- Google has been dethroned as the preferred platform among Gen Z when trying to find local businesses to shop in-person, replaced by Instagram (67%) and TikTok (62%), according to a report from marketing platform SOCi shared with Marketing Dive.
- Google, which ranks third (61%) as Gen Z’s preferred local search engine, still maintains a stronghold among older generations, though social media is gaining share across the board as a resource for those looking for out local businesses, per the report.
- As social poses a stronger threat to Google’s core service, the report also called out the rise of ChatGPT as one other potential threat. The findings come as Google rolls out updates to its search service, including the recent integration of its Gemini artificial intelligence (AI) model to Google Ads.
The recent findings from SOCi nod to what many have long suspected: that Google’s dominance in search could also be under threat. Though search remained the corporate’s largest segment in Q4, up 12.7% year-over-year to $48 billion, the most recent findings echo other reports — including leaked internal research from Google — indicating that Gen Z users are increasingly looking to social for search.
“A seismic shift is reshaping how consumers find local businesses,” said Damian Rollison, director of market insights at SOCi. “The old guard of search engines is being challenged as younger shoppers turn to Instagram and TikTok for search and discovery. For businesses, a sturdy presence on these platforms isn’t just helpful – it’s critical to winning market share with younger consumers.”
Social media can also be rising as a tool for search beyond Gen Z, which SOCi categorizes as those aged 18-24. While Google Search and Google Maps hold the highest two spots when trying to find local businesses across all demographics groups, Facebook falls in the third spot, followed by Instagram, TikTok and Snapchat. More specifically, Facebook holds sway as a local search platform among nearly two-thirds of consumers aged 35-44 and 60% of those 25-34, while Instagram appealed to 50% and 54% of those groups, respectively.
The report also called out disruptors, like ChatGPT, as one other threat to Google, with the buzzy generative AI tech continuing to make waves across adland and beyond. Still, Google concurrently has been betting by itself Gemini AI solution. In January, the corporate began rolling out a conversational experience powered by Gemini in Google Ads, with early tests of the tool indicating that advertisers have built higher quality search campaigns with less effort, in turn boosting Ad Strength scores that measure traits like relevance and quality. However, Gemini has faced its own issues with misinformation that other generative AI tools have experienced.
More recently, Google announced it will improve the standard of its search results with recent algorithmic enhancements to improve quality rankings and improved spam policies to weed out low-quality content. According to Google, its recent changes will help reduce low-quality, unoriginal content in search results by 40%.
Google still remained the highest local search destination among older demographics, holding the loyalty of 79% of the 55-64 age group, 76% of the 35-44 bracket, and 74% of those aged 45-54. In addition, Google Maps is a go-to for 60% of consumers aged 55-64 and 57% of the 45-54 demographic. For its report, SOCi polled over 1,000 consumers in the U.S. The latest findings from SOCi are a part of its 2024 Consumer Behavior Index, which explores how consumers interact with local businesses online and offline.
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