Google is bringing new AI-powered ad formats to search

Source: Engadget

Google’s AI‑Powered Ad Formats

Google is expanding its search experience with AI‑driven ad formats that will be clearly labeled as “sponsored.” As part of the Google I/O week announcements, the company previewed Gemini‑powered, conversational ads that appear directly in search results.

Conversational Discovery Ads

• Appear within AI Mode’s answer boxes.
• Designed to “answer a person’s specific question” with ad content.

Highlighted Answers

• Insert sponsored entries into AI Mode’s recommendation lists.
• Example: a query about the best language‑learning apps could surface a sponsored Duolingo entry.

AI‑Powered Shopping Ads

• Target “big” purchases such as refrigerators, TVs, or espresso machines.
• Gemini selects relevant products and generates a custom explainer highlighting why the product may be the right choice.

Business Agent for Leads

• Places a “smart brand agent” (a custom chatbot) inside search ads.
• Example: a student researching universities might see a box with “Chat” or “Ask a question” buttons within a sponsored result.

Direct Offers

• Expands personalized deals, including AI‑generated product bundles, giveaways, and local coupons.
• Features a built‑in checkout so users can claim offers without leaving search, and adds personalized travel deals within AI‑assisted trip planning.

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Related links

• Google transforming search into an AI‑driven experience
• Google I/O week announcements
• Preview of Gemini‑powered ads
• AI Mode in Google Search
• Google’s Direct Offers feature