AI & Automation
How Much of Your Marketing Budget Should You Invest in AI Search in 2027?
Emma Frewin, ExtraDigital’s Commercial Director, explains how to budget for AI search without duplicating SEO costs or weakening channels that deliver revenue.
By Emma Frewin
For most businesses planning their AI search marketing budget for 2027, I would start by directing 5–10% of the overall digital marketing budget towards AI search visibility and measurement. That includes relevant work already funded through SEO, content and digital PR; it does not automatically mean adding another 5–10% to your spending.
This is my strategic recommendation, not an established industry benchmark. I would protect channels delivering profitable enquiries, establish an AI visibility baseline and then decide how much additional investment is justified. The right allocation depends on your sector, existing organic visibility, competition, commercial objectives and available budget.
As Commercial Director at ExtraDigital, my starting question is not whether AI search is fashionable. It is whether being absent from the places customers form their shortlist could cost your business opportunities.
How much budget would I allocate to AI search in 2027?
A 5–10% starting allocation gives AI search a defined place in the plan without asking the business to bet its pipeline on a channel whose commercial contribution is still difficult to isolate. I mean the full digital marketing budget: media spend, agency support, content, tools and delivery costs, using a consistent definition across your plan.
Start with the business, not the percentage
A specialist B2B business selling a considered, high-value service may have good reason to prioritise comparison and supplier-selection questions. A local business whose enquiries mostly come from maps, recommendations and high-intent paid search might begin with a smaller test. Neither should adopt a percentage simply because another company has.
I would also look at readiness. A business with strong commercial pages and credible evidence can focus on visibility gaps. One with inaccessible pages, unclear services or weak tracking needs to fix those foundations first. Where budgets are tight, fund a manageable baseline and a few priority improvements rather than spreading a token amount across everything.
Reallocate existing SEO spend before adding more
A generative engine optimisation budget should not become a second invoice for work your SEO programme already covers. Technical fixes, clearer service pages, expert content and useful third-party coverage can support both conventional search and AI discovery.
Review the scope of your existing SEO investment. Could low-value articles be replaced by stronger buying guides? Could reporting include relevant AI prompts? Additional funding makes sense when there is a specific capability or delivery gap, not simply because the same work has acquired a new label.
Why AI search deserves a place in 2027 marketing budgets
Customers can now ask ChatGPT or Perplexity to compare providers, use Google AI Overviews to understand their options, and continue that research across other AI-driven discovery experiences. Those answers may influence a shortlist before anyone visits your website.
That does not mean Google rankings have stopped mattering. It means rankings alone cannot tell you whether your business appears when buyers ask questions elsewhere, whether the description is accurate or whether competitors are being recommended instead.
For marketing directors, the budget question is therefore broader than traffic. Are you present in the discovery experiences relevant to your customers, and are you giving those customers a credible reason to consider you? Our earlier guide to how changing search should influence marketing budgets explores that wider channel balance.
Where I would actually spend the money
Technical SEO and content accessibility
Check that priority pages are accessible, indexable where appropriate and understandable without fragile page features. Review navigation, internal links and accurate structured data. Google’s guidance on AI search features reinforces the importance of established SEO practices rather than a separate technical shortcut.
This is maintenance and improvement, not a guarantee of AI citations. An accessible website gives your content a chance to be used; it does not control what an answer engine selects.
Authoritative content that answers buying questions
I would prioritise questions prospects ask before choosing a supplier: suitability, costs, trade-offs, implementation and evidence of delivery. Useful answers need input from people who understand the service, not just a longer list of keywords.
Clear comparisons, genuine case studies and specific explanations of your approach are more valuable than a large volume of generic articles. Content should help a potential customer decide, whether they read it on your website or encounter a summary elsewhere.
Trusted third-party mentions and brand authority
Allocate effort to relevant industry coverage, expert contributions, accurate business profiles and genuine customer reviews. Digital PR should earn attention in places your buyers trust. Buying irrelevant mentions just to increase an AI visibility score is not a commercial strategy.
Improving content that already performs
Before commissioning new pages, review those already producing qualified enquiries. Update unclear explanations, add substantiated evidence and answer the questions sales teams repeatedly hear. Keep the elements that convert; do not rewrite a successful page merely to insert GEO terminology.
Measurement and competitor presence
A focused AI visibility strategy needs a relevant prompt set, a baseline and regular review. Otherwise you cannot distinguish a genuine gap from a one-off answer, or decide whether more spending is warranted.
SEO vs GEO budget: where the work overlaps
GEO means generative engine optimisation: improving how your business can be understood and represented in AI-generated answers. Much of the delivery overlaps with SEO. The table below is a scope check, not a reason to pay for every activity twice.
| Investment | Existing SEO overlap | AI search focus |
|---|---|---|
| Technical health | Access, indexing and site structure | Check priority content can be retrieved and understood |
| Expert content | Useful, search-led commercial pages | Clear answers to relevant buyer questions |
| Content improvements | Refresh high-performing pages | Strengthen evidence and remove ambiguity |
| Digital PR and reputation | Relevant coverage and authority | Consistent, credible third-party descriptions |
| Measurement | Search performance, enquiries and revenue | Track selected prompts, brand presence and competitors |
When comparing AI search optimisation costs, ask what is included, what you already fund and what decisions the reporting will support. A clear scope is more useful than a low headline price for an undefined GEO package.
