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Google Unveils AI-Powered Ad Tools in India: Performance Max Retention, Smart Bidding, and More

Google, at its annual Marketing Live event, announced a range of AI-driven updates to its advertising products, aimed at helping marketers manage multi-platform consumer journeys.

By FE BrandWagon Bureau, Sanyam JainUpdated at: July 10, 2025 2:12 PM
Google’s AI-powered ad formats in action

Google’s AI-powered ad formats in action (Source: prhandout)

Google, at its annual Marketing Live event, announced a range of AI-driven updates to its advertising products, aimed at helping marketers manage multi-platform consumer journeys. According to the company, the new tools focus on automating content creation, optimising campaign performance, and adapting media strategies to evolving digital behaviour. 

The company said the updates are designed to address increasing fragmentation in consumer touchpoints, where individuals frequently switch between search, video, social media, and e-commerce platforms.

“As consumers search, stream, and shop across multiple screens, purchase journeys are no longer linear,” said Roma Datta Chobey, Managing Director - Digital First Businesses, Google India. “These new capabilities are intended to help marketers respond to that shift.”

Key Features and Tools

  • Product Studio – “Generated for You”: This feature uses AI to generate campaign visuals—images and videos—that align with brand identity. The system also suggests themes for seasonal promotions and product discovery.



  • AI Max for Search: A one-click enhancement that uses inputs from landing pages and keywords to refine targeting and place ads during relevant search moments.

  • Performance Max – Retention Mode: Allows advertisers to optimise campaigns solely for re-engaging existing app or web users.

  • Smart Bidding Exploration: The latest bidding update introduces a system to identify new search queries linked to conversions. Google reports an average 18% rise in unique query categories in early testing.

Evolving Ad Formats

With consumers increasingly turning to AI-driven tools for product discovery, Google introduced new ad formats:

  • Ads in AI Overviews: To be rolled out in India later this year, ads will appear within AI-generated answers in Search and Shopping, provided they are relevant to the user’s query.

 

  • Shoppable Connected TV (CTV) and YouTube Masthead: Ads on connected TVs will allow user interaction via QR codes and “send to phone” features. On mobile, YouTube’s Masthead is now integrated with shopping tools for direct traffic generation.

 

Updates in Measurement and Campaign Management

To support marketing effectiveness, Google has made changes to Meridian, its open-source Marketing Mix Model:

  • MMM Data Platform: Offers access to reach and frequency data via API.

 

  • Scenario Planner: Helps marketers simulate campaign outcomes using historical performance trends.

Additionally, Google plans to roll out agentic AI capabilities in Google Ads and Google Analytics. These AI tools will assist advertisers with campaign setup, keyword suggestions, audience segmentation, and performance reporting, using visualised insights and automation.

 

The updates will be rolled out gradually over the coming months. Google said the tools are intended to support businesses navigating media environments and shifting consumer expectations.

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