Where the money goes
Each cost line's share of a typical engagement, as a range. Our estimate, from scoping this work.
Why AI changes how buyers decide, and who can afford to understand them.
Buying is answering a chain of questions. For twenty years the buyer did the answering: search, open the pages, compare, decide. AI tools now do that work and hand back one answer. The same shift has reached the other side of the market. Understanding customers used to cost a consultancy's fee and a quarter of a year. It now costs a fraction of that, and can cover a whole market every quarter.
A buyer with a question typed a few keywords, got ten links and did the rest: read, compare, assemble an answer, decide what to do next. Marketing followed. Brands published pages that matched the keywords, and agencies built a practice on getting those pages to rank.
The buyer's own time was the engine of the whole journey. Every page was an input they had to process themselves.
An AI tool takes the question whole. It splits it into smaller questions, searches for each, reads the sources, picks a few, and writes one answer, often naming two or three firms. Google now does the same at the top of its results.
In a randomised field experiment run in early 2026, an AI Overview cut clicks through to websites by 38%, and the share of searches ending without a click rose from 54% to 72%.
Illustrative. The website hasn't disappeared; its job has changed. Buyers now arrive having been told what to think, and use the site to check it.
On the other side of the market, understanding customers well enough to design for them was a luxury. A proper piece of customer strategy covers research, personas, journey maps and prototypes. From a large consultancy it typically costs $150,000 to $300,000 and takes 12 to 20 weeks. It rests on 15 to 30 interviews and describes one organisation's customers, once.
So most businesses never buy it. The cost was labour: recruiting and interviewing, coding what people said, synthesising it, and prototyping what it suggested.
Each cost line's share of a typical engagement, as a range. Our estimate, from scoping this work.
The result is a new capability, not a cheaper version of an old one. A single-client study can't say what the rest of a market offers. An instrument that covers the whole market does it by default.
Every answer used to cost someone's time. AI makes each kind of time cheap, and that is how it disrupts. Value moves to the AI platform, unless your answer needs something only you have.
An article the buyer reads and applies themselves.
Frees nobody. Value goes to whoever ranks.AI reads public sources and writes the answer.
Frees the buyer's research. Value goes to the platform, and whoever it names.A small web app on the buyer's own numbers. AI built it; none runs inside it.
Frees the developer's time. Value goes to you, if it needs your prices, rules or data.A tool that reads the buyer's material and explains it.
Frees the expert's first conversation. Value goes to you, if it holds your knowledge.Something that does the job for the buyer, with permission.
Frees the doing. Value goes to whoever the buyer trusts to act.A tool isn't safe because it's a tool. A generic mortgage calculator does what a chatbot already does for free. A bank's calculator survives because it runs on the bank's live rates and leads into the bank's application. Tools, AI apps and agents keep their value only when they need your data, rules, prices, commitments or systems.
A tool can live on your site, or inside the buyer's AI assistant as an app that runs in the chat. There it becomes part of the AI answer itself. That's the reply to "AI took my traffic": put the tool where the question is asked. It's new, and still to be proven.
One design rule for tools and AI apps: use inference at the edges and keep the core deterministic. Let the model read messy inputs and explain the result. Keep the numbers and rules fixed, so they can be reproduced and signed off.
AI will answer this from public sources. Your job is to be named.
Put the two shifts together and a new kind of report becomes possible. Each quarter, map a market's questions: what buyers ask, what AI tells them, which tools exist. Then place every brand in it, at almost no extra cost per brand. That's the Answer Report. It runs as a loop, with a person at each gate.
What gets built and measured feeds the next quarter's map, so the research is weighted by what worked.
A thesis that can't be wrong is a brochure. This one is wrong if:
The Answer Report maps what businesses ask when they choose an agency, what AI tells them, and where you stand. It's free for Australian agencies.