How Google’s AI Overviews Are Shaking Up SEO – What Agencies Need to Know

The New Challenge in SEO

If you’ve noticed your hard-won Google rankings aren’t delivering the traffic they used to, you’re not alone (and no, you didn’t suddenly forget how to do SEO!). The culprit may be Google’s AI Overviews – the shiny new AI-generated answer boxes now appearing at the top of many search results. These summaries give users instant information… and often reduce the need to click through to any website. In fact, recent studies show that when an AI Overview is present, users click a result only about 8% of the time, versus 15% on a regular search page. That nearly 50% drop in clicks has big implications for those of us in the business of driving organic traffic.

In this blog post, we’ll break down what AI Overviews are and why they matter specifically for marketing agencies. Consider this a friendly heads-up (with a supportive pat on the back): Google’s latest search evolution is changing the rules, and it’s critical for agencies to adapt. We’ll share a sneak peek of insights from our in-depth Tech Briefing – including key data on declining click-through rates and shifting search behaviors – and outline how agencies can respond. Most importantly, we’ll discuss why this all matters to your agency’s strategy, service models, and client reporting. Change can be intimidating, but don’t worry – we’ve got an optimistic take and concrete suggestions to help you navigate the AI-powered search landscape. (Spoiler: It’s not all doom and gloom; in some ways, these changes can push us to become better marketers.) Let’s dive in!

What Are Google’s AI Overviews? (And Why Are Clicks Disappearing?)

If you’ve been outside the SEO bubble (you know, busy actually running an agency!), here’s a quick definition: AI Overviews are AI-generated summary answers that appear at the top of Google search results for certain queries. They were rolled out widely in 2024 as part of Google’s Search Generative Experience. Think of them as supercharged featured snippets – longer, more detailed, and often incorporating content from multiple sources. For example, a search for “How to improve website conversions” might yield an AI Overview with a numbered list of tips synthesized from various sites, right there above the standard links.

Great for users, perhaps, but here’s the rub for agencies and their clients: Users often get their answer from the overview and never click through to any site. We call these “zero-click searches,” and they now comprise around 69% of all Google searches. That’s right – over two-thirds of searches end without a click to external websites. This trend has been growing, but AI Overviews accelerated it. Fewer clicks on search results mean fewer visitors to your carefully crafted blog posts, landing pages, or client websites.

Why would Google do this, knowing it hurts site traffic? The official line is that it’s about better serving the user. Google figures if they can give you what you need immediately, you’ll be a happier searcher (and more likely to use Google again…and see more Google ads). They even claim that while clicks are down, the clicks that do happen are “higher quality” – meaning those visitors are more engaged. Maybe so, but it’s cold comfort if your client’s organic visits drop 30% and they call asking, “What happened to our SEO?!”.

In short, AI Overviews are a double-edged sword: fantastic for quick info, tough on the traditional traffic model. As an agency, you need to understand this new reality so you can adjust your approach and keep delivering results (and clear explanations) to your clients.

Why This Matters for Agencies: The Impact on SEO Strategy and Services

For anyone doing SEO or content marketing, AI Overviews are a big deal. Here’s why agencies should care:

• SEO Strategies Need a Tune-Up: Tactics that worked before might not work the same now. For example, creating loads of generic how-to articles to capture informational searches was a staple content strategy. But if Google is answering “how to tie a tie” or “best project management tools” right on the results page, your client’s blog post on the topic might get significantly less love. This means we have to be more strategic: focusing on content that offers depth, unique insights, or brand-specific information that AI can’t easily replicate. (Our Tech Briefing dives deep into this – noting that Google’s own VP says “richer, deeper content” is what people click on from AI results. Translation: thin content won’t cut it.)
• Client Reporting & Expectations: If your clients’ organic traffic dips due to these industry-wide changes, you’ll likely be the one explaining it. It’s crucial to get ahead of that narrative. Agencies should be educating clients that a decline in clicks isn’t necessarily due to poor SEO performance, but rather a shift in how Google displays results. We’ve seen data from Pew, for instance, showing a ~46% drop in clicks when AI summaries are present. Sharing reputable findings like that can help clients understand it’s a Google ecosystem change, not an “agency didn’t do their job” issue. Moreover, agencies might start emphasizing new KPIs – such as conversion rate per visitor or engagement metrics – to show that the traffic that does come is highly valuable even if volume is lower. This reframing can protect your client relationships and demonstrate your expertise in navigating the change.
• Services and Revenue Mix: If organic search is delivering less traffic, many clients will look to other channels to fill the gap. That could mean more budget flowing to PPC, social media, or other digital campaigns. Agencies need to be ready for this shift. Are you prepared to support an uptick in Google Ads or Facebook Ads if a client wants to compensate for lost organic leads? This is where having a broad skill set (or a trusted white label partner) comes in handy. For instance, our agency partners often lean on That! Company’s white label PPC services when they need to quickly scale paid search efforts. Similarly, being able to offer content repurposing to video or managing an email newsletter can add value as organic SEO evolves. In essence, agencies that can pivot and expand services will turn this challenge into an opportunity – strengthening their role as a one-stop solution for clients. Those who stick rigidly to “just SEO” might feel more of a pinch.
• Client Communication & Trust: Finally, moments like this are where agencies prove their worth as advisors. Your clients might have heard murmurings like “Google’s AI is killing SEO” and be anxious. By proactively bringing up the topic, explaining what it means, and presenting a plan, you reinforce trust. You show that you’re not just reacting, but actively guiding them through industry changes. That supportive, confident communication (ideally with a dash of calm humor when appropriate) is core to what we at That! Company consider a strong agency philosophy. It’s about saying, “Yes, things are changing – but here’s what we’re doing about it, and we’ve got your back.” This positions you as a strategic partner rather than just a vendor. And that’s huge for long-term client retention.

