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What to Expect from Google Ads in 2026
With 2026 upon us digital marketers are extending current campaigns into the new year and setting up new campaigns with their approved budgets. Marketing budgets are ever-changing and so are the many choices for where to spend those dollars. While social media and programmatic are offering new ad types, ZAG still recommends Search Engine Marketing (SEM, Paid Search) as a great way to reach targeted prospective website visitors. Google Ads Search campaigns can also help fill in the gaps for important keywords where your website may not be ranking on terms organically through your SEO efforts.
Over the years Google has expanded their Ads offering to include platforms like YouTube and the Discovery feed, while retaining their original Search ads which show ads on the Search Engine Results Page. New options within Google’s paid search network have also been introduced over the last few years to expand reach and increase impressions, and it’s likely that this will continue to change in the future as our relationship with search engines change and AI tools are used in addition to traditional web searches.
Expanding Campaign Reach: Performance Max Campaigns
Two of the main benefits of the Google Ads platform are Control and Transparency. You are able to control where your ads are showing by selecting specific keywords, and have transparency into the searches that are triggering those ads to show. Performance Max (PMax) campaigns are by no means new, as they initially rolled out in late 2021, but they have seen improvements over the last several years and will likely continue to receive updates in 2026 and beyond. PMax campaigns are a way to get a lot of ads seen on multiple platforms at a low cost per click (CPC). By uploading some text, images and videos you can have an immediate campaign that runs on Google’s search, display and YouTube ad networks.
The problem for years has been a lack of transparency into where those ads are actually being seen, and which searches they are showing up for. For example, when ZAG audits a Performance Max campaign we often find a decrease in Organic Search traffic that correlates to the number of paid clicks the ads receive. This usually indicates that ads are showing for branded searches, or at least searches the website would have received organically for free. In other words, PMax could be poaching clicks from organic Google search traffic.
In 2025 Google rolled out the ability to add Negative Keywords to PMax which is a must-have strategy if you plan to run these campaigns. While ZAG previously did not recommend using Pmax, there is now an opportunity to at least optimize away from unwanted paid search clicks. We expect similar updates to come in 2026 as Google continues to promote this campaign type.
Artificial Campaign Intelligence: AI Max for Search Campaigns
In addition to Performance Max, Google Ads has recently added a new way to broaden the reach of your campaigns called AI Max. While PMax runs ads across multiple platforms including display, AI Max is an extension of your existing search campaign. You can enable it within your search campaign settings which will allow Google’s AI to select keywords that it deems appropriate for your overall campaign strategy. In campaigns where we’ve tested AI Max we see this as being similar to running Broad Match keywords, driving more clicks at a lower CPC than Phrase or Exact Match. You can still add negative keywords as well as included/excluded brands within the AI Max settings.
In addition to updating the keywords that your ads show for, AI Max can modify ad copy and choose relevant landing pages based on a user’s search. So far in our testing, ZAG has not been choosing those options for our heavily regulated financial institution clients, as ad copy typically needs to be reviewed and approved by compliance. Similarly ZAG has only been recommending this campaign for broadly targeted campaigns related to branding and awareness. For campaigns focused on specific products, we are not currently recommending AI Max. Since this is a newer feature in Google Ads we expect it to be heavily promoted with new enhancements rolling out through 2026.
Artificial Recommendation Intelligence: AI Generated Recommendations
It’s not surprising that Google Ads, like so many other tools, is incorporating AI assistance into many areas of the platform. In addition to offering campaign reach expansion through AI Max, they are offering help with ad copy and optimization using AI-generated results. For example, when editing ads you’ll be presented with an AI chat box recommending ways to improve the quality of your ads. This will include adding more relevant headlines, descriptions and assets like sitelinks. Often these will be based on existing ad copy and the selected landing page.
In addition to recommending copy via AI-generated results, Google will recommend campaign optimizations specifically for campaigns using AI Max or Smart Bidding strategies. This will often include adding new keywords that it predicts will yield more clicks, adding images to your text-based ads and uploading customer match lists for lookalike audiences or exclusion from prospecting campaigns. Most of these suggestions will increase clicks at a lower CPC but could make campaigns more generic instead of focused on a specific goal so be mindful when opting in for these suggestions on the Recommendations tab. Ultimately, a human managing these campaigns should make the best decisions for the campaign and not trust AI entirely.
Using Google Ads in 2026 and Beyond
Google’s offerings have expanded over 20+ years, and it remains a key marketing tactic for your digital strategy. Being able to reach prospective customers based on highly specific searches allows you to drive users to your website at the time they are most likely to convert. You’re also able to get Impressions and Clicks for keywords where you might be lacking in organic ranking.
However, sometimes these clicks can be very expensive based on your competition and bid strategy. Using Google’s new AI tools will absolutely decrease your CPC and increase the number of clicks your campaign receives, but you have to consider the quality of that AI-driven traffic which should be measured by tracking conversions. Just like any service that offers AI-generated results or automation, you should be manually reviewing the results on a regular basis. For Google Ads this means checking the Search Terms (actual searches) that are resulting in clicks and adding Negative Keywords to guide the AI recommendations in the direction you want.
As Google rolls out more of these features ZAG recommends being cautious, testing some campaigns and rolling back to more manual settings if performance doesn’t improve or the targeting becomes too broad. We are hopeful that while new campaign tools might not be perfect at launch they will eventually be optimized enough to be added to your marketing plan.
Whether you need assistance in auditing your existing Google Ads campaigns or building a strategy from scratch, ZAG’s team of digital marketing experts is ready to help.