Noticed something different when you searched on Google recently? If you’ve seen instant, AI-generated summaries at the top of your results — before a single link or traditional ad — then you’ve just met AI Overviews. And now, Google has started placing ads right inside them.
Let’s unpack what this means, why it matters, and how you can stay ahead as a marketer in this new AI-powered search world.
What Are AI Overviews?
AI Overviews (previously known as the Search Generative Experience, or SGE) are Google’s newest way of delivering search answers using generative AI. Rather than showing a list of blue links, Google offers a concise, AI-generated summary that pulls together key points from trusted sources.
Think of it as Google’s old answer box — but smarter, more conversational, and much more visible. These summaries often include follow-up suggestions and citations to source material.
When Do AI Overviews Appear?
As of 2025, AI Overviews appear in over 30% of Google searches in the UK, US, and other English-speaking markets. You’re likely to see them when you:
- Ask longer, more complex questions
- Search for step-by-step advice or comparisons
- Use mobile or desktop browsers in supported regions
Google also rolled out AI Mode — a chat-style interface within Search that lets users ask follow-up questions. It’s currently available to Search Labs users and select Google One subscribers.
How Are Users Reacting to AI Overviews?
- Quick answers = happy users: Many appreciate how AI Overviews save time by summarising complex topics upfront.
- Familiar format: Younger audiences in particular like the conversational, ChatGPT-style experience.
- Accuracy concerns: Some users have spotted outdated or misleading info, leading to questions about reliability and trust.
- Changing habits: As more people find what they need in the overview, they’re clicking fewer organic links — shifting how content is consumed.
- Higher expectations: Users now expect fast, contextual, and well-sourced answers, pushing brands to adapt content and visibility strategies.
A Big Shift: Google Is Adding Ads to AI Overviews
Here’s the headline: Google is now placing ads in and around AI Overviews. That’s right — your paid placements can now appear:
- Above the AI Overview
- Below the AI Overview
- Inside the AI-generated response itself
Let’s break down how each works.
Ads Above & Below AI Overviews
These placements sit outside the summary box but are directly tied to the user’s query. They’re similar to traditional Search ads but shown in closer proximity to high-intent content.
This gives users an immediate opportunity to discover products or services relevant to their search — and gives advertisers a prime spot during those key discovery moments.
Ads Within AI Overviews
This is where things get particularly interesting.
Ads inside the AI Overview are placed dynamically. Google considers not only what the user searched for, but also the content of the AI-generated summary itself. That means your ad could appear mid-summary, nestled within the context of a trusted answer.
Why does that matter?
- The ad is more relevant, thanks to the dual signal of query + AI content
- It appears more organically, within a highly trusted piece of content
- It reaches users while they’re still engaging with information — not after they’ve bounced
These aren’t banner ads or obvious pitches. They feel like extensions of the conversation — making them a powerful placement for the right brand, at the right time.
Why Is Google Doing This?
Put simply: generative AI is expensive to run — and users are shifting how they search.
As more people rely on AI-generated answers instead of clicking links, traditional monetisation models need updating. By embedding ads into the AI experience, Google can continue funding free search while giving advertisers new ways to connect with potential customers.
It’s not just a format update — it’s a fundamental shift in how Search works.
What Are the Key Benefits for Advertisers?
If you’re advertising on Google, here’s why this change matters to you:
- Greater intent signals: Longer, conversational queries are easier to interpret — making it easier to match the right ad with the right person
- Contextual precision: Google uses the actual AI-generated text to decide which ad is most relevant
- Enhanced visibility: Ads can now appear within the content users trust most
- Fresh discovery moments: As users explore topics via follow-up questions, your ad has multiple touchpoints to appear
What Are the Risks?
