Google AI Search: What You Need to Know About the Next Search Revolution

10.31.2025 | Inline Media Team

Search Is Changing Again

Search is entering a new era, one shaped not by keywords, but by conversation and context.

Earlier this year, Google introduced AI Search, powered by its Gemini AI model. It’s not a new product, but a complete reimagining of how people discover information. Instead of relying solely on the traditional list of search results, Google now delivers AI-generated answers that blend text, visuals, and source citations into one seamless experience.

At its core, Google AI Search combines two experiences:

1. AI Overviews, which summarize and cite relevant sources directly within the results page.

2. AI Mode, an interactive, chat-like environment that lets users ask follow-up questions and explore results through text, images, and video.

Importantly, organic and paid search links haven’t disappeared; they still appear below the AI-generated summary. However, their visibility and click-through rates are changing. The user’s attention increasingly begins (and could end) within the AI-generated section at the top of the page, meaning brands now compete for presence within the answer itself, not just within the list beneath it.

What This Means for Advertisers

For marketers, the shift isn’t just about how users search, it's about where ads can now appear.

●      In AI Overviews, ads can appear above or below the generative summary, and Google is testing sponsored snippets embedded directly within AI answers.
●      In AI Mode, ads surface inside the conversational experience shown as contextual links or visual product cards alongside AI-generated responses.
●      Campaigns running on AI Max for Search or Performance Max are automatically eligible for these placements but only if conversion-based bidding and accurate conversion tracking are in place.

In short, AI Search doesn’t eliminate ads, it changes their location and format. Visibility now depends less on keyword match and more on contextual relevance, creative diversity, and performance signals.

The Market Outlook

AI-powered search is on track for explosive growth.

●      U.S. ad spend on AI search is expected to double between 2025 and 2026, rising from just over $1 billion in 2025 to nearly $26 billion by 2029 roughly 14 percent of all search ad budgets (eMarketer).
●      Adoption remains gradual, meaning now is a critical time for brands to test, learn, and prepare.

How AI Search Impacts Current Metrics

Declines in Click-Through Rates

Zero-click behavior is accelerating. According to eMarketer, average CTR drops by 34.5 percent when an AI Overview appears. Users are staying in the answer rather than clicking out. This doesn’t necessarily mean worse performance, it's a sign of changing user behavior. Future success will depend on visibility within AI experiences, not just position.

Quality Over Quantity

Although overall traffic may decrease, traffic quality improves. Users who click through after engaging with AI responses tend to be more informed and closer to conversion. Expect fewer visits, but more intent-driven ones.

Measurement Shifts

Traditional metrics impressions, CTR, average position are becoming less meaningful. New KPIs will focus on:

●      AI Mode visibility (whether your brand is cited or featured in AI results)
●      Dwell time within AI conversations
●      Downstream conversions

Inline’s Recommendations

1. Prioritize Conversion Tracking

AI-powered placements require conversion-based optimization. Ensure tracking and goals are set up correctly to access AI inventory.

2. Develop Multimodal & Dynamic Assets

AI results increasingly blend text, images, and video. Diversify creative assets to stay competitive within these environments.

3. Modernize Measurement Frameworks

Redefine success metrics. Focus on AI visibility, engagement quality, and downstream conversions, not just CTR.

4. Optimize for Generative Engine Visibility (GEO)

Implement structured data, schema, and authoritative content (FAQs, guides, tutorials) to improve your chances of being cited in AI answers.

The Takeaway: Google AI Mode is not a feature; it's a paradigm shift.

As users turn to AI-curated answers, brands must adapt to remain discoverable, credible, and competitive in this new era of search. Paid search remains essential, but strategies must evolve for a future where AI defines discovery, and the search results become a conversation.