Google search doesn't look the way it did two years ago. Search for a question and you'll often get a written AI answer before any website links. Google says AI Overviews now have "over 2 billion monthly users across more than 200 countries and territories", and its chat-style AI Mode began rolling out to Australians from 8 October 2025 (Think with Google).
For a local service business, that raises fair questions. Will fewer people visit your website? Do you need to do anything differently? And what happens to your Google Ads?
This guide explains what Google's AI features are, what the research says about clicks, and the practical steps that matter for plumbers, clinics, law firms, accountants and other local businesses. It sticks to what Google and independent researchers have published, not guesses.
Key takeaways
- AI answers are now part of Australian search. AI Mode began rolling out to Australians from 8 October 2025, and AI Overviews have "over 2 billion monthly users" worldwide (Think with Google).
- Fewer clicks on some searches. In Pew Research Center's US study, users clicked a traditional result in 8% of visits with an AI summary, compared with 15% without one (Pew Research Center, 2025).
- No special tricks needed. Google says "There are no additional requirements to appear in AI Overviews or AI Mode, nor other special optimizations necessary" (Google Search Central).
- Ads now appear inside AI answers in Australia. Search, Shopping and Performance Max campaigns are "automatically eligible", and you can't opt out separately from Search (Google Ads Help).
- Local signals matter more, not less. Calls, directions and bookings still start with your Google Business Profile, reviews and a website that answers real questions.
What are Google's AI features?
Google has two main AI features in search. AI Overviews are short AI-written summaries at the top of some results, and they have "over 2 billion monthly users" (Think with Google). AI Mode is a separate chat-style tab where people ask longer questions and follow-ups. Both show links to the websites they draw from.
AI Overviews
AI Overviews appear above the usual results for some searches, usually questions. Google says they "help people get to the gist of a complicated topic or question more quickly" (Google Search Central). They don't appear on every search. In Pew Research Center's study of real US browsing, 18% of Google searches produced an AI summary (Pew Research Center, 2025).
AI Mode
AI Mode works more like a conversation. Google says it's "particularly helpful for queries where further exploration, reasoning, or complex comparisons are needed" (Google Search Central). Early testers asked queries "2 to 3 times the length of traditional searches" (Think with Google).
Both features may use what Google calls "query fan-out", "issuing multiple related searches across subtopics and data sources" (Google Search Central). In plain English, one question from a customer can trigger several searches behind the scenes. A page that answers related questions well has more chances to be used.
How does this change local search?
Local searches now come in longer, more specific forms. Instead of "plumber Brisbane", someone might ask AI Mode for "a plumber near Carindale who can fix a hot water system this weekend and has good reviews". Early testers' queries ran "2 to 3 times the length of traditional searches" (Think with Google).
To answer a question like that, Google needs to know what you do, where, when you're open and what customers say about you. Most of that already lives in your Google Business Profile, your reviews and your website. For local results, Google ranks businesses on relevance, distance and prominence, and says "More reviews and positive ratings can help your business's local ranking" (Google Business Profile Help).
Google hasn't published exactly how AI Mode chooses which local businesses to show, so be wary of anyone who claims to know the formula. What we do know is that the same information Google already uses for local search is what its AI features have to work with.
Will AI search mean fewer clicks to your website?
For some searches, yes. Pew Research Center tracked the real browsing of 900 US adults in March 2025. When a Google search showed an AI summary, users clicked a traditional result in 8% of visits, compared with 15% when there was no summary. Only 1% of visits included a click on a link inside the summary (Pew Research Center, 2025).
- Regular result (no AI summary)15%
- Regular result (AI summary)8%
- Link inside AI summary1%
Source: Pew Research Center, 2025
Google sees it differently. It says "when people click from search results pages with AI Overviews, these clicks are higher quality" (Google Search Central). Both can be true: fewer people may click, but those who do may be further along in deciding.
Which searches are most affected?
Questions that can be answered in a paragraph lose the most clicks. "How long does a divorce take in Queensland?" or "What does a conveyancer do?" are the kinds of searches an AI summary can answer on the spot. Searches where someone needs to hire a person, such as "emergency electrician near me", still end in a call, a booking or a visit.
That's why local service businesses are in a better spot than many publishers. People can read about a service from an AI answer, but they can't get the job done by one.
How do you see the impact on your own site?
Google includes AI feature traffic in Search Console. It says AI Overviews and AI Mode are "reported on in the Performance report", within the "Web" search type (Google Search Central). Watch for pages where impressions hold steady but clicks fall. Those are often question-style pages being answered by AI.
Also check your Google Business Profile performance for calls, direction requests and website clicks. For a local business, those actions matter more than raw website visits.
