How Google’s New AI Search Tools Are Reshaping Paid Ads

When a homeowner starts planning a renovation, repair, or seasonal project, their first step usually isn’t calling a contractor—it’s typing a question into Google.

Whether they’re searching “how to fix a drafty window” or “best kitchen layout for a small space,” homeowners are searching for answers first and providers second. That’s why showing up early in the research phase has become one of the most effective ways to earn trust and convert leads.

In 2025, Google introduced two major updates to how search works: AI Overviews and AI Mode. These new features are changing the way people interact with search results, and more importantly, they’re opening up new paid ad placements that help businesses appear earlier in the customer journey.

In this article, we’ll break down what these tools are, how they affect paid search, and what home improvement businesses should do now to stay competitive.

What Are AI Overviews?

AI Overviews are AI-generated summaries that appear at the top of Google search results for broader, more complex queries. Instead of displaying a list of ranking websites, Google extracts key information from across the internet and presents a concise, helpful answer to searchers. Beneath these summaries, Google now displays Search and Shopping ads, giving your business the opportunity to appear in one of the most visible spots on the page.

According to Google, these Overviews have already led to a 10% increase in searches for the types of queries they appear on. That means more potential exposure, and more competition, for paid ads in your category.

What’s AI Mode?

AI Mode is a more interactive search experience that allows users to ask follow-up questions and explore topics in depth. Think of it like a conversation with Google.

Where relevant, ads appear within these AI-generated responses, offering businesses a new way to reach people while they’re still in the research phase.

This is especially valuable in home improvement, where most decisions involve multiple steps, questions, and budget considerations. With AI Mode, your ad can show up even before someone is specifically searching for a contractor.

Why This Matters for the Home Improvement Industry

Google’s new AI-powered features aren’t just changing how questions are answered—they’re changing where and how your paid ads appear.

For home improvement businesses, this opens up:

• New, high-visibility ad placements inside AI Overviews and AI Mode

• Earlier positioning in the homeowner decision-making journey

• A more competitive environment, where strategy and messaging are key

If you’re running Performance Max, Search with broad match, or Shopping campaigns, your ads are eligible for these placements. However, just being eligible isn’t enough; a strong strategy is crucial to maximize the benefits of these new formats.

How to Prepare

To make the most of these new AI-powered ad placements, your foundation needs to be strong. Here’s where to focus:

Review Your Search Strategy

Ensure your campaigns address the specific questions and concerns your customers actually have, rather than just the services you offer.

Refresh Your Paid Ad Creative

Clear, simple messaging performs best. Use headlines and descriptions that speak to what matters most to your audience: timing, cost, reliability, and results.

Improve Your Website Experience

Once someone clicks your ad, your website should be fast, easy to navigate, and built to help them take the next step—whether that’s scheduling a call or requesting a quote.

Align Your Brand Everywhere

Google rewards consistency. Make sure your business name, services, contact details, and messaging match across your website, ads, and online listings.

Ready to Strengthen Your Paid Strategy?

Google’s AI tools may be new, but the fundamentals of great advertising haven’t changed: clear messaging, smart targeting, and campaigns built around real customer needs.

At Truvolv, we specialize in paid media strategies designed for the home improvement industry. Whether you're looking to optimize your Google Search or expand into targeted paid social, we create systems that connect you with the right customers, right when they’re searching for you. Contact us today to learn more!