Google said this week that it has been testing new ad formats for travel as search becomes a “more powerful tool for discovery.”
Sharing a number of updates, Vidhya Srinivasan, Google's VP and general manager of ads and commerce, said the company is “reinventing what an ad is” to “bridge inspiration and action.”
She said that within AI Mode, for example, brands can “fit naturally into the conversation.”
“AI Mode already surfaces organic shopping recommendations based on what’s most relevant to a query. Now, we’re testing a new ad format to showcase retailers that offer those products, clearly marked as sponsored. This new format helps shoppers easily find convenient buying options and offers retailers the opportunity to show up in these key moments of consideration.”
Similar formats are being tested in other industries, including travel, she said.
The company has also launched Direct Offers in AI Mode, enabling companies to share tailored offers with users and boost conversion.
“We will expand these to include special offers that go beyond price to value, like loyalty benefits and product bundles.”
Travel was not mentioned in conjunction with Direct Offers, but it is not a huge stretch to imagine the industry using the format to serve up discounts to help offload unsold inventory.
The aim is to make the shopping experience easier for consumers and put in place the “building blocks needed to make agentic commerce seamless and secure,” Srinivasan said.
OpenAI also unveiled its ChatGPT ad pilot program this week, and Marriott shared that it was participating in the test during its fourth quarter earnings call on Tuesday. Meanwhile, Expedia Group said it is working closely with Google and others "as they are adapting their interfaces."
Google's testing of ad formats comes after the launch of its Universal Commerce Protocol in January. The protocol standardizes how companies connect with AI agents for shopping through to payments.