An illustrative £10,000 monthly digital marketing budget
This is an illustrative planning example, not a client budget, price quotation or recommended split for every business. Assume a business has profitable paid campaigns and an established SEO programme. All figures use the same cost basis and exclude VAT.
| Activity | Monthly allocation | Share |
|---|---|---|
| Paid search: media and management | £4,000 | 40% |
| SEO and content: core programme | £2,500 | 25% |
| Paid social: media and management | £1,500 | 15% |
| AI-focused work and visibility measurement | £750 | 7.5% |
| Conversion improvements and analytics | £750 | 7.5% |
| Email and customer retention | £500 | 5% |
| Total | £10,000 | 100% |
The £750 AI allocation is ring-fenced delivery and measurement, not an extra charge for the £2,500 core SEO programme. Shared work is charged once. If £250 of that core programme also addresses agreed AI priorities, the total AI-directed effort is £1,000, or 10%, while cash spending remains £10,000.
That distinction matters when presenting the plan to finance. Show both the cash allocation and the shared work supporting AI visibility, without double-counting expenditure. Adjust the split around actual channel performance, not this example.
Measuring AI search performance before increasing investment
ExtraDigital has tested numerous AI search visibility platforms and selected one that is already providing significant value to clients. Its value is in making visibility easier to monitor and turning observations into priorities; that is not the same as claiming a proven revenue return from every AI mention.
The platform helps us monitor brand visibility across relevant prompts, compare competitor presence and follow changes in AI search presence. We do not need to name the software provider for clients to understand the decisions that measurement supports.
Establish a useful baseline
Start with questions your potential customers actually ask, including supplier comparisons and service suitability. Specify the market, language and platforms, record brand mentions, citations and accuracy, and repeat checks consistently. Review the prompt set with sales so it reflects real buying conversations rather than convenient questions that already mention your name.
Results vary with wording, timing, model changes and context. A visibility platform samples selected answers; it does not reveal every conversation or every buyer’s experience. Compare trends within a consistent method rather than treating one screenshot as your market position.
Connect visibility to commercial signals carefully
Alongside visibility, monitor identifiable AI referrals, qualified enquiries, opportunities and revenue through your analytics and tracking. Ask prospects how they found you, while recognising that self-reported answers are imperfect.
Some people encounter a recommendation and later arrive through branded search or direct traffic. Others never click. You will not attribute every sale to an AI answer, and a mention is not a lead. Use visibility as a diagnostic measure, with commercial data as a separate check on whether the wider programme is helping the business.
What I would not do
- Move substantial budget away from proven revenue. Protect profitable PPC and paid social while testing a new opportunity.
- Treat GEO as an entirely separate discipline. Integrate it with SEO, content, reputation and conversion work.
- Chase mentions without relevance. Being named in answers your customers never use is not a meaningful result.
- Invest heavily before measuring. Agree the baseline, scope and review criteria before increasing spend.
My recommendation for businesses planning 2027
Start testing and measuring AI search now, but invest proportionately. Use 5–10% as a starting planning range, including relevant work already funded, then challenge that allocation against your own commercial priorities.
Before approving additional spending, review the existing marketing investment. Identify overlap, protect what works and fund specific gaps. Set an initial quarterly review to assess delivery, visibility trends and commercial signals; it is a decision point, not a promise of results within three months.
My recommendation is to make AI search part of a better search strategy, not an expensive replacement for one. The aim is not simply to appear in more answers. It is to be considered by the right customers and turn that consideration into profitable business.
Frequently asked questions
How much should a business spend on AI search in 2027?
Emma Frewin, Commercial Director at ExtraDigital, recommends starting with 5–10% of the overall digital marketing budget directed towards AI visibility and measurement, including relevant existing SEO work. This is strategic guidance, not an industry benchmark; the right amount depends on commercial priorities and readiness.
Does an AI search budget need to be additional to SEO spending?
Not necessarily. Technical SEO, expert content and relevant third-party coverage can support both traditional search and AI discovery. ExtraDigital recommends reviewing the existing scope first, charging shared work once and adding funding only for specific gaps.
How can businesses measure the return from AI search investment?
Track relevant prompt visibility and competitor presence alongside identifiable AI referrals, qualified enquiries and revenue. Attribution is incomplete, so a mention should not be treated as a sale. ExtraDigital uses visibility monitoring to establish a baseline and guide decisions, not to claim every commercial outcome came from AI search.
More from insights
AI & Automation
7 things a UK AI SEO agency must do to get you found in 2026
Choosing a UK AI SEO agency? Here are 7 non-negotiable capabilities to look for, from schema markup to AI citation tracking and revenue reporting.
Gabija Pesinaite ·
AI & Automation
UK SEO agencies for the AI era: a buyer’s guide for 2026
AI Overviews are changing how people find businesses. Use this buyer's guide to evaluate UK SEO agencies on AI-aware methodology, measurement and commercial impact.
Rachel Cornish ·
AI & Automation
AI in paid media bidding and optimisation
Understand how AI drives paid media performance and make better decisions on bidding, budget, and creative.
Rosie Sibley ·
Next step
Want this applied to your own marketing?
- Google Premier Partner
- Microsoft Advertising Partner
- Since 2002 · 300+ clients

