What industry data reveals about the impact of Google’s AI Overviews on paid search by Adthena
The landscape of search engine marketing has undergone a seismic shift. What began as an experimental project under the Search Generative Experience (SGE) umbrella has now matured into a permanent, influential fixture of the search engine results page (SERP): Google’s AI Overviews (AIOs). For digital marketers and paid search specialists, the transition from standard blue links to generative AI summaries represents more than just a visual update; it is a fundamental restructuring of how users interact with information and how brands capture attention.
To quantify this impact, Adthena conducted a comprehensive analysis of search data from late December 2025 through January 2026. This study tracked the performance metrics of hundreds of thousands of advertisers, encompassing more than 5 million individual ads across six major industries. The findings challenge the notion that AI Overviews are a uniform presence. Instead, the data reveals a fragmented reality where the impact on Pay-Per-Click (PPC) revenue is dictated by industry-specific intent, device type, and the nature of the content the AI generates.
The Financial Mechanics: How AI Overviews Reshape PPC Math
For years, the formula for a successful paid search campaign was relatively straightforward: bid on the right keywords, optimize your ad copy for high click-through rates (CTR), and ensure your landing page converts. However, the introduction of AI Overviews has introduced a new variable that can disrupt this entire chain of events. When a generative summary appears at the top of the SERP, it often pushes traditional paid ads “below the fold,” particularly on mobile devices.
This displacement triggers a negative chain reaction for advertisers. First, reduced visibility leads to lower CTRs. When users find their answers within the AI summary itself, the motivation to click on an external link—even a highly relevant ad—diminishes. Second, fewer clicks naturally lead to a decline in total conversion volume. Even if your conversion rate remains steady, the shrinking traffic pipeline reduces the absolute number of leads or sales generated.
Perhaps most concerning is the impact on Cost Per Click (CPC). In sectors where AI Overviews trigger on high-competition terms, the remaining ad slots become more valuable. Advertisers often find themselves paying a “visibility tax,” where CPCs rise as they fight for the limited space left above or immediately following the AI summary. For many brands, this squeeze on both ends—lower traffic and higher costs—results in a significantly reduced Return on Ad Spend (ROAS).
Industry Deep-Dive: A Fragmented Landscape
The Adthena data highlights that Google’s AI does not treat all industries equally. The frequency and style of AI Overviews vary significantly depending on the sector, creating unique challenges and opportunities for different types of businesses.
Technology and Telecom: The Battle for the Mid-Funnel
The Technology and Telecommunications sectors are currently the most affected by the rise of AI Overviews. In these industries, Google frequently uses AI to generate comparison-style content. When a user searches for “best cloud storage” or “top 5G data plans,” the AI Overview often provides a side-by-side analysis of features and pricing.
This directly threatens the mid-funnel research phase where advertisers usually capture high-intent traffic. Because the AI satisfies the user’s need for comparison, the user may never feel the need to visit an advertiser’s website to do their own research. Consequently, these industries show consistently lower CTRs when an AI Overview is present compared to standard search results.
Healthcare and Financial Services: The Informational Filter
The impact on Healthcare and Financial Services looks quite different. In Healthcare, Adthena found that 74% of AI Overviews are dominated by “News” or general medical information. In Financial Services, 54% of the content is structured as FAQs. These summaries often act as “intent filters.”
For these sectors, AI Overviews may actually provide a hidden benefit by satisfying low-intent or “top-of-funnel” queries. If a user is looking for a general definition of a medical term or a basic explanation of an interest rate, the AI answers it. This prevents the advertiser from wasting ad spend on a user who was never likely to convert in the first place. However, for high-value keywords in Finance, even modest CPC increases can be devastating to profitability due to the already high baseline costs in that industry.
Retail and Automotive: Consumer Resilience
Retail and Automotive show a surprising level of resilience. Despite the presence of AI summaries, users in these categories seem more inclined to bypass the AI to find verified brand information or specific product listings. In Retail, the gap between CTR with and without AI Overviews is narrower than in Technology. This suggests that while Google can summarize features, it cannot replace the brand trust or the specific shopping experience consumers seek when they are ready to make a purchase.
Content Themes: Where AI Competes and Where It Retreats
Understanding the “theme” of the AI content is critical for PPC strategy. Adthena’s research categorized the types of information being surfaced by Google’s generative engine, revealing clear patterns in where the AI is most active.
Comparison and Instructional Conflict
Comparison content is the primary battleground. This is where Google’s AI is most aggressive, attempting to synthesize data from multiple sources to provide a definitive “best of” list. For advertisers who rely on comparison-based traffic, the AI Overview is a direct competitor for the click.
