Brands adjust marketing as shoppers use AI chatbots instead of search

In short: People are increasingly using AI chatbots to find and choose products, and brands are changing their marketing to match.

What's going on

For years, most online shopping started with a search engine. You typed a question, then clicked through a list of links.

Now more people are asking AI chatbots and AI search tools for answers. These tools can reply in full sentences and may also suggest products, compare options, and even help complete a purchase. This is a shift from giving you links to giving you a single recommended answer.

Marketing leaders quoted by the Financial Times say this changes what it means to be “discoverable” online. David Jones, chief executive of Brandtech, said more people are using large language models, or LLMs (AI systems that learn patterns from huge amounts of text), for brand and search choices. Daniel Hulme, chief AI officer of WPP, said brands may need to shape what AI systems “know and think” about them, not just try to rank highly on search pages.

Some agencies are treating AI systems like a new kind of shopper that gathers information for people. James Denton Clark of Stagwell said an influencer video on TikTok or a how-to video on YouTube can matter as much to an AI model as a brand’s homepage does.

What to watch

Expect brands to spend more effort on the content AI tools might “read” when forming answers, like videos, reviews, forums, and trusted news coverage. There is also a risk: AI tools may check for supporting evidence, so brands that exaggerate claims, such as sustainability promises, could be challenged more quickly.

Source: Financial Times