Big Changes are Coming to Google Ads

Google Ads is changing fast, and if you’re running a small business or ecommerce store, these updates could make a big difference to your online marketing. As an online ads agency in Melbourne, we’re here to help you make sense of it all—so you can focus on growing your business with high-impact ecommerce marketing, not worrying about algorithms and ad formats.

Let’s break down what’s new, what’s working, and what it all means for your ad campaigns. You can also download our FREE guide to Google Ads!

AI Is Taking Over (But in a Good Way)

Google is all in on AI, and that’s great news for businesses looking to get better results from ecommerce marketing with less manual effort. The latest updates mean that Google Ads can now create more personalised shopping experiences, adjust bids in real time, and even suggest better-performing ad copy.

For ecommerce businesses, this is huge. Every day, millions of people search for products online, and Google’s AI is working behind the scenes to match your ads with the right customers at the right time. If you’re running an online store, now’s the time to tap into AI-powered campaigns that bring in more sales without increasing your workload.

New Ad Formats That Grab Attention

The way people consume content is shifting, and Google Ads is following suit. If you’re running ads on YouTube, Google Search, or even Discover, you’ll start to see more immersive and interactive formats.

One big update is the introduction of vertical video ads, which are perfect for YouTube Shorts and mobile-first audiences. Think of these like TikTok-style ads, but with the power of Google’s targeting behind them. If you’re an ecommerce business, showcasing your products in short, engaging videos can help you stand out in a crowded market.

Another update that’s worth noting is the push toward more visual, shopping-focused ads—especially on mobile. This means more image-heavy search results and product displays that make your ads look like part of the shopping experience, not just another text-based search ad.

More Control Over Responsive Search Ads

Google’s AI is getting smarter, but that doesn’t mean businesses are losing control. In fact, one of the latest updates to Responsive Search Ads gives advertisers more say in how ads are put together while still benefiting from automation.

That means if you’re running Google Ads, you get the best of both worlds:

  • AI helps test different combinations to find what works best.
  • You can ensure your brand messaging stays consistent.

For small businesses working with a Google Ads agency, this update makes it easier to tweak campaigns and test messaging while still letting Google’s automation do the heavy lifting.

Better Targeting and Placement for Demand Gen Campaigns

If your business relies on demand generation (getting new customers interested in your products or services), Google has made some important changes. Starting this year, advertisers have more control over where their ads appear—particularly on YouTube and Discover.

For ecommerce brands, this means you can show more personalised and visually appealing product ads to customers who are already interested in similar products. The goal? Higher ecommerce marketing engagement, better click-through rates, and more conversions.

A Few Hiccups Along the Way

Not everything has been smooth sailing. Some advertisers recently reported that their ads stopped running unexpectedly, leading to lost impressions and clicks. Google confirmed the issue and fixed it quickly, but it’s a good reminder to keep an eye on your campaigns.

If you work with an online ads agency in Melbourne (like us), you don’t have to stress—we monitor campaigns closely and make sure everything is running as it should. But if you’re managing ads on your own, regular checks are essential to avoid unexpected drops in performance.

What This Means for Your Business

Google Ads in 2025 is all about smarter AI, better ad formats, and more control for advertisers. If you run a small business or an ecommerce store, these updates can help you:

  • Get better results with AI-powered automation
  • Reach more potential customers with new ad formats
  • Fine-tune your messaging with improved ad controls
  • Stay ahead of the competition with smarter targeting options

As an online ads agency in Melbourne, we’re here to help small businesses make the most of these changes and turn Google Ads into a powerful ecommerce marketing and growth tool. Want to know how to get more sales without wasting your ad budget? Let’s chat.


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