AI

AI Overview: Friend or Foe?

How Google’s AI-Powered Search is Reshaping SEO

Last updated:
October 23, 2024
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4
min read
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Author
Mollie Jackman

As Google’s AI-powered Overview evolves, brands are feeling the pressure—and for good reason. Key industries are already being affected; branded searches are on the decline, and questions are swirling about whether ranking high still matters. (Spoiler: it does.)

In this post, we’ll unpack which industries are being hit hardest, why branded searches are dropping, and why maintaining top rankings (on multiple search platforms) is still pivotal—especially for informational queries. Welcome to the first installment of our AI Tides series, where you can stay ahead of the changes and keep your brand performing where it counts.

Evolution of the SERP: From Bare Bones Links to SGE

Google’s Search Engine Results Pages (SERPs) have gone through serious changes over the years—think featured snippets, local packs, and those rich results that seemed to appear out of nowhere. Each shift has changed how brands compete for top spots, but one thing hasn’t changed: ranking high has always mattered.

At PACIFIC, we’ve built a reputation as the first to crack the code on algorithm changes, turning every update into a win for our clients. From Penguin to BERT, we’ve stayed ahead of the game, ensuring our clients land in those top positions that actually deliver results.

Google’s AI integration didn’t happen overnight. It began with small projects like RankBrain, but the real leap came with tools like the Search Generative Experience (SGE) and AI Overview, which completely shifted the way search works. Now, instead of just keyword matches, AI generates answers that feel more conversational. The AI Overview looks beyond keywords and focuses on giving the user context and depth, but that has also led to some… interesting answers.

During one AI Overview, Google confidently stated that the Eiffel Tower was located in Belgium. This mix-up showcased how AI can sometimes trip up even on some of the world’s most well-known facts​. Factual inaccuracies such as this one caused Google to decrease the prevalence of AI Overview, but they’re starting to grow again after some refinement of the algorithm.

This shift is clearly significant for businesses, but who’s affected most?  

Which Industries are Most Affected by AI Overviews?  

If you’re seeing branded search numbers drop, you’re not alone—and it’s not a cause for panic. This shift is happening across the board, and it’s entirely expected with the rise of AI-driven search. Google’s AI Overview is designed to deliver more generalized, objective answers, which means users aren’t searching for specific brands as much as they used to.

Instead, they’re looking for solutions, product comparisons, and general information. While it might feel like a hit to your brand’s visibility, this trend is part of a broader transformation in how people interact with search results—and we need to grow with it.  

For heavily impacted industries like electric power, telecommunications, and finance/insurance, this shift means adapting to a world where users are seeking answers, not names. It’s all about meeting customers where they are, by aligning your content with AI-friendly queries and capitalizing on non-branded search strategies.

Want a full rundown of affected industries?

Electric Power

In the electric power sector, the shift to AI is making a notable impact. Instead of users searching for specific brands, they’re now looking for general information about renewable energy, smart grids, or energy efficiency. AI-generated results are stepping in with broad overviews, pushing brand-specific content further down the page.

This is a tough blow for energy companies that have relied on branded searches to attract new customers. Now, they’re competing in a space where the AI prioritizes content about technology trends or regulations over their specific brand.

Telecommunications

Telecom companies are feeling the squeeze, too. When users search for things like "best mobile plans" or "fastest internet providers," they’re increasingly shown generalized AI summaries that compare different offerings without much focus on the brands themselves. This may give smaller providers a chance to get noticed, but it also means big players are losing some of their old dominance in search.

As a result, telecom companies need to pivot to capture more non-branded traffic and focus on optimizing their content for AI-friendly queries.

Finance and Insurance

The finance and insurance industries are no strangers to change, but the rise of AI-generated search results has thrown them a curveball. Searches for “best life insurance” or “top mortgage rates” are no longer bringing up only branded results. Instead, AI is generating comprehensive overviews, often pulling from multiple sources to provide a neutral comparison of options.

