Google Launches AI Tools to Boost Retailer Growth and Advertising Innovation

Google introduces new Artificial Intelligence-powered features to transform retail advertising, streamline commerce, and empower marketers with advanced content creation and agentic assistants.

Google has unveiled an expansive suite of artificial intelligence-powered tools aimed at helping brands and retailers drive growth in shopping and advertising effectiveness. The announcement, made by Vidhya Srinivasan, vice president and general manager of Google Ads and Commerce during Google Marketing Live 2025, positions artificial intelligence as central to the company’s reimagined advertising future. Google’s latest offering includes features that span from data-driven bidding strategies to generative content tools and agentic assistants, all designed to convert industry challenges into new business opportunities for marketers and retailers.

Key innovations include the expansion of ads into Google’s AI Search Overviews and the new AI Mode, increasing ad visibility where consumers begin their product searches. Marketers running Performance Max, Shopping, or Search campaigns can now see their ads surfaced in these intelligent environments. With advanced models like Veo for image-to-video generation and Imagen for image creation being embedded into ad workflows, marketers are equipped to speed up creative production. Asset Studio, a newly launched workspace, streamlines asset management, while the ´Generated for You´ tool in Product Studio automatically suggests visuals and campaign ideas tailored to shopping trends.

Google is also upgrading its bidding infrastructure for the first time in over a decade, introducing Smart Bidding Exploration. This innovation encourages advertisers to reach high-intent, less-obvious search queries, expanding their audience and driving more conversions. Early results cite an 18% increase in unique search queries with resulting conversions and a 19% overall increase in conversions. Complementing this, agentic artificial intelligence-powered assistants now help marketers with campaign management, content development, performance analysis, and proactive, personalized recommendations. Google Analytics is enhanced with new capabilities for trend identification and visualization, and a new Marketing Advisor AI agent offers in-browser campaign guidance via Chrome. Updated measurement tools, including incrementality testing at lower spend thresholds and cross-channel analytics, focus on delivering clearer ROI insights.

The releases arrive as Google faces rising competitive pressure from companies like OpenAI and Perplexity, who are also leveraging artificial intelligence to win commerce-focused users. The enhanced features and proactive agentic assistants represent Google’s commitment to making artificial intelligence practical and actionable for marketers, aiming to improve speed-to-market, enhance user experience, and equip brands to succeed in a fast-evolving digital advertising ecosystem driven by intelligent technology.

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