What does it mean for Google Ads?
Ads now appear inside AI answers in Australia. Google lists Australia among the markets where "Ads within AI Overviews and AI Mode are available in English", and says Search, Shopping and Performance Max campaigns are "automatically eligible" (Google Ads Help).
There are two things to know:
- You can't opt out separately. Google says "you can't target ads exclusively to AI Overviews or AI Mode, or opt out of showing ads in them separately from Search". Negative keywords and brand exclusions still control when your ads show.
- Ads can follow the conversation. In AI Mode, ads can appear "across follow-up questions". A customer who starts broad and narrows down may see your ad later in the conversation.
In practice, this makes good account housekeeping more important. Clear keyword lists, tight negative keywords and landing pages that match what people asked all help your ads show in the right AI answers, not the wrong ones. If you're weighing ads against organic search, our guide to SEO or Google Ads for a small firm explains the trade-offs, and most of it applies to any local service business.
What should local businesses do now?
Start with the basics Google already rewards. Google says the usual SEO best practices "remain relevant" for AI features, and that there are "no additional requirements" to appear in them (Google Search Central). For a local service business, that comes down to six practical jobs.
1. Keep your Google Business Profile complete and accurate
Your Business Profile is often the first thing Google shows for a local search. Google's own advice is to verify your business, keep your business information up to date, respond to reviews and add photos and videos (Google Business Profile Help). Check your services list, service areas, holiday hours and phone number. If AI Mode is answering "who's open this weekend", wrong hours cost you the job.
2. Earn reviews and reply to them
Reviews feed the "prominence" part of Google's local ranking, and Google says more reviews and positive ratings can help (Google Business Profile Help). Ask happy customers for a review as a normal part of finishing a job. Reply to every review, good or bad, in a calm and helpful way. Detailed reviews that mention the service and suburb give Google more to work with.
3. Write pages that answer real customer questions
Remember query fan-out: one question can trigger several searches behind the scenes. A website with one thin "Services" page gives Google little to draw from. Give each main service its own page that covers who it's for, how the process works, what affects the cost, how long it takes and which areas you cover. Add short FAQs using the questions your team hears on the phone every week.
4. Make sure Google can read your website
Google advises making sure important content is available as text, not locked in images, and that Google is allowed to crawl your pages (Google Search Central). Slow mobile pages, missing headings and text inside banner graphics all work against you. Our list of website fixes to make before a redesign covers the most common problems.
5. Track calls and enquiries, not just traffic
If AI answers reduce clicks on question-style pages, a drop in visits may not mean a drop in business. Track phone calls, form enquiries and Business Profile actions alongside website traffic. Those are the numbers that pay the bills.
6. Tidy up your Google Ads account
Because ads can now appear inside AI answers, broad keywords can match in places you didn't expect. Review your search terms report, add negative keywords and check that each landing page matches the service in the ad. Our Google Ads management team does this as a routine part of every account.
If you're planning a new website, don't let it undo the work you've already done. Our guide to keeping your Google rankings through a website rebuild explains how to move without losing traffic.
Frequently asked questions
No. Google says "There are no additional requirements to appear in AI Overviews or AI Mode, nor other special optimizations necessary" (Google Search Central). Pages need to be indexed and eligible to show in regular search. Clear, accurate and helpful content is what gives you a chance of being used.
Yes. Google began rolling out AI Mode to Australians from 8 October 2025 (Think with Google). It appears as a separate tab in Google search, where people can ask longer questions and follow-ups. AI Overviews, the summaries at the top of some results, were already showing in Australia before that.
They can for question-style searches. In Pew Research Center's US study, people clicked a regular result in 8% of visits with an AI summary, compared with 15% without one (2025). Searches where someone needs to hire a local business are less likely to end without a call or visit.
Not separately. Google says you can't target ads only to AI Overviews or AI Mode, or opt out of them separately from Search (Google Ads Help). Negative keywords, brand exclusions and well-matched landing pages remain the main ways to control where your ads appear.
Open the Performance report in Google Search Console. Google includes AI Overviews and AI Mode traffic in the "Web" search type (Google Search Central). Look for pages where impressions hold steady but clicks fall, then compare that with your calls and enquiries over the same period.
Where to start
Google's AI features change how people search, but they don't change what makes a local business worth recommending. Accurate business details, real reviews and pages that answer real questions still do the heavy lifting.
If you'd like a second opinion on how your business shows up in Google today, The Digi Lab can review your Business Profile, website and Search Console data and give you a clear list of what to fix first. Learn more about our SEO services, or talk to us about your project.