Is AI Making Your Google Ads Specialist Obsolete? The Impact of AI on Google Ads
If you’re a small business owner, you’ve probably felt it. The ground is shifting. The buzz around AI isn’t just noise anymore, particularly with online paid advertising; it’s fundamentally changing how customers find you and, I dare to say, even how you do business.
You might have noticed your own Google search results transform, with AI-generated summaries appearing at the very top. If you are managing your own campaigns, you may have even noticed your cost-per-click creeping up or your impressions dropping, despite your campaigns staying the same. What used to work is no longer bringing you the results you want.
The AI Revolution Has Arrived & Is Here to Stay: Google Ads in 2025
As hard as it may be for some PPC specialists to accept, Google Ads isn’t what it used to be. That’s not a bad thing. If it were the same as it was 10 years ago, Google would be obsolete in today’s age. The game of paid advertising is still the same at its core, but the rules have adjusted to user demand and have become far more complex.
The purchasing journey is not what it once was.
People are no longer relying solely on Google to find answers to their concerns, buy a product, or hire a service. What was once a simple directory where people would search for exactly what they wanted is not so straightforward now. People are warier, there is more competition, and in this economy, people want to invest their money in the right product or provider.
AI Overviews: Pushing Ads (and Organic Results) Down the Page
One of the biggest shakeups in 2025 is AI Overviews. Have you Googled something recently and seen a big, AI-generated summary at the top of the page? That’s an AI Overview.
Search results from Google – Example of AI Overviews.
While helpful for getting a quick answer, here’s the problem for advertisers:
Ads now appear further down the page, beneath the AI box.*
On mobile, it might take two to three full swipes before a user even sees your ad.
Click-through rates (CTR) for top-of-page ads have dropped by 10–20% in some verticals (Bailey, 2025)
This makes ad creative and targeting more important than ever. Your ad needs to be hyper-relevant and visually engaging just to get noticed.
*Note: Ads can appear inside AI Overviews. As of July 2025, this is primarily available in the United States, but it’s expected to roll out to other countries sooner rather than later. (Google, 2025)
The New Customer Search: From Keywords to Conversations
Remember when customers searched in simple terms? “Plumber Vancouver.” “Best coffee shop.” Those days are fading. Users now treat search engines like personal assistants.
Their queries are more conversational and specific:
Search Is No Longer Linear
In the past, a user might search “best plumber near me,” click the first ad or listing, and make a call. This can still be true in an emergency, but for a renovation project or for more price-conscious people, the journey might look more like this:
What Does This Mean For You?
You need to be visible in more than one place. It’s no longer just about the first click; it’s about being present everywhere your customer might turn: ads, reviews, map listings, remarketing, and even TikTok or AI-generated summaries.
Google’s New Toolbox: Performance Max & the “AI Max” Beta
To handle this new reality, Google has gone all-in on AI-driven campaigns. You’ve likely heard of Performance Max (PMax), an automated campaign that runs your ads across all of Google’s channels (Search, YouTube, Gmail, Discover, Maps) from a single setup.
But now in 2025, we’re seeing the next evolution in closed beta programs: what Google is calling “AI Max.”
Think of “AI Max” as a power-up for your search campaigns. It’s not a new campaign type, but rather an additional tool intended to elevate your existing campaigns.
Here’s how it works:
1. Expansive Reach Beyond Keywords
How it works: Traditionally, you bid on specific keywords. AI Max uses “keywordless technology.” It analyzes the intent behind a search, not just the words. It combines your strategic input with Google’s massive understanding of user behaviour to find untapped, highly relevant search queries you would never have thought to target. For example, it can connect a search like “toilet isn’t flushing after I dropped my phone in it, how to get it out” to your ad for “emergency plumbers” without you ever bidding on the phrase “toilet not flushing.”
Why it matters for you: This means you can capture customers earlier in their research phase. You’re not just waiting for them to search for your exact service; you’re finding them when they’re just starting to describe their problem. If properly optimized, Google’s case studies show a 14-27% lift in conversions at a similar cost.
What we’ve noticed: If you enable AI Max and forget about it, you won’t get that uptick in conversions. Like all AI models, it needs your feedback. This new feature, much like ChatGPT, needs clear prompts and guidelines. You need to constantly watch the search terms that trigger your ads and be skeptical at first.
Based on our experience,
In our first test with a painting company in Halifax, we were surprised to see that while we got a decent number of conversions, the search terms that triggered the ads ranged from ‘abortion clinic near me’ to ‘seamstress open Saturdays’. Not exactly relevant to a painting business. Left unchecked, the budget would have been wasted. Remember, Google, after all, is a for-profit business. It will always try to spend your money.
