Original Post: December 30, 2024
As we hurtle towards the end of 2025, it’s time to look back at our crystal ball from the start of the year. Did AI take over our ad accounts? Did Bluesky finally go mainstream? Here is our “Report Card” on seven big predictions we made for the year.
1. Google Search: The Death of Phrase Match & Rise of “Themes”
Score: 8/10
The Verdict: IMHO, we were right on the money regarding the push toward automation. While Google didn’t “officially” end phrase match keywords, but they updated the definition so significantly that it now functions almost identically to Broad Match. Also, Google’s “Search AI Max” feature expands what each campaign is eligible to show for far wider than what we’re used to from exact and phrase match keywords.
Results we’ve seen have varied but are mostly promising from this feature. We’ll be watching this space carefully in 2026, and our money is still on the continual dilution of keywords and their use in Search campaigns with a move to search “signals”
2. The Rise of Ads Within AI Answer Platforms
We billed this as one of our most exciting predictions. So, how did we do?
ChatGPT’s Search features may begin to challenge some of Google’s share of search more in 2025.
Score: 6/10
The Verdict: OpenAI officially launched “SearchGPT” and started testing sponsored citations (not in NZ yet!). However, they did not launch any advertising options. In fact, they may have delayed it while scrambling to catch up to Google’s Gemini 3 model later this year.
While it hasn’t completely stolen Google’s traditional Search advertising crown yet, the conversational ad model is here. It’s still in its “early adopter” phase, but for niche industries, it’s becoming a viable traffic source.
3. SEO in Flux: Preparing for New Challenges
Score: 9/10
The Verdict: This was arguably the biggest shift of the year. With Google’s “AI Overviews” (SGE) becoming the default, organic click-through rates for informational queries plummeted. Success in 2025 became about “Answer Engine Optimisation” (AEO) and adapting traditional SEO activities to begin ranking in AI answers.
This is the new reality, and we’re here for more of the ride in 2026.
4. Social Media: AI, Personalisation, and Bluesky’s Rise
We see Meta and other platforms leaning heavily into AI over the next 12 months.
Score: 5/10
The Verdict: Meta went all-in on Llama-powered creative tools. They made “AI-generated backgrounds” a standard feature in Ads Manager. They also generated a swathe of AI-generated images and text for every ad. Just quietly, we’re not fans of much of it, however we are aware of Meta’s Andromeda ad system update which feeds on multiple versions of creative to optimise performance. It’s going to be an interesting next 12 months as these features become the standard MO on running and optimising Meta Ads.
As for Bluesky, it saw a massive surge in late 2024/early 2025, but it definitely didn’t “kill” X (Twitter). However, it seems to have successfully carved out a high-value niche for journalists and some tech-savvy NZ audiences for now.
5. Connected TV (CTV) and Shoppable Content
Score: 9/10
The Verdict: Spot on. If you watched TV in NZ this year, you likely saw a QR code on a TVNZ+ or ThreeNow ad, or the common “shop” button overlaid on YouTube videos. The integration of “Scan to Buy” has turned the living room into a direct conversion funnel, especially for FMCG brands.
Got a new Smart TV in the Boxing Day sales? It’s likely to begin showing more targeted ads to you and your household in 2025.
7. The Future of One-Click Advertising
Score: 4/10
The Verdict: Google’s “instant” campaign setups (AI-generated from a URL) are possible, and maybe in use by mostly small businesses. Many seasoned professionals (like us!) still prefer manual control for better returns. Yet the “One-Click” reality has made it easier to start. This often comes at the cost of precision and quality of ad creative. Our advice: use with extreme caution, and only if you mostly know what you’re doing. In other cases; talk to us!
8. The Continued Growth of Digital-Out-Of Home Advertising (“DOOH”)
We’re likely to see a lot more locally-based and relevant business advertising on digital billboards in the years ahead.
Score: 10/10
Score: 10/10 The Verdict: We were on the money with this prediction. DOOH experienced huge growth in New Zealand this year and looks to continue this into 2026, with digital billboards becoming a crucial part of more digital campaigns. The ability for local businesses to buy prominent slots on digital billboards in their neighbourhoods means there is more growth potential. This is possible thanks to new technology and buying platforms to fit their budgets. It’s democratised outdoor advertising in a way we’ve never seen before, and this is only likely to continue improving in the next few years.
Final Thoughts
I think we were reasonably on the mark with our predictions for 2025. It definitely seemed to be the year when A.I. exploded into everyday use across a range of industries, and especially for us in the ad-space, and we think that played out in our predictions 12 months ago.
Stay tuned for the follow up to this ranking – our 2026 predictions article, coming soon.
How did your 2025 strategy hold up? If you’re ready to start planning for 2026, get in touch with the team today.
