What's New in NZ Digital Marketing This Week

There's always plenty happening in the world of Digital Marketing. Here are some of the stories that caught our eye this week:

Google Launches AI Overviews in New Zealand

Through often-gritted teeth, we marketers have put up with the fact that Google has done its best in recent years to offer zero-click searches, by providing answers to searchers' questions in the form of Featured Snippets at the top of search results. A cottage industry has blossomed, as marketers attempt to understand the sorts of answers that will get their content into Featured Snippets and thereby end up at the top of the search results.

Well, the game just changed. At the end of October, Google launched AI Overviews in New Zealand, providing AI-generated answers to at least some of the questions that searchers ask. And yes, AI Overviews answers appear at the top of search results, supplanting Featured Snippets and even sponsored search ads, as this example shows.

We can't exactly blame Google. The barbarians are already inside their gates, in the form of AI-powered search engines such as Perplexity.ai and the just-released SearchGPT (see below).

To do nothing was not an option, early adopters have begun moving away from Google to their AI search engine of choice. Google had to follow or risk losing significant chunks of market share.

The new challenge for marketers: to calculate how to become one of the sources that Google's AI uses (and cites) to respond to search queries.

If you'd like to know more about the evolving role of AI in search, check out our two courses, AI for Marketers and NZ Digital Marketing Essentials 2025, both of which cover the topic in detail.

SearchGPT Challenges Google's Search Dominance

OpenAI has now officially launched SearchGPT, a game-changing search feature now available to ChatGPT paid subscribers that could disrupt Google's 90% market share dominance[1].

The new capability provides conversational, ad-free search results with clear source attribution, offering users a refreshingly different search experience compared to traditional link-based results[1].

With 200 million weekly active users and adoption by 92% of Fortune 500 companies, OpenAI is well-positioned to challenge the search status quo[1]. Industry experts suggest this could mark a significant shift in how people find information online, though OpenAI will need to overcome Google's 26-year head start in search expertise[1].

Again, if you'd like to know more about the evolving role of AI in search, check out our two courses, AI for Marketers and NZ Digital Marketing Essentials 2025

CMOs Face Growing Challenges with Expanding Responsibilities

Marketing leaders are struggling to keep pace with their expanding responsibilities, with only 27% feeling adequately equipped to handle their broadening mandate[2]. While brand building remains the top priority for 87% of CMOs, significant gaps exist between importance and execution capability across various marketing functions[2].

A new McKinsey study reveals key barriers including:

• internal silos (36%)
• insufficient budgets (34%); and
• talent shortages (32%)[2].

The rise of retail media, generative AI, and shifting consumer behaviours has dramatically expanded CMO responsibilities, with many now overseeing everything from pricing strategies to AI implementation[2].

Our NZ Digital Marketing Essentials 2025 course can help overwhelmed CMOs, at least in part.

AI Transformation Reshaping Marketing Departments

The marketing industry is experiencing unprecedented change due to AI adoption, with 98% of marketers already using AI in some capacity[3]. According to the AI Marketing Institute, 64% of marketers consider AI critical for success in the next year, while 77% seek to use it for reducing repetitive tasks[3].

To successfully navigate this transformation, organizations need to establish AI councils, ensure workforce AI literacy, develop comprehensive implementation plans, and maintain a proactive stance toward AI advancement[3]. The focus should be on combining human expertise with AI capabilities rather than viewing it as a replacement technology[3].

For more helpful advice on coping with AI in marketing, see our AI for Marketers course.

The Battle for AI Agent Dominance Heats Up

A fierce competition is unfolding between Salesforce and Microsoft in the rapidly growing AI agents market, expected to reach $47.1 billion by 2030[4]. Salesforce CEO Marc Benioff has publicly criticized Microsoft's Copilot and LLMs, positioning his company's AgentForce as the superior solution for enterprise AI needs[4].

Microsoft has responded by introducing autonomous agents within Copilot Studio and launching 10 new agents in Dynamics 365[4]. With 60% of Fortune 500 companies already using Microsoft 365 Copilot, the stage is set for an intense battle for market dominance in the AI agent space[4].

AI Revolutionizes Audience Understanding and Measurement

Traditional marketing measurement tools are failing to keep pace with modern marketing needs, with only 36% of marketing leaders satisfied with their current creative content measurement capabilities[5].

The lack of real-time data has become a critical challenge, with 58% of marketers citing it as a major obstacle in adapting creative strategies[5].

AI-driven solutions offer real-time insights and more accurate audience engagement data, enabling more responsive and effective campaigns[5]. Despite 89% of marketers acknowledging AI's importance, organizational resistance and implementation challenges continue to slow adoption rates[5].

Need help with AI for marketing? Start here: AI for Marketers

Citations:

[1] https://www.entrepreneur.com/business-news/google-microsoft-should-be-worried-about-searchgpt-experts/482251

[2] https://www.marketingdive.com/news/mckinsey-cmo-strategy-generative-AI-pricing-performance-marketing/731340/

[3] https://www.fastcompany.com/91219479/the-future-marketing-department-is-ai-forward

[4] https://hackernoon.com/why-salesforce-and-microsoft-are-battling-for-the-future-of-ai-agents

[5] https://searchengineland.com/your-audience-isnt-who-you-think-ai-knows-better-447739

[6] https://www.internationalaccountingbulletin.com/news/ey-launches-competitive-edge-platform/