, if you needed quick facts or general knowledge, you’d likely head straight to Google. Now, with ChatGPT and other AI assistants, many people can get direct answers without ever making a search query. This shift is particularly noticeable for informational searches—things like “What is PPC?” or “How do Google search results work?”—which means advertisers relying on these broad queries may see a decline in impressions.

Impact on Keyword Search Volume

Some informational search queries are experiencing a decline in volume, likely because users are getting answers from AI chat interfaces instead. However, transactional and high-intent searches (such as “best plumber near me” or “buy Nike running shoes online”) still perform well because users ultimately need to take action. Advertisers may need to shift focus toward these high-value searches.

Changing User Journey and Funnel Dynamics

Here’s where it gets really interesting: AI isn’t just changing what users search for—it’s changing when they search. Instead of starting with broad research queries on Google, many users now begin with an AI chatbot, narrowing down their needs before turning to search engines to finalize decisions. For PPC advertisers, this means adjusting marketing strategies to reach users later in their journey, possibly through remarketing or more precise targeting.

The Role of AI in Refining Search Queries

As people interact more with AI, their search habits evolve. They’re becoming accustomed to asking full questions rather than typing in choppy, keyword-heavy phrases. This means that long-tail, conversational queries (e.g., “What’s the best way to generate sales for my business?”) may become more prevalent. Advertisers should adapt by optimizing for natural-language search patterns and using AI-driven tools to refine keyword strategies.

Effects on Paid Search CPC and Competition

With AI siphoning off some informational search volume, advertisers are doubling down on high-intent keywords. This shift is increasing competition in certain areas, potentially driving up cost-per-click (CPC). As a result, CPCs have spiked as more brands compete for the remaining high-value queries. Smart bidding strategies and automation tools can help manage costs, but advertisers need to be aware of this growing challenge.

AI-Generated Search Demand

Interestingly, AI doesn’t just take away search demand—it can also create it. ChatGPT and similar tools often introduce users to products, services, or concepts they hadn’t considered before, prompting them to perform new searches. For example, a user chatting with an AI about business strategy might be encouraged to search for “best sales tools for small businesses,” driving fresh demand. Advertisers should track emerging trends and capitalize on these AI-generated opportunities.

The Future of Paid Search in an AI-Driven World

So, what’s next? AI is changing the game, but search engines aren’t going anywhere. Instead, they’re evolving. Google, Microsoft, and other platforms are integrating AI into their own search engines, meaning paid search will likely become even more dynamic. Successful advertisers will be those who stay agile—monitoring search trends, refining strategies, and leveraging AI-driven tools to maintain a competitive edge.

At the end of the day, AI isn’t replacing search; it’s reshaping it. For advertisers willing to adapt, this new landscape offers exciting opportunities to reach users in innovative ways. The key is staying ahead of the curve and embracing AI as a tool rather than a threat.