Preview of Key Insights (Data You Can’t Ignore):

Let’s touch on a few headline stats and facts from the larger Tech Briefing – the kind of insights you’ll want to keep in your back pocket:

• Traffic Declines Across the Board: Multiple studies in 2024-2025 show organic traffic falls when AI Overviews appear. A survey of major publishers saw search traffic down about 10% after AI rolled out, and some niche sites (like educational platforms) saw drops near 50%. It’s a broad trend, not a one-off.
• Zero-Click is the New Normal: As mentioned, roughly 69% of searches end without a click now. Users are getting more comfortable with Google giving them answers directly. Any SEO strategy must account for the fact that ranking #1 doesn’t guarantee a visit if Google satisfies the query.
• Google’s Spin vs Reality: Google maintains that overall outbound traffic is “stable” and that AI just makes people search more (they cited a 10% increase in search activity for AI query types). But many in the SEO community, and data from groups like Pew and Ahrefs, disagree strongly. It appears Google might be looking at macro numbers that gloss over the pain in specific sectors. For an agency, the micro view (your client’s niche) is what matters. Don’t be surprised if some content categories are hit harder than others. News, how-to, definitions – likely big impacts. Branded, local-intent, or very complex queries – less impact or even gains in some cases.
• Users Still Crave Depth: Here’s a silver lining: When people do click through from an AI result, it’s often because they wanted more info than the AI could provide. Google’s Liz Reid highlighted that shallow content gets ignored, whereas content with a unique angle or expertise gets the clicks. So, there’s validation that investing in quality pays off. It’s not just Google cheerleading – it aligns with user behavior. We see this as encouragement to all content creators: keep producing content that stands out and offers real value. Users (and even Google’s AI) will favor it.

Adaptation Strategies: How Agencies Can Respond

Alright, enough about the problem – let’s talk solutions. How can agencies adapt to this AI Overview world and turn it to their advantage? Here’s a snapshot of the strategies we recommend (all of which we expand on in the full briefing):

