Google’s AI Overviews are reshaping paid search economics. Kenneth Hamner at Search Engine Land reports that “AI Overviews are systematically changing paid search, affecting everything from click volume to auction dynamics and conversion behavior.” As advertisers confront lower CTRs, higher CPCs and compressed buyer journeys, the path forward requires strategic shifts across keywords, feeds, creative and audience data.
Why AI Overviews matter for paid search
AI Overviews (also called AI summaries or generative answers) appear prominently in Google search results and often provide the core comparison and recommendation information users previously found by visiting websites. This reduces opportunities for clicks — and when clicks decline, auction dynamics and CPCs change. The Search Engine Land piece notes that AI Overviews can “lower CTR, raise CPCs, and compress the buyer journey,” forcing advertisers to rethink where and how they capture demand.
Key takeaways from the Search Engine Land report
- Response rates decline on queries with AI Overviews, with paid CTRs falling especially sharply on informational queries.
- CPCs can rise as click inventories shrink and larger advertisers concentrate impression share.
- AI Overviews compress the consideration phase, reducing retargeting pools and limiting brand exposure during research.
- Brands cited by AI Overviews gain a crucial visibility advantage.
What the data says
Independent analyses back these observations. Seer Interactive’s September 2025 update found that citation matters: “When you are cited in an AIO, you get 35% more organic clicks and 91% more paid clicks compared to when you are not cited at all,” underscoring that being included in AI-generated answers materially changes outcomes for both organic and paid channels.
Four practical pivots advertisers should make
1. Monitor and segment informational intent
Not all informational queries are equal. Implement rigorous query-level monitoring (Google Ads query reports + Search Console) and flag informational triggers such as “how to,” “what is,” or long-form comparison queries. For queries showing near-zero CTR and poor conversion, test lowering bids, shifting creative to specific offers, or reallocating budget to transactional keywords.
2. Prioritize feed and product data quality
AI-based shopping experiences rely on structured product data. Enrich attributes, keep inventory and pricing real-time, and include multiple high-quality images and videos. Products with rich, accurate feeds are more likely to appear within AI-driven shopping recommendations and the Shopping Graph, preserving visibility even as summary answers take center stage.
3. Craft creative that converts
Users arriving from an AI Overview already know features and specs. Ads must answer “why choose you?” not “what you are.” Use specific offers, urgency, risk-reversal and social proof in headlines and descriptions. Leverage all ad extensions to claim more SERP real estate and test responsive assets to find the messages that resonate with high-intent audiences.
4. Double down on first-party audience signals
Audience-driven targeting beats keyword-only strategies when AI mediates queries. Build CRM-based Customer Match lists, granular onsite segments (product viewers, cart abandoners, time-on-site thresholds) and feed those into Performance Max and Demand Gen campaigns. First-party signals help identify users AI can’t disintermediate.
Implications for measurement and strategy
Relying solely on CTR and click volume as success metrics may undercount value in an AI-mediated landscape. Track AI citation share, branded lift, assisted conversions and downstream revenue. Test reallocating top-of-funnel search spend into alternative channels and AI platforms, while using saved budget to expand high-intent bids and audience-based formats.
As Search Engine Land’s article makes clear, the shift is structural, not seasonal. That means tactics that preserve visibility and capture intent — richer data feeds, sharper creative, and first-party audiences — will be the levers that preserve performance.
Attribution and credits
This analysis is based on Kenneth Hamner, “4 strategic paid search pivots to survive Google’s AI Overviews,” Search Engine Land, Feb 26, 2026. Original article: https://searchengineland.com/paid-search-pivots-google-ai-overviews-470193
Additional data and context from Seer Interactive’s September 2025 update: https://www.seerinteractive.com/insights/aio-impact-on-google-ctr-september-2025-update
Quote from Search Engine Land (Kenneth Hamner): “AI Overviews are systematically changing paid search, affecting everything from click volume to auction dynamics and conversion behavior.”
Quote from Seer Interactive (September 2025): “When you are cited in an AIO, you get 35% more organic clicks and 91% more paid clicks compared to when you are not cited at all.”
Original Search Engine Land article: https://searchengineland.com/paid-search-pivots-google-ai-overviews-470193
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