Google Is Now Allowing Ads in AI Overviews

Ads within Google AI Overview

This is what marketers need to know

Google’s AI Overviews were designed to help everyday users find information quickly, without needing to sift through dozens of search results. The downside? This convenience has contributed to a surge in zero-click searches, with users increasingly getting everything they need directly from Google’s AI summary rather than clicking through to publishers or brands.

Officially, AI Overviews only surface when Google’s systems determine that generative AI can genuinely enhance understanding across a range of sources. But in my experience, only one out of a couple of hundred searches does not trigger an AI summary, and that is usually only when I am searching for something exceedingly specific or niche.

The announcement marketers have been waiting for!

During Google Marketing Live 2025, Google finally confirmed what many in the industry suspected: ads will be incorporated into AI Overviews.

This update has been a long time coming, particularly as AI Overviews have noticeably depressed click-through rates in recent months, despite Google’s repeated denials. Now, marketers will be able to tap into Google’s increasingly sophisticated understanding of intent and context, placing relevant ads at the precise moment users are exploring a topic.

But how will these ads work, and when will they appear?

When are ads eligible to appear?

Google has clarified several key conditions:

  • Ads may appear only on queries where Google detects commercial intent and has high-quality, contextually relevant ads to serve.
  • Ads must be relevant not only to the search query but also to the specific information surfaced in the AI Overview.
  • Existing Search, Shopping, and Performance Max campaigns can automatically appear in AI Overviews, provided they win the auction and meet both query-level and Overview-level relevance criteria.

In theory, this means your ads could start showing the moment the feature rolls out in your market. As of now, there are no additional activation steps required.

What this means for marketers

While the update itself isn’t surprising, the underlying signals from Google are. The timing of this announcement aligns closely with the company’s push towards greater automation, specifically Performance Max, AI Max, smart bidding, and broad match targeting.

This is where my concern lies. Broad match has historically been avoided by seasoned advertisers for good reason. But Google’s shift away from direct keyword matching and towards intent- and context-driven responses may leave marketers with little choice.

If we want to appear in AI Overviews, we may be forced to embrace broader and more automated campaign types than we’re comfortable with.

The lack of transparency is another red flag. With limited reporting available for AI Overview ad placements and ongoing gaps within PMax reporting, Google is essentially asking advertisers to “trust the system”. Given how much control Google already exercises over bidding and spend distribution, this is not an insignificant ask.

Still, advertisers will face tough questions from stakeholders when competitors appear in AI Overviews, and they don’t. While Google has not outlined any guaranteed steps to secure placement, here are practical actions to get ahead of the curve.

Best practices to prepare for ads in AI Overviews

1. Experiment with broad match targeting

Broad match is set to become more important as Google leans into intent-based matching. Start testing now and identify performance patterns, refine messaging, and prepare your budgets.

2. Strengthen Performance Max, AI Max, and dynamic search campaigns

These automated formats will likely influence visibility in AI Overviews. Ensure your campaigns follow current best practices, and optimise your feeds, creatives, signals, and audience data accordingly.

3. Improve Quality Score and other auction signals

Google uses existing auction signals to determine whether your ad appears above or below the AI Overview. Strengthen factors such as relevance, landing page experience, and ad quality to maximise eligibility.

4. Use smart bidding strategically

Smart bidding is strongly recommended by Google for advertisers hoping to appear in AI Overviews. Test it with controlled budgets and tight targeting to avoid unnecessary spend.

5. Update and strengthen shopping feeds

Feed quality will matter more than ever. Maintain accurate details, refresh product imagery, provide complete information, and audit your feed regularly to ensure Google’s systems can confidently serve your products.

Final thoughts:

As marketers, we must be careful not to lose sight of control and accountability. The airline and hospitality sectors learned this lesson the hard way when they ceded distribution and customer access to aggregator platforms. It initially simplified operations, but over time, they lost pricing power, direct customer relationships, and brand control.

We should not repeat that mistake.

Google’s move to monetise AI Overviews was inevitable, and the opportunity is real. But so is the risk of over-reliance on opaque, automated systems with limited reporting. The challenge ahead will be finding the right balance: leveraging Google’s AI capabilities without giving away the keys to our own marketing ecosystem.

– Terrence Quah

Published by Terrence Quah

As a seasoned marketing consultant who has been involved in the digital sphere since 2011 from both the client and agency side, Terrence understands that innovation in itself is meaningless unless one is able to harness the technology to solve key business problems. That is why he is a passionate advocate for digital literacy and goes the extra mile to educate others on how they can utilize the vast array of technological tools to achieve practically any business objective. At the core of it all, you will find that Terrence is an extroverted-introvert who loves nothing more than a game of basketball or to hide in a corner of a cafe with a good book for the entire day.

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