Friday, March 6

🌟 Today’s Highlights:

• Meta is letting rival AI chatbots on WhatsApp in the EU

• Retail and grocery brands are dominating ChatGPT ads

• Imagine affordable SEO that delivers actual results

• 📊 Stat of the Day: ChatGPT sources 83% of its carousel products from Google Shopping via shopping query fan-outs (Source: Search Engine Land)

• 💡 Today’s Insight: New Study: AI Max increases revenue 13% but drives higher CPA

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⚡️ Today’s Headlines ⚡️

🇪🇺 Meta is letting rival AI chatbots on WhatsApp in the EU. The move is a requirement under the EU Commission’s anti-competition laws, despite Meta trying to keep competitors’ AI bots and tools out of the app.

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💬 Retail and grocery brands are dominating ChatGPT ads. It’s now the fourth week of OpenAI running ads in ChatGPT responses and analytics provider SensorTower has identified these promotions as the most prominent ad category shown to ChatGPT users.

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💡 Today’s Insight 💡

New Study: AI Max increases revenue 13% but drives higher CPA

🗞 TL;DR - A new analysis of 250+ ad campaigns found that enabling AI Max for Search can increase revenue and conversions, but often at the cost of efficiency. The study showed a median revenue increase of 13%, while cost-per-acquisition (CPA) rose about 16%, highlighting a trade-off between growth and profitability.

💡 Insight - According to the research, advertisers typically see ~14% more conversions or conversion value when activating AI Max, with even larger gains (up to 27%) for campaigns still relying heavily on exact or phrase-match keywords. However, performance varies widely. ROAS ranged from +42% to –35%, meaning results are highly dependent on account structure and implementation.

AI Max represents a major shift in search advertising. Instead of relying primarily on keyword targeting, it uses automation to match ads based on inferred user intent, dynamically generate ad copy, and automatically select landing pages. This effectively brings Performance Max-style automation into traditional Search campaigns.

So, what can we learn from this data? Expect scale, not efficiency with AI Max campaigns. Start with controlled experiments to understand incremental impact. Audit your search terms aggressively, and prepare for automation-first search.

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