Google Tests AI-Powered Search Ads, Enhancing Conversion Efficiency by 200%

Google has launched a test for AI-powered search advertisements, embedding promotional content within AI-generated responses. This initiative is based on user feedback from previous surveys, where participants found that ads within AI overviews helped them quickly access the services they needed, significantly enhancing conversion efficiency. The test is currently available to desktop users in the United States and will gradually expand to include search and shopping ads.

In the first phase, the ads will be displayed on desktop searches in the United States. The plan is to extend this feature to other English-speaking markets by the end of the year. Notably, this advertising feature is only available to customers using specific advertising products, including the Performance Max smart marketing series, shopping ads series, and search ads series powered by AI Max technology.

Technologically, the new AI model surpasses traditional search limitations by handling queries that are 2-3 times longer than usual and supporting multi-turn conversations. This functionality is built on Google's latest large model, Gemini 2.5, which offers advanced reasoning capabilities and multi-modal interaction features. It can process various input formats, including text and images, simultaneously.

Industry observers note that this move marks a new era in the commercialization of search engines. The traditional keyword bidding model may be replaced by AI-driven contextual marketing, requiring advertisers to rethink their strategies from "keyword triggers" to "intent understanding." This shift could lead to more personalized and effective advertising campaigns, benefiting both users and advertisers.