Ever Googled something recently and noticed that instead of the usual search results, you now see a big AI-generated box summarizing everything?

Welcome to Google AI Overviews—a new way Google delivers answers using Gemini AI. And yes, it’s already changing how sponsored results appear. If you’re running Google Ads in Malaysia, you must understand how this shift affects your visibility and conversions.

This blog explains what AI Overviews are, what’s happening to sponsored search results, and how to adapt your ad strategy for 2025’s new AI-driven search landscape.

1. What Are AI Overviews in Google Search?

AI Overviews (previously called SGE – Search Generative Experience) are summaries that Google generates using AI to answer search queries directly at the top of the page.

Think of it like this:

Instead of showing links like:

• “Best laptops 2025 – TechRadar”
• “Top 5 budget laptops – PCMag”

Google now gives you:

“The top-rated laptops for 2025 include the Dell XPS 13, MacBook Air M3, and Asus ZenBook 14…”

And guess what? That whole summary sits above the ads and organic results.

2. Where Do Sponsored Results Appear Now?

Before:

• Ads appeared at the top (often 2–4 Search Ads above organic results)

Now in AI Mode:

• The AI Overview sits at the top
• Sponsored results may appear inside or below the AI box
• New formats like “sponsored product snippets” are being tested

What This Means for You:

✅ Fewer ad spots above the fold
✅ Higher competition for visibility
✅ More importance on intent-matching & landing page content

💡 Google is prioritizing useful ads, not just high bids.

3. What Kinds of Ads Work in AI Overviews?

Google is currently testing integrated ad placements inside the AI answers—especially for:

• Shopping Ads
• Local Services Ads
• Product Carousels
• Answer-driven Sponsored Snippets

Examples:

• “Best facial spa in Subang Jaya” → might show sponsored reviews inside the AI Overview
• “Top laser printer Malaysia” → a carousel of shopping ads may appear within the AI result

💡 These are not traditional Search Ads. You need to upload better creative, structure your product feed, and use high-quality landing pages to qualify.

4. Are Clicks Going Down?

Yes—but conversions are holding.

Early data from global and APAC advertisers shows:

• CTR for Search Ads in AI Overviews can drop by 15–30%
• But the users who click are more serious buyers
• Bounce rates are lower for ads that align with the AI content

In short:

🟢 Fewer clicks
🟢 But higher purchase intent
🔴 Lazy ads = wasted money

5. How to Make Your Ads “AI-Compatible” in 2025

To show up or convert under the new system, you need smarter ad strategy.

✅ Use Search Themes + Performance Max

Tell Google what your business is about with Search Themes, then let PMax distribute across Search, YouTube, and Gmail.

✅ Upgrade Your Product Feed

If you’re running Shopping Ads, make sure:

• Your product titles are clear
• Descriptions answer real questions
• You include Malaysian ringgit (RM) pricing and shipping info

✅ Match User Intent in Ad Copy

Instead of:

“Get the Best Facial in KL!”

Try:

“Recommended by 1,200 KL Women – Book Award-Winning Brightening Facial”

Make it feel like part of the answer, not just an ad.

6. Rethink Your Landing Page Strategy

If your ad leads to a generic or messy landing page—you’re out.

To rank in AI Mode and drive conversions:

• Add FAQs matching your keyword
• Use structured data (Schema markup)
• Keep your page fast and mobile-first
• Write copy that educates AND converts

💡 Example: A tuition centre targeting “Chinese class for kids” should show syllabus highlights, parent reviews, and a video walkthrough—not just a form.

7. Use Brand Search Campaigns (Now More Than Ever)

With AI Overviews summarizing content from the whole web, competitors might get shown—even when someone searches for your brand name.

Solution?

 👉 Run brand keyword campaigns to control the first impression.

Use keywords like:

• “Your brand name + review”
• “Your brand name + pricing”
• “Your brand name + location”

💡 This helps protect your reputation in AI summaries too.

8. Prepare for Voice + Visual Search Integration

As AI Overviews evolve, Google is connecting it with:

• Voice search (via Google Assistant)
• Google Lens (visual product identification)

This means your ad content needs to:

• Answer questions clearly (voice intent)
• Use rich product photos (visual search intent)
• Include alt-text and meta data

💡 SEO + Ads must now work together.

Conclusion

Google’s AI Overviews aren’t killing ads—but they’re forcing advertisers to evolve. If you rely on Google Ads for business growth in Malaysia or SEA, now’s the time to upgrade your copy, creatives, and campaign structure to match AI-driven search behavior.

Want to learn how to write ads that convert—even in AI Mode?

Enroll in my Google Ads course and get all the new templates, PMax settings, and copy strategies tailored for 2025.