We look a little different. Here’s Why
Search as we know it is undergoing a transformation. The search habits of younger audiences differ greatly from older generations. Gen Z is more likely than any other generation to turn to alternative sources like social media to begin their search process. According to a recent study by Forbes, 57% of people said they search for information on YouTube the same way they would on Google. Generative AI is changing the way people search through new outlets such as Perplexity and Chat GPT. Retail giants like Amazon are getting the product searches first. What does this mean for the future of paid search as we know it, and what can marketers do to stay part of the consideration set in the moment of need?
Traditional search engine usage is declining, especially among younger demographics who are mobile-first. They are turning to alternative sources like social media to find information. In fact, 46% of Generation Z and 35% of millennials prefer social media over traditional search engines. These numbers could skew even higher depending on the content topics where more engaging visual content is preferred, for example: fashion, makeup tutorials, cooking, etc.
While there are other elements that shape adoption, socioeconomics for instance, historically we have seen older generations adopt technology and digital habits initiated by younger generations. For example, after gaining popularity among younger users, we saw increased use among older adults on social media platforms, smartphone adoption, and streaming video platforms. That being said, the shift to search engine alternatives is not going away and is likely to experience similar cross-generational adoption.
Generative AI is transforming search behavior by making it more natural, intuitive, and efficient. Generative AI is based on natural language processing models, so instead of traditional search using keyword-based queries, searchers can ask questions in a more human, conversational manner. With the integration of chatbots and virtual assistants, the technology allows users to have back-and-forth conversations with AI to refine their queries and get more precise answers to their questions. Generative AI can generate different types of content based on user prompts including images, texts, and video, ensuring users can find the information they are looking for faster and in the format they prefer. And AI can analyze past interactions and user behavior to deliver highly personalized results, including predictive search.
According to a recent study cited by eMarketer, more than half (56%) of US consumers start their shopping searches on Amazon, compared to 42% on search engines and 29% on Walmart.com. This is perhaps no surprise as sites like Amazon offer robust user experience from the initial research, comparisons, reviews, and purchase all in one platform. It is also worth noting that social media sites are emerging as sites where younger cohorts are beginning their shopping journeys. Shoppable ads allow advertisers to take consumers from awareness to purchase all within a single ad format, again streamlining that customer experience.
Google remains the top destination for search, however, we are experiencing a shift in consumer behavior as new technologies emerge and younger cohorts adapt. History has shown we’ll continue to see cross-generational adoption as technology advances. It is imperative that marketers stay vigilant and analyze data to understand the changing behaviors of their target audience. An agile marketing approach is key to being able to make strategic shifts as necessary.
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