The Problem-Solving “Safe Harbor”
One of the most interesting findings in the Adthena report is the “opportunity gap” in problem-solving and troubleshooting content. Currently, problem-solving themes account for only 0-2% of AI Overviews across the six industries studied. This suggests that for complex “how-to” queries or specific technical troubleshooting, Google’s AI is not yet confident enough to provide a primary summary. For now, this remains a safe harbor for advertisers to capture traffic without significant AI interference.
The Device Disparity: Desktop Saturation vs. Mobile Displacement
The impact of AI Overviews is also heavily dependent on the device the consumer is using. Adthena’s data reveals a striking divergence between desktop and mobile search behavior.
Desktop Dominance
On desktop, AI Overviews have reached a state of high saturation in industries like Technology and Education. Because there is more screen real estate, Google can display an AI Overview while still keeping several paid ads visible on the side or immediately below. While this still impacts CTR, it is not a total erasure of ad visibility.
Mobile Risk
Mobile presents a more critical challenge. While the frequency of AI Overviews is currently lower on mobile than on desktop, the impact of each appearance is far more aggressive. On a smartphone screen, an AI Overview can occupy 80-100% of the initial viewable area. This effectively pushes all paid results off the screen, requiring a user to scroll significantly to find a brand’s ad. In a mobile-first world, this displacement represents a high risk for advertisers who rely on immediate visibility.
The Zero-Click Reality and Distribution Data
The ultimate fear for search marketers is the “zero-click” search—a scenario where the user gets all the information they need from the SERP and never clicks through to a website. Adthena’s distribution data suggests this is becoming a reality for high-frequency AI queries.
When AI Overviews appear on nearly every query within a sub-category, CTR hits a “floor.” The more frequent the AI Overview, the less traffic ads reliably capture. However, the data also shows that when AI Overviews are absent, CTR holds up exceptionally well across all industries. This tells us that the “standard” search experience is still highly effective; it is the intervention of the AI that is the primary driver of traffic erosion.
Strategic Adaptation: Three Immediate Steps for Advertisers
Google’s AI Overviews are no longer an “upcoming” trend; they are a current reality that requires a tactical response. To safeguard margins and maintain a healthy ROAS, advertisers should take the following steps:
1. Monitor CTR and CPC Volatility at the Query Level
Aggregated data can hide the truth. You may see a stable overall account CTR, but your high-value “money keywords” might be suffering. It is essential to monitor performance changes specifically on terms where AI Overviews are appearing. If you see a sudden spike in CPC or a dip in CTR, investigate whether an AI Overview has recently been triggered for those terms.
2. Segment Performance by Device
Because the impact of AI Overviews is so different on desktop versus mobile, you cannot afford to look at blended data. Break out your reporting to see if your mobile conversion volume is dropping faster than desktop. If it is, you may need to adjust your mobile bidding strategy or reconsider the value of certain keywords on mobile devices.
3. Leverage Market Intelligence Tools
Tools like Adthena provide query-level intelligence that standard Google Ads reporting does not. By using market share reports, advertisers can see exactly how often AI Overviews appear in their specific category, what content themes are being surfaced, and where their ads are positioned relative to the AI summary. This allows for data-driven decisions rather than guesswork.
The Future of Paid Search: Integration within the AI
While the current focus is on the displacement caused by AI Overviews, the next phase of this evolution is already on the horizon. Adthena has noted that Google is increasingly experimenting with placing ads *inside* the AI Overviews themselves. This will represent a major shift in how PPC works. Instead of competing *with* the AI, brands will eventually have the opportunity to be part of the generative answer.
This “AIO ad integration” will require a new set of skills, focusing more on the quality and authority of the content being cited by the AI. Advertisers who have high-quality, authoritative content that the AI likes to reference will likely see a significant advantage when these integrated ad formats become more widespread.
Conclusion: Precision Wins in an AI-Driven Search World
The SERP has fundamentally changed, but the goal of paid search remains the same: connecting with the right user at the right moment. The rise of AI Overviews means that “the right moment” is now more complex than it used to be. The advertisers who succeed in 2026 and beyond will be those who move away from broad assumptions and embrace precision data.
By understanding which industries are most at risk, which content themes trigger AI summaries, and how device-specific behavior influences the click, marketers can adapt their strategies to remain profitable. Google’s AI is not an insurmountable obstacle; it is a new environment that rewards those who are agile enough to adapt their bidding, creative, and content strategies to the new reality of the AI-influenced SERP.
As Google continues to iterate on its AI rollout, volatility will be the only constant. Staying ahead requires continuous monitoring and a willingness to pivot when the data shows that the old rules no longer apply. In the age of AI search, precision wins, and assumptions are a liability.