EMPIRICAL VALIDATION OF VALUE-BASED ADVERTISING AUTOMATION AND GENERATIVE ENGINE OPTIMIZATION (GEO): OVERCOMING THE "PERFORMANCE TRAP" AND THE "OBSCURITY TAX"

Vladyslav Bilinchuk; Oleksandr Korogovnyi

doi:10.69635/mssl.2026.2.3.52

Authors

Vladyslav Bilinchuk Founder, ILION DIGITAL LLC, USA, Expert in Performance Marketing and Ecosystem Integration, Master of Business Management, Kyiv National University of Trade and Economics, Ukraine Author https://orcid.org/0009-0009-8032-7639
Oleksandr Korogovnyi Managing Partner at iLION Digital Agency, USA, Expert in Digital Marketing, Master of Business Management, Kyiv National University of Trade and Economics, MIM-Kyiv Pre-MBA, Ukraine Author https://orcid.org/0009-0009-9177-9892

DOI:

https://doi.org/10.69635/mssl.2026.2.3.52

Keywords:

Value-Based Advertising Automation, Generative Engine Optimization

Abstract

This study provides an empirical and theoretical investigation into the systemic inefficiencies confronting contemporary programmatic advertising architectures: namely, capital inflation driven by over-reliance on short-term attribution (the "Performance Trap") and the conversion friction imposed on non-established market entrants (the "Obscurity Tax"). We examine the structural realignment of information retrieval pipelines as consumer search behaviors migrate from legacy index-based search engine results pages toward conversational, Large Language Model (LLM) interfaces. Utilizing multi-channel Google Analytics 4 (GA4) telemetry, this paper quantifies the operational divergence between active brand equity and anonymous enterprises within identical commercial verticals.

To mitigate these barriers, we present a full-cycle data engineering architecture developed at iLION Digital that leverages server-side Google Tag Manager (GTM), Google BigQuery, and custom SQL identity resolution scripts to operationalize automated Value-Based Bidding (VBB) via direct API synchronization. A cross-vertical meta-analysis of five multi-market enterprise accounts across the E-commerce, Medical, and Home Services industries validates the scalability of this infrastructure, demonstrating an aggregate increase in inbound inquiries of 220.10%, a contraction in average Cost-Per-Acquisition (CPA) to 80.15% of historical baselines, a 225.42% expansion in total transactional value, and a net increase in Return on Investment (ROI) of 124.45%.

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