Business

‘Why AI, not algorithms, will define the future of digital marketing’



Artificial Intelligence (AI), not just algorithms, will define the future of digital marketing, according to Olumide Balogun, director, Google West Africa.

Reflecting on the 25th anniversary of Google Ads, Balogun said the world is entering a new era where AI is transforming how people search, discover, and engage with brands online, reshaping the very foundation of advertising.

“For the better part of a century, advertising was built around interruption. Businesses pushed messages on TV, radio, and in magazines, hoping the right person might see or hear their ad. But about 25 years ago, mainstream search changed everything, shifting from interruption to intent,” Balogun noted.

He explained that the pivotal shift, was the birth of a more democratic advertising model, one where people, not companies, initiated the conversation.

With Google Ads, businesses could connect with customers at the exact moment of need, turning curiosity into opportunity. This intent-driven approach, he said, has since powered the growth of e-commerce and digital entrepreneurship across Africa.

Balogun described the early years of Google Ads as a period of rapid innovation, driven by the pursuit of relevance and accountability. “The introduction of the cost-per-click model created a new level of accountability. Advertisers only paid for real engagement, not just impressions. And by 2005, principles like Quality Score and Ad Rank made relevance, not the highest bid, the key determinant of ad performance,” he said.

This evolution expanded the digital ecosystem, from enabling publishers to monetise their content through Google AdSense, to embracing video through YouTube and the mobile revolution that brought millions of new users online.

Today, Balogun said, the digital landscape is shifting once again, this time driven by AI and a new kind of human curiosity. “People are no longer searching with simple keywords. They are asking nuanced, conversational questions, sometimes through voice, sometimes through images,” he observed.

He pointed to Google Lens as a prime example, adding that the visual search tool now processes more than 25 billion image-based searches every month, enabling users to ask questions with their camera.

Similarly, YouTube has evolved from an entertainment platform into a research and discovery hub, powered by creators whose credibility and insights shape purchase decisions. “This is a fundamental behavioural shift. We are moving from text to multi-modal search, visual, conversational, and predictive,” Balogun added.

Read also: AI power shifts from model innovation to infrastructure, capital

Balogun explained that as human curiosity becomes more complex, traditional media planning cannot keep up; the sheer volume and variety of consumer intent require predictive systems, and that is where AI becomes indispensable. “AI has been at the core of our ad ecosystem for over a decade. But now, it is enabling businesses to set goals, upload creative assets, and let the technology match them to moments of intent, wherever they happen,” he said.

This predictive, intent-based approach is already mainstream. According to Balogun, over 80 percent of advertisers globally use at least one AI-powered Google Ads product. “And the impact is clear. Advertisers adopting AI tools see an average of 27 percent more conversions, while those who deeply integrate AI into their marketing report up to 60 percent higher revenue growth than their peers,” he said.

Looking ahead, Balogun said the next frontier of digital marketing lies in agentic capabilities, AI systems that can build, optimize, and run ad campaigns with minimal human effort. “The promise is simple: less effort for better results. These agents won’t just predict which ad works best; they will help design and optimize it in real time,” he said.

Still, Balogun dismissed fears that AI will replace advertising altogether. Instead, he believes it will make it more human, helping brands stay visible and relevant in a world of information overload.

“While agents will help people find things faster, advertising will always be essential for discovery and loyalty. The real power lies in how agents and ads will work together to create a seamless journey from curiosity to conversion,” he explained.

As AI takes centre stage, Balogun said the mission of Google Ads is connecting people to what matters most, in the moment they need it. “The tools will evolve, but the goal stays the same. It is about helping people find helpful answers and helping businesses meet their customers in those exact moments of intent. That is not just the future of digital marketing; that’s the future of connection,” he noted.

Royal Ibeh is a senior journalist with years of experience reporting on Nigeria’s technology and health sectors. She currently covers the Technology and Health beats for BusinessDay newspaper, where she writes in-depth stories on digital innovation, telecom infrastructure, healthcare systems, and public health policies.



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