PPC Trends: AI Targeting & First Party Data for PPC

PPC is undergoing a major shift—AI keyword targeting and first-party data are opening up new and profitable opportunities in Google Ads. While many PPC trends exist, these two stand out for the following reasons:

• AI is revolutionizing how research is done and can save time and money
• Personalization and first-party data helps increase conversions

Let’s dive in.

1. AI Keyword Targeting

AI-predictive keyword targeting analyzes historical data, search trends, and user intent to come up with keywords that help position pages for maximum conversions, without the manual input. Examples of AI Keyword Targeting Tools include:

• SEMRush Keyword Magic Tool
• BrightEdge AI
• Adzooma AI
• Google Ads’ Smart Bidding: Adjusts bids based on expected conversions.

Google Smart Bidding is particularly helpful—take a look.

Pros & Cons of AI-powered keyword Targeting in PPC

Should You Use AI to Find Keywords for Google Ads?

While AI keyword automation can automate tedious tasks like bid adjustments and keyword expansion, it cannot replace human creativity and strategic oversight. You should not use AI automation without having keyword targeting knowledge yourself; otherwise, you won’t be able to verify AI recommendations. The best PPC strategies in 2025 will be a hybrid of AI automation and manual expertise.

How Do You Use AI Keyword Targeting Correctly?

The best PPC strategies in 2025 will be a hybrid of AI automation and manual expertise. AI will handle bulk data processing, predictive targeting, and automation, while human PPC managers can refine strategy, analyze AI-driven results, and ensure campaigns remain aligned with business goals.

To use AI keyword targeting correctly, make sure you have an understanding of the search intent behind the keywords. Search intent is what people expect to find when they type that keyword into search.

• Analyze Search Query Context: Review AI-suggested keywords in real Google Ads searches or Google Trends to see if they attract buyers or browsers. Prioritize transactional intent over informational searches.
• Check Competitor Ads: Run a Google search for AI-generated keywords and analyze which businesses are bidding on them, what ad copy they use, and if it aligns with your target audience.
• Refine with Negative Keywords: AI may suggest broad terms. Use negative keywords to filter out irrelevant clicks (e.g., exclude “free,” “DIY,” or “jobs” if your goal is conversions).

2. First-Party Data

Among current PPC trends, using first-party data can offer a significant advantage for businesses looking to improve targeting precision, increase ad relevance, and maximize ROI.

What is First Party Data For PPC?

First-party data is information that businesses collect directly from their audience through interactions on their website, app, CRM, or email lists. It is highly valuable for PPC campaigns because it enables precise targeting, better personalization, and improved ad performance without relying on third-party sources.

For example, there are circumstances where a Google Ads campaign will see high clicks but low conversions. This can be because of either the wrong keyword targeting or low-quality content. First-party data can help determine areas that are working and areas that need improvement.

1. Wrong keyword targeting: Use first-party data (CRM leads, form fills, or sales logs) to see which ad clicks actually turned into customers. If a keyword drives traffic but shows zero leads in your data, it’s the wrong target and should be paused or replaced.
2. Low-quality content: Compare first-party engagement signals (time on page, repeat visits, scroll depth) with conversion data. If visitors click but consistently drop off without converting, the issue is the content or landing page, not the keyword.

Why is First-Party Data for PPC Important?

Unlike third-party data, which comes from external sources, first-party data is collected directly from your audience and is high-quality data. This data includes:

• Website visitor behavior
• Customer purchase history
• Email interactions and CRM data

Using this data enables customer data targeting, allowing businesses to reach highly relevant audiences with minimal wasted ad spend. According to a study by Think with Google, brands using first-party data for Google Ads see a 2.9x revenue lift and 1.5x cost savings.

What Data Should You Collect to Improve PPC?

Before data can be used, it must first be collected. The important types of customer data useful for PPC include website behavior and purchase history. Website behavior tracks things like page visits and session duration. On the other hand, purchase history identifies buyers, repeat purchases, and high-value customers. Other forms of data you should collect to improve PPC ad campaigns include:

• Lead Form Submissions – Capture data from contact forms, newsletter sign-ups, and gated content.
• CRM Data – Use existing customer records to refine audience targeting.
• Engagement Metrics – Analyze email open rates, click-through rates, and social media interactions.
• Ad Interaction Data – Understand which PPC ads users engaged with before converting.

What Tools Help Businesses Use First-Party Data for PPC?

Most advertising platforms, including Google Ads, allow businesses to import their first-party data for PPC campaign optimization. This includes:

• Google Ads Customer Match – Allows advertisers to use email lists to target users across Google Search, Shopping, YouTube, and Gmail.
• Facebook Custom Audiences – Enables targeting users based on multiple first-party data sources including:
  • Website and app interactions
  • Customer email lists and phone numbers
  • Engagement with Facebook/Instagram content (video views, page likes, post interactions)
  • Lead form submissions
  • Offline event data

• LinkedIn Matched Audiences – Lets businesses use first-party data for targeting through:
  • Website retargeting (visitors to specific pages)
  • Contact targeting (uploaded email lists)
  • Account targeting (specific company targeting)
  • Engagement retargeting (LinkedIn page interactions, event attendees, lead form submissions)

• Google Analytics 4 (GA4) – Provides deeper insights into user interactions across devices using first-party data, with enhanced customer match capabilities and predictive analytics to improve targeting and measurement.

What Are the Challenges in First-Party Data PPC?

Collecting first-party data for PPC can be challenging because it requires proper data infrastructure, which can be costly; moreover, data quality depends on consistent tracking and integration across platforms.
Collecting data is only the first step—expertise and analysis are needed to use it in a way that drives more profit for PPC campaigns.

A Final Word on Using First-party Data and AI keyword Targeting for PPC

Everybody talks about what PPC trends are happening, but almost nobody talks about why they’re happening.

AI keyword targeting is clearly happening because AI is now everywhere, and it’s very good at research. It can save time and money—if there are experienced professionals to verify and apply the data correctly so that a PPC campaign stays on course.

But did you know that First-party data for PPC is becoming more important because AI can sound impersonal?

AI can create content at scale in very short time. We’re still learning how people, especially consumers, feel about AI. Some don’t mind it, and others don’t like it, but one thing is certain: AI-generated content sounds more or less the same; in fact, most people can Spot AI content. So, when it is used for websites, websites start to sound the same too. This takes away from a personalized experience, and some consumers don’t like that.

People value businesses more when the business shows that it understands them. A personalized experience means taking the particular needs and wants of the target audience, and placing elements on the page that reflects that.

First-party data provides the insights that allows businesses to do that personalize ad campaigns. It could be the first step to making a brand stand out in a sea of competitors who all sound the same.

That’s precisely why InspiringClicks provides Heat Mapping alongside PPC management in our SEM and SEO packages. PPC get’s you clicks but clicks don’t turn visitors into clients and customers— trust, creativity, and good content does.