Just a few days ago, Google held the long-awaited Google Marketing Live 2026 - an event those of us who manage Google Ads follow closely, much like Apple fans do every late summer when the company unveils its new products.
One core message matters for us and for every business advertising on Google: ads are now becoming part of AI Mode and will be shown inside Gemini's responses to users.
If today you know Google Search advertising only as the sponsored results appearing above or between organic listings, the rules of the game are about to change significantly.
What Is Google AI Mode
More than a year ago we wrote in detail about Google AI Mode and the way it is transforming how people search for information, products and services online.
Google AI Mode is the search experience where, instead of a list of links, you receive direct answers, recommendations and information generated for you from multiple sources. The interaction feels more like a conversation or a chat with Google - you ask a question, receive a synthesised answer, ask a follow-up, and so on until you finish the conversation or decide to visit one of the cited sources.
You are probably familiar with the technology behind this (Gemini) and likely use it almost every day. It is gradually replacing classic search - and with it, website traffic has declined noticeably over the last 10 to 18 months. Users now get the answers they need without ever visiting your website, which can be a problem, a challenge, or an opportunity depending entirely on how ready you are to adapt.
What It Means to See Ads in AI Mode
Right now, Google ads appear above or below organic results. In AI Mode, that logic changes entirely. The new formats announced by Google place ads directly inside the AI-generated response. They will still be clearly labelled as sponsored content, but they will be part of the long-form answer the user receives.
This means that in AI Mode, simply being visible as a brand will probably not be enough to earn attention or a click. You will need to provide an answer - and detailed information - in order to participate in the conversation the user is having with Gemini.
3 Characteristics That Define the New Format
Relevance
The ad will not "interrupt" the AI response. It will be selected for display precisely because it is relevant to the question the user asked. Google describes this as a major benefit for both sides - the user sees appropriate content, and the advertiser appears at the exact moment a decision is being made.
"Smart" Ads That Reason
Ads in AI Mode will be served through two already familiar, relatively new Google campaign formats: AI Max and Performance Max. The ad content will adapt to the user's specific question and explain why a given product or service is the right answer to their search.
Gemini will also generate additional text alongside the ad creative, clarifying why it considers that ad a good match for the user's query. The goal is to convince the user to trust the recommendation even when it is paid placement.
A Shortcut to Conversion (purchase, booking, subscription, etc.)
Today, the journey from clicking an ad to completing the desired action can involve several steps on your website - browsing products or services, comparing options, reviewing terms, placing an order, and finalising. The idea behind the new format is that most of these details will be shown directly inside AI Mode, shortening the path from research to actual conversion.
What Changes for Businesses Advertising on Google
Several widely held assumptions about Google advertising are changing with the arrival of ads in AI Mode. Here is what you need to know and what you need to take care of:
Keyword-Based Advertising
The context of the user's search will matter far more than the specific keywords you are currently targeting. Users in AI Mode ask long, detailed questions rather than the short classic searches in Google Search. This means that broad targeting and comprehensive, genuinely useful information on a given topic will deliver far greater returns than the narrow, tightly keyword-focused approach that used to work better years ago.
Let us illustrate this with a concrete example. A user's car breaks down and a warning light for an engine problem appears on the dashboard. In a conversation with Gemini, the user can describe the car's behaviour, when and how often the problem occurs, and Gemini will ask the right follow-up questions before finally responding with specific possible causes and recommended next steps - and perhaps even specific garages that carry out exactly the services needed.
If you are that specialist car repair shop, you probably want that user as a customer. At the start of the conversation, however, they will not search for you or the services you offer because they do not yet know what the problem or fault is. In this scenario, Gemini acts as an AI consultant that - given enough available information, context, and advertising budget - will "understand" that you are the right answer and recommend a visit to your garage.
Performance Max and AI Max Become "Essential"
The ability to advertise in AI Mode will be accessed specifically through the AI Max and Performance Max campaign formats. If you are not yet familiar with them or have not tested them, we strongly recommend running this type of campaign for your business. With the creative, targeting and ad placement options available, there is simply no good reason to claim they are not suitable for what you do.
The Quality and Quantity of Your Product Data Will Make the Difference
Think about how products and services are presented on your website. How easily can Google - and any ordinary user - access comprehensive information about their use cases, benefits, specifications, price, delivery terms, colours, sizes, availability, and so on? All of that information will be critical for Gemini to work with enough context to find new customers for your business faster, more accurately, and more cost-effectively.
And if your website has incomplete descriptions, missing product images, or outdated prices and terms, your chances of featuring in AI-generated responses drop dramatically.
When Will Ads in AI Mode Arrive in Bulgaria
At Google Marketing Live 2026, Google announced ads in AI Mode as a feature in testing for the US market. The rollout to Europe and Bulgaria typically follows within 6 to 12 months.
Your preparation, however, can start today. Campaign structures, account architecture and ad creatives determine your performance in the first months - when every advertiser will be testing their strategies at the same time. We also remind you that building the right foundation for effective advertising in Google, Meta Ads and any other platform requires a well-prepared website and landing pages that the advertising algorithms can recognise as a quality answer to user searches.
More News from Google Marketing Live 2026
Google also shared several other updates to help businesses and advertisers inside Google Ads, which we will cover in separate posts on our marketing blog.
- Asset Studio with Gemini Omni - The ad creative tool now generates images, video and copy from a single, simple brief. This makes it significantly faster and easier to test different versions of texts, videos and ad images without hours of production work for what is essentially just a test.
- Ask Advisor - A new AI assistant integrated simultaneously into Google Ads, Google Analytics, Merchant Center and Google Marketing Platform. You can ask questions in plain language and receive a data analysis from all platforms at once. This is similar to what became possible in Claude after the recent Meta integration.
- Direct Offers - Specific offers embedded directly into AI-generated responses when the query has commercial intent. In travel, for example, Booking.com and Expedia will be able to show special accommodation and travel deals inside AI Mode. A reminder that Expedia is already using AI for niche marketing.
- Universal Cart - A shared cart that works across Google Search, YouTube, Gmail and the Gemini App. Users add products from different Google surfaces and the cart automatically tracks price drops and back-in-stock alerts.
- Qualified Future Conversions (QFC) - A new predictive metric in Google Analytics, powered by AI and Gemini, that helps advertisers understand which users are most likely to convert in the future - even if they have not done so yet.
DGTalents Marketing Agency's Recommendation
DGTalents is a marketing agency and an official Google Ads Partner. This means our team manages advertising budgets across multiple industries at the quality, standard and return on investment our clients require. The experience and tests we have run over recent months allow us to gather enough data to confirm that:
- AI-powered campaigns work and drive sales - Performance Max and AI Max (Search) campaigns are the two primary ad formats we use for businesses selling online - online stores, professional services, B2B products and services, SaaS companies and more. If you have not yet tested this format, it is time to trust its potential and see what it can do for your business.
- Test early - Google speaks in the future tense about users switching from classic Google Search to chatting with Google AI Mode. The reality is that this is already happening, and the number of such users grows every day. For your business, this means you can already adjust the structure and content of your campaigns so that by the time Google AI Mode ads launch officially, you have accumulated enough data and fed the algorithm with the information it needs.
Get in touch with our team for more advice and support on setting up effective Google advertising campaigns that deliver real returns for your business.
Primary source: Google Business - Ads in AI Mode
Additional sources: Search Engine Land, WordStream, Dataslayer - Google Marketing Live 2026 coverage