This shift is especially tough for financial companies who have built trust through strong brand recognition. In fact, AI Overviews are now showing up in almost 45% of finance-related searches, presenting broad comparisons that sideline the traditional reliance on brand-specific SEO​.

For businesses in these sectors, it’s time to rethink strategies. As branded searches decline, the focus needs to shift toward optimizing for informational queries, and finding new ways to stand out in AI-driven search results. The good news? PACIFIC is already ahead of the game.  

Decline in Branded Searches: What’s Happening?

Search Engine Journal recently reported that since the rollout of AI Overview, almost 60% of Google searches result in zero clicks. (What’s a zero click result? It’s a search that results in no traffic from the searcher, likely because they found the information they were looking for in featured snippets or AI overview.) Based on this information, we can infer that users are shifting away from brand queries, opting instead for more general searches.  

But why?

There are a few key reasons for this decline, and understanding them is your key to staying ahead:  

Consumers Are Asking Different Questions

We’re also seeing a shift in the way consumers search. Instead of looking for specific brands, they’re more likely to ask questions like “cheapest internet plan” or “best credit card for travel,” leaving AI to serve up the “best” options. As a result, branded queries are taking a backseat while more general, non-branded searches drive traffic.

This means fewer opportunities for businesses to capture traffic based solely on name recognition. For industries like telecom or finance, this trend is making it harder to rely on brand loyalty alone to draw customers in​.

AI is Obsessed with Generalized Responses

Google’s AI Overview is designed to give users the most comprehensive, neutral answers possible—so it’s not focused on pushing any particular brand. Instead, it generates summaries that pull from multiple sources, often presenting broad comparisons. For example, when someone searches “best insurance policy,” they’re likely to see an AI-generated comparison of policies rather than a direct brand recommendation.

In fact, AI Overviews now show up in around 8-9% of search queries (though this number changes daily), down from earlier levels, but still significant enough to impact branded traffic​.

Brands that once dominated these searches are now being nudged aside by AI’s preference for feature-based answers. And the kicker? AI is probably pulling answers from your optimized content.  

Impact on Brand Loyalty and Direct Traffic

When fewer users are searching for specific brands, the opportunity to build and maintain customer relationships through organic search declines. AI-generated overviews tend to present unbranded information, leveling the playing field and making it harder for your brand to stand out.

This shift is particularly challenging for industries that depend on trust and reputation (like insurance and finance), where brand names have traditionally played a bigger role in consumer decisions.  

So how do we adjust?  

As branded search volume declines, it’s more important than ever to expand your SEO strategy beyond Google. Optimizing for other search engines like Bing and DuckDuckGo can help you capture traffic from users who are less impacted by Google’s AI Overview.

Ultimately, adapting to this new reality means embracing more non-branded search strategies and optimizing content for AI-driven results. It’s important to understand that all brands are experiencing this drop, and optimizing your content to appear in AI overview is your best strategy moving forward.

Our team at PACIFIC is working day and night to decode AI overview, so let’s move on to what we know so far…

High Search Ranking Still Matters

Let’s start with full transparency: Google hasn’t disclosed exactly how its AI chooses content for these summaries, meaning no one—including PACIFIC—knows the precise algorithm that drives its selections. That said, we can infer a lot from the data:

  • Studies show 84% of AI Overviews pull content from websites already ranking in the top 10 organic results.
  • 45% of AI Overviews appear alongside featured snippets (also frequently sourced from top-ranked pages).  
  • The top three organic results are still capturing more than 50% of clicks.

So, while the exact criteria remain under wraps, the evidence points to a clear takeaway: high ranking organic content is still the best strategy—whether you’re aiming to appear in AI overview results or not. After all, AI-generated overviews may answer initial questions, but many users still rely on the top-ranked websites for more in-depth information.

And while top rankings on Google are still top priority, diversifying your SEO efforts across multiple search engines can help ensure that your brand stays visible no matter how AI-driven search evolves. Platforms like Bing and Yahoo offer less crowded spaces where top rankings may be easier to achieve.

