U.S. Paid Search Growth Slows in Q2 2026, Challenging Advertisers

Image credit: Search Engine Journal

Paid search growth decelerated in the United States during the second quarter of 2026, challenging advertiser expectations after a period of strong performance that had offset declining organic traffic.

This slowdown marked a shift from the first quarter of 2026, when Google paid search clicks increased 14 percent year-over-year, one of the strongest growth rates reported in years, according to a benchmark report from digital marketing firm Tinuiti.

Tinuiti’s second quarter 2026 benchmark report indicated that spending growth slowed across Google search, YouTube, and Instagram. This deceleration was partly attributed to stronger year-ago comparisons from the second quarter of 2025.

Advertisers had anticipated continued paid growth, citing a persistent decline in organic click-through rates. AI Overviews, a feature from Google, have reportedly reduced traditional search result clicks to 8 percent, down from 15 percent without the AI summary, according to industry analysis.

Google paid search spending increased nearly 14 percent year-over-year in the second quarter of 2026, a slight dip from the 15 percent growth observed in the second quarter of 2025. Higher click volume accounted for the majority of this spending increase, Tinuiti reported.

Despite the broader slowdown, Facebook experienced a rebound in the second quarter of 2026. Amazon Sponsored Products also saw a significant increase, rising 38 percent year-over-year, heavily influenced by Prime Day’s shift from July to June.

Amazon’s decision to withdraw from most U.S. Google Shopping auctions in July 2025 created new opportunities for other retailers. These retailers continued to benefit from Amazon’s reduced presence in the second quarter of 2026, according to the report.

The Pew Research Center and Ahrefs have previously documented the broader trend of declining organic search traffic, which paid search had largely absorbed until recently.

Source: Search Engine Journal