• Create Content That AI Can’t Fully Answer: This means focusing on depth, storytelling, personal expertise, case studies, etc. If the answer to a query is straightforward, chances are Google will handle it. But if it’s nuanced or subjective, that’s your playground. For example, an AI might list “10 ways to improve SEO,” but your blog can share a personal success story of how you did it for a client, with insights AI wouldn’t have. Unique content is your differentiator.
• Use Schema Markup and Optimize for AI: Make it easy for Google’s AI to feature your content (as paradoxical as that sounds). Proper schema markup can improve the chances of being cited in an overview. Additionally, ensure your content is structured clearly with headings and lists – often, the AI will pull bullet points or step-by-steps from well-organized pages. If your client’s recipe site has recipe schema and clear steps, the AI might showcase it, giving credit (and a click opportunity) to them.
• Lean into Branding and Reputation: As noted, strong brands fare better. Encourage clients to build their brand presence – whether through PR, thought leadership, or simply consistent branding on their content. Branded queries are more likely to bring clicks (sometimes even more than before, with AI highlighting the brand). This also ties in with Reputation Management – having stellar reviews and mentions can make the difference when users see your brand in an AI summary and decide whether to click. (Shameless plug: if you need help here, check out our white label online reputation services – they’re all about making your clients look great online.)
• Diversify Marketing Channels: Don’t rely solely on Google organic. Smart agencies are already expanding their mix: more white label PPC campaigns to capture searchers via ads, more social media content to engage audiences directly, and more email marketing to nurture prospects. If Google’s funnel tightens, open up another funnel! The goal is to keep your clients visible and generating leads even if one source diminishes. It might be as simple as reallocating some budget to Google Ads for those keywords where you’ve seen organic drop. Or maybe invest in a content piece that you distribute via LinkedIn instead of waiting for Google to bless it. Be creative and multi-channel.
• Communicate & Educate: Finally, bring your clients into the loop. Show them you’re on top of these trends and adjusting accordingly. Some agencies fear telling clients “traffic is down because Google changed something” – but in reality, this kind of transparency (backed with a plan) builds trust. It shows you’re watching out for them. Most reasonable clients understand you don’t control Google, but they expect you to respond to changes from Google. So frame it like, “Here’s what’s happening, and here’s what we’re doing about it.” It turns a potentially negative conversation into a proactive one. We’ve found that clients really appreciate when an agency is proactively looking out for them – it reinforces why they hired an expert.

That! Company’s Perspective: Adapting with You, Side-by-Side

As a long-time white label partner to agencies around the world, we at That! Company have seen the digital landscape shift many times – from algorithm updates (Florida, Panda, Penguin, anyone?) to new ad platforms and beyond. This wave of AI in search is another big shift, but our core philosophy remains: help agencies adapt and scale, so they can keep growing profitably. We’re approaching AI Overviews with that same mindset. Our team is actively adjusting SEO tactics, testing what works, and sharing knowledge so that our partner agencies can benefit.

From our vantage point, the agencies that thrive will be those that stay flexible and lean on trusted expertise where needed. Maybe you need to overhaul a bunch of client sites with schema – our SEO nerds (affectionately labeled) live for that stuff. Or maybe you need to supplement content creation with more research-backed, authoritative pieces – our content team has you covered, writing under your branding. Perhaps quick pivot to PPC is needed – our certified PPC pros can jump in. Basically, we want you to be able to tell your clients “Yes, we can do that” for any reasonable request or strategy shift, without breaking a sweat. That’s the power of having a white label partner: you can scale your solutions instantly.

On a lighter note – because a bit of humor is good in stressful times – we sometimes joke internally: Google’s AI is getting smarter, but thankfully it’s not smart enough to put agencies out of business. Why? Because businesses will always need human strategy, creativity, and relationship-building – things an AI can’t replace. Your role as an agency is more critical than ever: being the trusted advisor who interprets the landscape and guides clients through it. In that sense, Google’s changes kind of underscore your value. And we’re here to bolster that value with whatever behind-the-scenes support you need.

Turn Insight into Action (Download the Briefing & Let’s Talk)

Knowledge is power, but action gets results. By now, you’ve got the gist: Google’s AI Overviews are reshaping SEO, and agencies must adjust. The full Tech Briefing dives much deeper into data and tactics – consider it your playbook for this new era. I invite you to download the complete briefing (it’s free!) to arm yourself with all the details, charts, and case studies that we couldn’t fully cover in this post. Share it with your team, use it in your strategy sessions, even impress a client with a stat or two from it – go for it!

After digesting the briefing, you might have questions specific to your agency or clients. Or maybe you’re thinking, “This is a lot to tackle with my current staff and workload.” That’s exactly where That! Company can step in. We offer white label SEO, PPC, Social Media, and Reputation Management services – effectively an extension of your agency’s capabilities. Whether you need an extra pair of hands or a full-fledged team to execute new strategies while you focus on client relationships, we’re here to help. Our goal is to enable your agency to scale and succeed, especially when the market is throwing curveballs.

So here’s our call to action, from one agency ally to another: Reach out and let’s chat about your needs. No hard sell, just a conversation about how you’re coping with these changes and how we might lighten your load or boost your offerings. We’re confident that together we can turn this challenge into an opportunity – helping you not only retain your clients through the AI revolution, but impress them with how smoothly you guided them through it.

In the ever-evolving world of search, it pays to have a partner (and maybe a sense of humor). You bring the passion and client focus, we’ll bring the backup and expertise. Let’s adapt and grow, side by side. Download the briefing, and contact That! Company today to explore how our white label support can help your agency thrive in the age of AI-powered SERPs. Here’s to scaling new heights – even as Google changes the ground under our feet!