The Death of PPC: How Agencies Must Reinvent Themselves for AI

At EPIC25, Sem Tielemans from Producthero delivered a sobering reality check;  
 
As artificial intelligence reshapes performance marketing and privacy regulations rewrite the rules of engagement, agencies clinging to yesterday’s playbook are rapidly becoming irrelevant. 

Drawing from insights gleaned across 100+ agency visits and data from over 15,000 advertisers Sem gathered the intel to tell attendees that the agencies thriving in tomorrow’s landscape won’t be those with the slickest campaign dashboards—they’ll be the ones who’ve transformed themselves into indispensable growth architects. 

From Button-Pushers to Business Builders 

The uncomfortable truth is that campaign execution—once the bread and butter of PPC agencies—is increasingly commoditised. Automated bidding strategies, machine learning optimisation, and AI-driven targeting are handling what used to require hours of manual intervention. 

This shift has created an existential crisis for many agencies. However, it’s also opened the door to something far more valuable: genuine strategic partnership. 

Today’s clients aren’t seeking someone to manage their Google Ads account; they’re desperate for partners who can decode complex customer journeys, challenge their assumptions about attribution, and architect growth strategies that span the entire digital ecosystem. As Richard Hill from eComOne astutely observed, agencies must “become growth partners” rather than mere service providers. 

The Attribution Apocalypse: Why Last-Click is Dead and Buried 

Perhaps nowhere is this transformation more evident than in attribution modelling. The neat, linear customer journeys that made last-click attribution seem sensible have vanished, replaced by Byzantine paths involving TikTok discovery, WhatsApp conversations, podcast influences, Instagram Stories, and countless other touchpoints. 

Traditional tracking isn’t just broken—it’s fundamentally inadequate for understanding how modern consumers actually behave. They might discover your brand through a TikTok video, research it via Google, discuss it in private messaging, and finally convert after seeing a retargeting ad three weeks later. 

Harry Calvin Williams from Found captured this perfectly: success now demands understanding each channel’s unique role whilst measuring influence rather than just attributable conversions. It’s about soft metrics paired with hard data, nuance over simplicity. 

The Three Pillars of Agency Evolution 

Sem’s roadmap for agency transformation centres on three fundamental pillars that separate thriving agencies from those merely surviving: 

• Strategic Marketing Leadership has become non-negotiable. Clients need advisors who can navigate omnichannel complexity, interpret customer behaviour patterns, and design growth frameworks that transcend individual platforms. This means developing genuine business acumen, not just technical proficiency. 
• Data Mastery represents the new competitive advantage. First-party data collection, server-side tracking implementation, GA4 optimisation, and API integrations aren’t just technical nice-to-haves—they’re survival skills. Agencies that can help clients reduce cookie dependency whilst unlocking deeper customer insights will command premium positioning. 
• Attribution Sophistication requires educating clients about metrics that actually matter. This means moving beyond vanity metrics like click-through rates towards models that reflect genuine influence and business impact. It’s about teaching clients to value the TikTok video that sparked initial interest as much as the Google ad that captured the final click. 

Embracing AI as an Amplifier, Not a Threat 

Rather than viewing artificial intelligence as competition, forward-thinking agencies are positioning it as their secret weapon. The key lies in feeding automation platforms with meaningful business data: profit margins, return rates, customer lifetime values, and seasonal patterns. 

When algorithms receive rich, contextual information, they make decisions that align with business objectives rather than platform priorities. This transforms AI from a black box into a sophisticated tool that amplifies human strategy. 

The Multichannel Imperative 

Producthero’s expansion beyond Google Shopping into Microsoft, Meta, and TikTok advertising reflects a broader industry truth: single-channel strategies are increasingly ineffective. 

Rising cost-per-clicks and intensifying competition make channel diversification essential for risk management and audience expansion. Your customers inhabit multiple digital spaces, and your advertising presence must mirror their behaviour. 

Modern agencies need expertise across the entire digital spectrum, understanding not just how each channel functions individually, but how they work together to create cohesive customer experiences. 

The Agency Transformation Checklist 

For agencies serious about future-proofing their operations, Sem outlined several immediate actions: 

Establishing robust data infrastructure that connects business metrics across platforms creates the foundation for intelligent decision-making. Building tracking frameworks that capture influence beyond direct conversions provides genuine insight into customer behaviour. 

Creating client education programmes helps navigate this shifting landscape collaboratively, whilst investing in automation tools that amplify strategic thinking rather than replacing human insight ensures agencies remain valuable partners. 

The Road Ahead 

Sem’s EPIC25 presentation illuminated a fundamental shift in paid media’s evolution. The future belongs to agencies that own their data, master complex attribution, and apply strategic thinking across channels rather than within silos. 

This transformation presents both challenge and opportunity. As automation democratises campaign execution, agencies that position themselves as insight-driven growth partners will thrive whilst those clinging to tactical delivery face obsolescence. 

The question isn’t whether this change will happen—it’s already underway. The question is whether your agency will lead this evolution or become casualty of it. The choice, as they say, is yours. 

For more information, or to get started with modern digital strategies, contact our team today.