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Australian Businesses Face Shrinking Window To Shape How AI Represents Their Brands

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Australian businesses have less than two years to influence how they are represented by AI platforms before AI rivals Google as a driver of new customers, according to analysis from digital growth firm Atlas Digital.

The company’s findings indicate that half of all Australians have now used generative AI, while AI referral traffic to Australian websites has increased by more than 1,200 per cent year-on-year.

Platforms including ChatGPT, Google’s AI answers, Gemini and Perplexity are increasingly shaping first impressions before potential customers ever visit a business’s website or physical store.

AI Is Building The Shortlist

Alla Lvovich, an AI Search Specialist at Atlas Digital who also lectures on the subject, warns that many organisations remain focused on using AI internally while overlooking a shift in customer behaviour that carries commercial consequences.

“By the time customers reach a company’s website, AI has already shaped their shortlist. If you’re absent from that list, or AI is relying on inaccurate information, you can be ruled out before any human conversation begins,” Lvovich explained.

More than a third of consumers now use AI tools for product discovery, while between 73 and 89 per cent of B2B buyers incorporate AI into purchasing research.

A G2 survey of more than 1,000 business software buyers found 69 per cent ultimately chose a different vendor based on information provided by an AI tool.

Widespread Inaccuracies In AI Responses

Atlas Digital’s audits across SaaS, technology and financial services companies suggest many organisations remain unaware of how AI systems are representing them.

The company found that 72 per cent of brands contained at least one factual error in AI-generated responses. Meanwhile, 70 per cent failed to appear in AI recommendations for their own category despite maintaining strong Google rankings.

In one case, a technology company achieved just 44 per cent accuracy in ChatGPT’s description of its market positioning.

The implications extend beyond marketing into legal territory.

Air Canada was held liable after its chatbot provided incorrect information about fare policies. In the United States, solar company Wolf River Electric is seeking more than US$110 million in damages after Google’s AI Overview allegedly generated false information linking the business to legal proceedings.

“When AI becomes a source of business advice and recommendation, accuracy matters,” Lvovich noted.

“What we’re seeing now is that many organisations aren’t actively managing how they’re being represented, despite AI increasingly influencing customer decisions.”

A Narrowing Window To Act

Atlas Digital Founder and CEO Ryan McMillan argues that businesses have a limited window to adapt as AI-driven discovery becomes mainstream.

“For the past two decades, companies have competed for visibility in Google. The next challenge is understanding how AI platforms interpret, recommend and surface brands,” McMillan outlined.

“The businesses that establish their AI presence now will be better positioned as AI-driven discovery becomes mainstream. Those that wait risk letting AI define their brand before they do.”

Atlas Digital works alongside global SaaS businesses, analysing how they are represented across AI platforms and helping them improve their visibility in AI-generated search results. The company is a growth partner to more than 50 startups and scale-ups across Australia and New Zealand, helping tech and SaaS companies generate over $100 million in pipeline across the sector.

Last Updated on July 7, 2026 by Nick Ross

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