TLDR Tech / Marketing
The Brand Tax: How Google Profits From Demand You Already Own
Paid search often overstates performance by taking credit for existing branded demand. An analysis of 99 billion sessions revealed a 30% rise in ad costs, a 9.4% increase in cost-per-visit, and a 5.1% drop in conversion rates. Paid search bounce rates were 59%, and paid social hit 65%. Branded campaigns showed a 1,299% ROAS compared to 68% for non-branded, but branded keywords rarely generate new revenue, with most conversions from repeat visitors. Paid channels attract low-quality traffic that quickly bounces. As search evolves with AI answers, investing in brand visibility and AI SEO can reduce wasted spending and boost overall returns.
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