Beyond Rankings: Understanding Search's Full Playing Field

With Google's AI Overview reshaping search behavior, it’s more important than ever to diversify your SEO efforts beyond just Google. Other platforms offer opportunities to capture new audiences and drive traffic in different ways. Here are three search engines to consider optimizing for:

  • Bing: Bing might not have Google's market share, but it still commands around 8.85% of global desktop searches as of 2024. With Microsoft’s ongoing investments in AI, including its partnership with OpenAI, Bing’s search capabilities are growing more sophisticated, offering less competitive but still valuable SEO opportunities​.
  • Pinterest: Pinterest is more than just a social platform—it’s a powerful visual search engine. With over 463 million monthly active users, Pinterest is a major player in visual search, especially for e-commerce, fashion, and DIY sectors. Around 85% of users turn to Pinterest when starting a new project or looking for inspiration, making it ideal for businesses that rely on visual engagement​.
  • TikTok: TikTok’s rise as a search engine has been rapid, with 40% of Gen Z now using it to search for information instead of traditional platforms. Optimizing for TikTok’s internal search, which prioritizes content relevance and engagement, can help businesses tap into this younger, highly engaged demographic​.

By optimizing for these platforms, you can capture audiences that might otherwise be missed by focusing exclusively on Google. This multi-platform approach will help your brand stay agile and visible across a broader spectrum of search experiences.

PACIFIC’s Strategy: Blending SEO and AI Tactics

At PACIFIC, we focus on combining what we know works—traditional SEO and top-notch content—with what we’re learning about AI’s evolving role in search. While we can’t fully decode Google’s AI algorithm (yet), our expertise helps clients stay competitive by adapting to AI-driven shifts.

We ensure your brand not only ranks at the top, but also stands a strong chance of being included in both AI overviews and organic results, keeping you ahead in a constantly changing search environment.

Actionable Strategies to Safeguard Your Search Performance

As AI-driven search tools like Google’s AI Overview gain momentum, businesses need to adjust their strategies. Most AI Overview results are triggered by informational queries—questions like “What is the best mortgage rate?” or “How does renewable energy work?”​

These queries are typically seeking broad, objective answers, meaning brands have less control over driving traffic through branded searches alone.

To adapt, brands need to rethink how they approach SEO and content creation. Here are a few high-level strategies to help your business adjust:

  • Think beyond Google: Optimize for growing platforms like Bing, TikTok, and Pinterest (among others) to expand your reach as searchers explore new avenues for information.
  • Optimize for Non-Branded, Informational Searches: Focus content on informational queries to be prioritized by AI Overview.  
  • Ensure Content is AI-Friendly: Think clean, well-organized pages with clear headers, concise answers, and authoritative insights.
  • Balance Between Branded and Non-Branded Keywords: While branded keywords are still important, focusing on non-branded search terms ensures you're appearing in results for broader topical queries.  

Not sure where to start? No worries. When you work with PACIFIC, we’ll take you beyond the basics—guiding you through these shifts and providing an in-depth strategy that keeps you competitive in the AI search world. We implement high-level tactics with pinpoint precision to help your brand adapt and thrive as search algorithms inevitably change.  

What Now?

So, is AI overview friend or foe? For now, it might be both. We don't know its motivations yet, but we do know one thing: the importance of SEO hasn't changed. AI is flipping the search script, and brands who sit still will be left behind. Branded searches are down and the SEO playbook is changing—but don’t be fooled into thinking AI is calling the shots.

At PACIFIC, we see the latest changes to search as a massive opportunity. Truthfully, we live for this kind of challenge, and we’re forging ahead at full speed.  

With AI shaking things up on Google, it’s a good time to look beyond one platform—and we’re ready to help. Diversifying your SEO efforts to other search engines not only broadens your reach but also helps future-proof your brand as the search landscape keeps evolving.

Want to join us? Follow our AI Tides series for the latest updates and straight-to-the-point insights on what all this means for your business. And if you’re truly ready to stop watching from the sidelines, we’ll help you navigate the twists and turns of the AI revolution and stay in the spotlight—where you belong.

Ready to roll?

Contact us now.