Google has announced that it is testing the inclusion of Search and Shopping ads in AI Overviews boxes that appear atop search results for complex queries. Ads will surface within the AI Overviews in a "sponsored" section, if they are relevant to both the search query and the AI Overviews. Advertisers do not need to take any action as existing Search, Performance Max and Shopping campaigns can be automatically eligible.
This update could potentially enhance ads, but it might also lead to fewer click-throughs to a brand’s site, possibly causing traffic to drop off as Google provides the information consumers want directly on the SERP. This move represents one of Google’s initial attempts to monetize its AI investments across consumer products like Search.
Google has stated that early user testing found people find the AI Overviews helpful and are visiting a more diverse array of websites through the links provided. Google also stated that it will remain focused on sending valuable traffic to publishers and creators, suggesting a balanced approach between AI content and external web sources.
However, this is new territory for Google, and it comes at a time when AI is both expensive and a potential threat to its core Search ad business model. There are concerns that any overly disruptive or intrusive ad placements within AI-generated Overviews could undermine their perceived utility and objectiveness.