2. Real-Time Ad Customization
How it works: AI Max acts like a real-time copywriter. Based on the user’s query, location, time of day, and other signals, it dynamically adjusts your ad’s headlines and descriptions to be hyper-relevant. It pulls from the asset library you build (your approved messaging, value propositions, and calls to action) and your website’s content to construct the perfect ad for that moment.
Why it matters for you: This level of personalization dramatically increases relevance and click-through rates (CTR). A user is far more likely to click an ad that speaks directly to their unique problem.
What we’ve noticed: While it sounds amazing, if you don’t provide the right inputs or if your website isn’t optimized for this, you’ll get poor-quality ad copy. You must closely monitor the assets the AI generates and provide feedback by removing or rewriting them. Your website’s content must be properly structured with good headings, and your service pages need to contain the best information possible. If not, you’ll end up with ads with random headlines like “About Us” or “Service Area.”…
3. Intelligent Landing Page Selection
How it works: Instead of sending every ad click to a single, static landing page, AI Max can scan your website and select the most relevant page for that user’s query. Someone searching for “emergency pipe repair” will be sent directly to your emergency services page, while someone searching for “kitchen faucet installation cost” will be directed to your faucet installation or pricing page.
Why it matters for you: This improves the user experience and boosts conversion rates. By landing users on the exact page that answers their questions, you reduce friction and make it easier for them to take the next step.
What we’ve noticed: You cannot let the AI use all your pages. You must retain full control and exclude any pages (like a “careers” or “about us” page). For best results, you can now use URL inclusions and exclusions to guide AI Max. Again, left unchecked, you will notice conversions going down while costs remain the same.
This all sounds amazing, right?
It can be, but only if you provide the right guardrails and keep a close eye on it. Don’t let Google consume your budget for its own sake. At the end of the day, you, the business owner, know what type of client you are looking for.
The Human Strategist in the Age of AI
This is where a dedicated PPC specialist becomes invaluable. The AI is the engine, but you still need a skilled pilot.
We are the Strategists:AI can’t determine your business goals. It doesn’t know your profit margins, your ideal customer lifetime value (LTV), or your brand’s long-term vision. We translate your business objectives into a language the AI can execute by setting up the right bid strategy, defining your most important conversions, and specifying the services you want to spend money on.
We are the Creative Directors:AI Max can generate ads, but it can’t create your brand’s authentic story. We guide the creation of high-quality, authentic assets that give the AI the best possible fuel to work with.
We are the Data Scientists:The AI provides a mountain of data. We are the interpreters. We connect the dots between what Google Ads reports and your actual sales/leads data. Not only that, but we also work with you to make sure the leads we’re generating are the types of leads YOU want.
We Actively Monitor and Intervene:We don’t “set it and forget it.” We constantly watch performance. If the AI starts spending aggressively on leads that aren’t turning into profit, we step in immediately. We hit the brakes, adjust the targets, and retrain the AI to focus on what’s actually making you money.
As PPC specialists, our job is to be the pilot in the cockpit. The AI can fly the plane with incredible efficiency (the autopilot), but we set the destination, monitor the instruments, and most importantly, have our hands on the brakes.
Don’t Get Left Behind
The rise of AI in Google Ads isn’t a signal to pull back and let the machines take over. It’s a call to arm yourself with an expert who knows how to wield these powerful new tools. Your competitors are either figuring this out or falling behind.
Navigating this new digital landscape alone is not just difficult; it’s a risk to your bottom line.
Ready to turn Google’s AI into your ultimate competitive advantage?Schedule Your Free, No-Obligation Strategy Call with Our Team
Bing isn’t sitting idle. Thanks to Microsoft’s partnership with OpenAI, Bing Ads has doubled down on AI-driven search.
The AI Copilot in Microsoft Edge pulls directly from Bing results.
Sponsored listings can now appear inside AI summaries.
Bing’s new “Chat Ads” show during live chatbot interactions.
Bing’s market share might still be small compared to Google’s, but it’s growing, especially in business and desktop search. Plus, cost-per-click (CPC) on Bing is often 20–40% cheaper, which makes it a smart place for small businesses to diversify.
If you are looking for extra exposure and have the budget, our team can also help you set up your Bing campaigns. Google is no longer the only powerhouse. Gain a competitive advantage by starting now before everyone else does.
