Guosen Securities released a research report stating that investors should capture the dividends of AI application industrialization catalyzed by GEO in 2026. 1) The main market theme in 2023 revolved around "cost reduction and efficiency improvement" and "data asset revaluation," whereas 2026 is expected to enter a phase of commercial deployment anticipation driven by GEO catalysts. As AI applications move into deeper waters, the market is intensely craving "growth potential on the revenue side." From a market performance perspective, GEO-related areas like marketing and data corpora (images, portals, etc.) have become the core drivers of this round of market activity. 2) In terms of investment direction, it is advised to continuously focus on the GEO sectors that are pioneers in commercialization, paying close attention to marketing services and high-quality, authoritative data corpora. On the other hand, potential catch-up opportunities in undervalued content sectors (such as film/TV IP, gaming, publishing, etc.) should also be monitored.
AI is reshaping the form of entry points and the underlying distribution of traffic, potentially leading to a reconstruction of value distribution across the industrial chain. 1) AI is fundamentally altering how users access information, evolving from traditional search engines to in-app information retrieval and further to super-apps represented by "Qianwen" (Thousand Questions). The interactive paradigm for users to obtain information is undergoing a massive transformation. 2) This shift in entry point morphology is triggering a foundational revolution in internet traffic distribution mechanisms. The era of traditional search engine optimization (SEO) is concluding, and the era of Generative Engine Optimization (GEO) is formally commencing. 3) Previously, user search behavior relied on a "keyword matching -> click link -> manual filtering" process. In contrast, modern AI search centers on natural language; users simply pose a question, and the system automatically understands the intent, aggregates information, and generates a single, structured answer. This shortening of the interaction path directly leads to the normalization of the "Zero Click" trend—users can have their needs met entirely within the AI chat interface, eliminating the need to navigate to original webpages. 4) This transformation has spurred the rise of GEO, whose essence is no longer about chasing search rankings but about competing for "citation rates" and "answer share" within AI models by optimizing data structure and authority. The change in traffic distribution logic compresses the value of traditional advertising intermediaries while amplifying the value of high-quality content sources.
Commercial monetization is accelerating, driven by China's trust dividend and the potential revaluation of marketing and content value. 1) 2026 represents a critical inflection point for AI applications transitioning from "productivity" to "monetization capability," with GEO acting as the core engine for this shift. Chinese consumers exhibit a remarkably high trust level in AI applications, reaching 80%, significantly surpassing rates in the United States (35%) and Europe (40%). Particularly in personalized shopping recommendations, this high level of trust implies that AI serves not just as an information gateway but also as a direct conduit for consumer decision-making, creating fertile ground for brands to achieve commercial monetization through GEO. 2) Within this new ecosystem, the role of marketing service providers is undergoing a qualitative transformation. Traditional traffic purchasing models are ill-suited for the AI environment; future winners will be service providers equipped with robust MarTech capabilities. By leveraging AI corpus development, data cleansing, and the restructuring of citation weights, they can ensure brand information is prioritized for recommendation by major models like DeepSeek and ChatGPT. Predictions indicate the global GEO market will reach $24 billion by 2026, with the domestic market in China hitting 11.1 billion yuan, showing exponential growth. Marketing service providers are thus facing a business model upgrade opportunity, shifting from mere advertising intermediaries to becoming optimizers of "AI corpus" and "model citation strategies." 3) Beyond marketing, the monetization value of authoritative, high-quality content (data corpora) is also poised for revaluation.
The content industry is upgrading: AIGC offers not just cost reduction but also new supply. 1) In the video sector, breakthroughs from tools like Sora and Kling AI in duration, resolution, and simulation of physical laws have made fully AI-driven production a reality. AI-generated anime short dramas, with production costs as low as one-fifth of traditional methods, are experiencing explosive growth. They are also achieving audience diversification—unlike the traditionally female-dominated short drama market, over 90% of the core audience for AI anime dramas are male, primarily Gen Z aged 24-30, opening up a completely new blue ocean of traffic. 2) In the gaming industry, AI application is progressing from backend assistance to frontend interaction. Intelligent NPCs are no longer limited to scripted dialogue but are evolving to possess capabilities for dynamic storytelling, emotional memory, and complex tactical coordination, potentially enhancing player immersion and lifetime value (LTV).
Risk warnings include performance falling short of expectations, technological progress lagging forecasts, and regulatory policy risks.
Comments