Google Ads + AI Overviews: Everything You Need to Know

What are AI Overview ads?

Ads in AI Overviews are text, local, app, or Shopping ads that appear before or after the AI Overviews’ generated response. They are not an ad type, but rather an ad placement within one of Google’s AI search experiences.

When do ads show in AI Overviews?

There are a few requirements for ads to appear in AI Overviews, including:

1. Intent: Google must detect a commercial intent in the user’s query.
2. Inventory: Google must have relevant and quality ads available.
3. Relevance: Google must have ads relevant to the AI Overviews’ content.

Ads that meet these three requirements must then win the ad auction to display.

It’s worth mentioning that Google Ads hasn’t changed its ad auction for AI Overviews — the same system and signals apply, like your bid, Quality Score, and landing page experience.

Where do ads appear in AI Overviews?

Ads in AI Overviews can appear in the following locations:

• Above the AI Overview
• Within the AI Overview
• Below the AI Overview

What types of ads qualify for AI Overviews?

AI Overviews supports the following ad types:

• Text
• Shopping
• Local
• App

The above ads in any of the following campaigns are eligible:

• Search
• AI Max
• Performance Max
• Shopping
• App

How is AI Overview ad performance tracked?

Unfortunately, Google Ads does not provide dedicated reporting for AI Overview ads (this setup mimics Google Search Console, which doesn’t have segmented reporting for organic impressions and clicks from AI Overviews).

As an advertiser, you won’t have definitive answers when it comes to AI Overviews’ ads and:

• Cost per click
• Lead and/or sale generation
• Return on ad spend

However, Google has stated it’s, “still learning and actively thinking about what the future of reporting looks like for this experience,” which is critical as businesses make strategic decisions on ad spend (and where it gets spent) based on ROAS — and attribution.

In the meantime, though, start to rethink how you’ll define paid performance as user behavior (and marketing metrics) shift in response to AI search experiences, whether on Google or ChatGPT.

Search engine optimization (SEO) has undergone a similar change where — due to answer engines and AI Overviews — there is less, but more qualified traffic coming into websites, changing how SEOs measure success.

Should I advertise in AI Overviews?

When it comes to advertising in AI Overviews, it’s not a question of if, but how.

The reason is simple — Google Ads does not allow you to exclude AI Overviews as an ad placement. If you’re running any of the qualifying ad types (text, local, app, and Shopping), those ads can appear in AI Overviews.

Even if you could opt out of appearing in AI Overviews, the pros outweigh the cons:

Will AI Overview ads have a higher ROAS?

With the ability to deliver ads in conversations that have more context than traditional searches, it’s possible businesses will see higher returns from advertising in AI search experiences because they’re reaching a more qualified or primed audience.

Measuring that return, though, requires more segmented data from Google Ads.

How do I create ads for AI Overviews?

There are no special steps for creating ads for AI Overviews.

If you already have campaigns with Shopping, text, local, or app ads, you’re eligible to appear in AI Overviews. Where you’ll want to focus your time instead is on optimizing these ads for Google’s AI search experiences.

How to optimize your ads for AI Overviews

When it comes to optimizing your ads for AI Overviews, consider the following:

1. Improve the basics, like your Quality Score and Ad Rank
2. Experiment with Smart Bidding
3. Create higher-quality creatives, like images, to attract users
4. (If applicable) Maintain your shopping feeds, like your promotional offers
5. Monitor your performance for sudden shifts closely

Besides these strategies, have a workflow setup to nurture the users that do arrive on your site from paid ads. For example, consider creating on-site personalizations or remarketing campaigns.

Maximize your ROAS from AI Overviews ads

With the launch of ads in AI Overviews, advertisers have a new way to meet users in their target audience. Whether you’re looking to lean into paid advertising or maximize your AI Overview advertising performance, WebFX (the team behind SEO.com can help).

Connect with us today to discover how our clients earn a 20% higher ROI — on average!