Google to Run Ads in Search AI Overviews; TikTok Boosts its Ad Business with AI; Amazon’s Ad Revenue to Close In On Meta

by Aimee Newell Tarín on 23rd May 2024 in News

On today’s news digest: Google to Run Ads in Search AI Overviews; TikTok Boosts its Ad Business with AI; Amazon’s Ad Revenue to Close In On Meta

Soon, Google plans to start testing Search and Shopping ads in its new feature AI Overviews. This was announced just a week after the major AI enhancement of its search engine. In a blog post, Google explains the feature will give advertisers the opportunity to appear within the section, under a clear 'sponsored' label – if and when they are relevant to both the query and information in the Overview. Additionally, Google says: “There’s no action needed from advertisers: Ads from existing Search, Performance Max, and Standard Shopping campaigns have the opportunity to appear within the AI Overview.” With this move, the tech giant aims to boost its ad sales which make up a significant portion of its revenue.

TikTok is another company looking to AI to boost its ad business. The video platform’s new AI suite for brands, “TikTok Symphony”, will aid marketers in writing scripts, producing videos, and enhancing their current assets. Among the suite’s offerings is a new AI video generator named “Symphony Creative Studio”. TikTok claims that the tool is able to generate videos with only a few inputs needed from the advertiser.

Meanwhile, a forecast by eMarketer predicts Amazon’s ad revenue growth to accelerate for the second consecutive year in 2024, reaching 24.7%. This figure would see it amounting to 13.9% of the digital ad market. Meta and Google combined are expected to claim less than 47% of digital ad spend this year. Huge digital publishers such as Microsoft and TikTok only claim a small portion of spend.