Like all big changes, this one comes with challenges:
- Reduced organic visibility: AI Overviews push down traditional SEO results
- Zero-click experiences: Users may get their answers without clicking through
- Less advertiser control: In AI Mode, ad placement and presentation are handled by Google, not you
Want to Show Ads in AI Overviews? You’ll Need AI-Powered Targeting
You can’t manually opt in to advertise inside AI Overviews. However, if you’re running the right campaign types, your ads are already eligible.
These include:
- Search campaigns with broad match and Smart Bidding
- Performance Max
- AI Max for Search
- Shopping, Local, and App campaigns
But eligibility alone isn’t enough — you’ll want to make sure you’re using AI-powered strategies to maximise visibility.
Understanding Campaign Types
Here’s a quick overview of what each type does:
Broad Match
Broad Match allows your ads to appear for related or similar phrases, not just exact keywords. This is essential for catching the natural language queries that AI Overviews respond to.
Performance Max
This is Google’s all-in-one campaign type. It automatically shows your ads across Search, Display, YouTube, Gmail, and Maps — optimised using machine learning for best performance.
AI Max for Search
This new campaign option enhances your Search ads using AI. It:
- Dynamically expands keyword targeting
- Auto-adjusts bids
- Rewrites copy to fit the query context
Together, these tools help your ads become visible in a world where intent matters more than exact-match keywords.
What You Can’t Control (Yet)
Ads in AI Overviews are a new feature in PPC (pay-per-click advertising). The rollout is gradual, and these placements are still limited. Not everyone will see them yet, even if they’re running ads.
Right now, advertisers can’t control these placements — unlike with tools like Performance Max, which give you more say over how your ads run across Google. With AI Overviews, Google decides when and where ads show, based on the search and the AI-generated summary.
For now, we’re relying on Google to manage everything. It works, but it raises a question: could AI Overviews eventually become mostly — or even solely — ad space? Maybe. For now, it’s about using what’s available, staying flexible, and watching how this evolves.
What Does This Mean for SEO?
It’s not just ads that are affected — organic content strategy needs a refresh too.
Optimise for Generative Engines
Use structured content that AI can parse and cite:
- Write in Q&A format
- Use schema markup (FAQ, HowTo)
- Make content skimmable, clear, and informative
Be Citation-Worthy
AI Overviews don’t just guess — they cite sources. Make your content trustworthy, well-formatted, and useful enough to be quoted.
Focus on Bottom-of-Funnel Queries
While AI Overviews may satisfy top-of-funnel searches, transactional content still drives conversions. Make sure that part of your SEO strategy is strong and visible.
The Future of Search
Search is becoming less about pages and more about conversations. Google’s AI Overviews and AI Mode are clear signals of where it’s headed.
Here’s what to expect:
- Increased automation in ad delivery, targeting, and copywriting
- Greater emphasis on intent and context, not just keywords
- More advertising space inside AI answers
- Ongoing regulatory scrutiny, particularly around transparency and fairness
Marketers will need to focus less on micro-managing campaigns and more on feeding the algorithm with high-quality inputs.
Your Action Plan: How to Win
| Area | What to Do |
|---|---|
| Campaign Setup | Use Performance Max, AI Max, broad match, and Smart Bidding |
| Ad Copy | Optimise headlines for clarity, benefit, and contextual relevance |
| Content Strategy | Structure for AI citation with schema and FAQ formats |
| Reporting | Watch “Top vs. Absolute Top” metrics; adapt bidding as visibility changes |
| Conversion | Optimise landing pages to align with user intent and AI-surfaced questions |
Final Thoughts
Ads in AI Overviews aren’t just new placements — they represent a whole new ecosystem. Brands that adapt — embracing AI-powered campaigns, optimized content, and a smarter, data-forward mindset — will thrive. Those who cling to old-school tactics? They risk being invisible in a search world that no longer follows the same rules.
It’s a fast-changing landscape. Stay ahead of the trend and don’t miss a step. Reach out to The Munro Agency to build a sharper ad strategy, one that’s ready for AI-powered search.
Leave a Comment