How AI search results are reshaping local SEO and what you need to do about it
Google AI Overviews are fundamentally changing how Australian businesses appear in local search results. Instead of traditional blue links, Google now generates AI-powered summaries that answer user queries directly, pulling information from multiple sources. For local businesses—from Sydney plumbers to Melbourne cafes—understanding this shift is critical to maintaining visibility in 2025.
Google AI Overviews (formerly called Search Generative Experience) use large language models to synthesize information and display it prominently at the top of search results. When someone searches for "best Italian restaurants near me" or "emergency plumber in Brisbane," Google's AI pulls relevant information from websites, reviews, and local listings to create a comprehensive answer.
The key difference from traditional search: instead of clicking through to a website, users get an instant answer with citations. For Australian businesses, this means your content needs to be structured differently to appear in these overviews.
Local search is where most Australian small businesses compete. A 2024 BrightLocal survey found that 76% of Australian consumers use search to find local businesses. With AI Overviews now dominating the search landscape, businesses that don't adapt risk losing visibility entirely.
The impact is especially significant for:
Traditionally, the top 3-5 organic results got most clicks. Now, users often find their answer in the AI Overview without scrolling further. This creates both challenges and opportunities:
The Challenge: Fewer clicks to your website if you're not included in the overview.
The Opportunity: Being cited in an AI Overview increases brand visibility and establishes authority, even if users don't click through immediately.
Google AI Overviews include citations linking back to source websites. A Melbourne-based digital marketing agency might see their content summarised in an overview, with their URL cited. This drives qualified traffic from users who trust the AI's recommendation.
However, not all citations are equal. Being the primary source carries more weight than being one of five citations.
Example 1: Sydney Plumbing Business A Sydney-based emergency plumbing service noticed that searches for "24-hour plumber Sydney" now show an AI Overview listing common issues and solutions. The business's Google Business Profile and website content appear in citations, driving calls from users who saw their expertise highlighted.
Example 2: Brisbane Café A specialty coffee roaster in Brisbane found that searches for "best coffee near me" generate AI Overviews featuring local café recommendations. Their review ratings and business description appear in the overview, increasing foot traffic without a direct website click.
Example 3: Perth Accountant A tax accounting firm in Perth discovered that "tax deductions for small business" queries now show AI-generated summaries citing their blog posts. This positions them as an authority and drives consultation bookings from warm leads.
Google's AI looks for clear, well-structured information. Format your content accordingly:
Your Google Business Profile is often the first source Google checks for local information. Ensure:
A Melbourne-based gym that regularly updates their Google Business Profile with class schedules and member testimonials now appears more frequently in AI Overviews for "fitness classes near me" searches.
AI Overviews prioritize content that directly answers user queries. Develop content around:
Structure these with clear questions as headings and concise answers immediately following.
Schema markup helps Google understand your content context. Implement:
A Gold Coast tradies business that implemented proper schema markup saw their service descriptions appear more frequently in AI Overviews for local searches.
Google's AI prioritizes sources that demonstrate genuine expertise. Build trust by:
A Perth dentist with published articles about oral health, patient testimonials, and professional credentials ranks higher in AI Overviews than competitors with minimal online presence.
Regularly check how your business appears in AI Overviews:
Ignoring local SEO fundamentals: AI Overviews build on solid local SEO. Neglecting Google Business Profile optimization, local citations, and review management will hurt your visibility.
Keyword stuffing: Overloading content with keywords makes it less readable and less likely to be extracted by AI. Write naturally for humans first.
Outdated information: AI Overviews prioritize fresh, current information. Outdated business hours, old pricing, or stale content signals low quality.
Poor mobile optimization: Most local searches happen on mobile. If your website isn't mobile-friendly, Google's AI will extract information less effectively.
Neglecting reviews: Review quantity and quality directly influence how AI Overviews present your business. A business with 50 five-star reviews will appear more prominently than one with none.
Google AI Overviews are just the beginning. As AI search continues evolving, businesses that adapt early gain competitive advantage. The fundamentals remain unchanged—authenticity, expertise, and user value—but the presentation format has shifted dramatically.
Australian businesses that invest in proper content structure, complete local profiles, and genuine expertise will thrive in AI-powered search. Those that ignore these changes risk becoming invisible in local search results.
The shift isn't a threat; it's an opportunity to demonstrate what makes your business special to both AI systems and potential customers.
Google AI Overviews are AI-powered summaries that appear at the top of search results, synthesizing information from multiple sources to answer user queries directly. Instead of traditional blue links, users see instant answers with citations. For Australian businesses, this means adapting content structure to maintain visibility in local search results.
Optimize your content with structured data, ensure accurate local business information, and focus on answering specific user questions clearly. Use natural keywords, maintain updated Google Business profiles, and create comprehensive content that addresses common local search queries. Quality citations from multiple sources increase your chances of appearing in overviews.
AI Overviews present both opportunities and challenges. While they reduce click-through rates to individual websites, they increase brand visibility by displaying your information prominently. Australian businesses that adapt their content strategy and optimize for AI can actually gain competitive advantage in local search results.
Service-based businesses like plumbers and electricians, hospitality venues including restaurants and cafes, professional services such as accountants and lawyers, and retail shops are most impacted. These industries rely heavily on local 'near me' searches where AI Overviews now dominate search results.
Structure content to directly answer specific questions users ask. Use clear headings, bullet points, and concise paragraphs. Implement schema markup for local business information, maintain consistent NAP details, and focus on comprehensive, authoritative content that Google's AI can easily synthesize and cite.
AI Overviews are becoming increasingly prominent in local search, but traditional results aren't disappearing entirely. However, 76% of Australian consumers use search to find local businesses, making AI Overviews critical for visibility. Businesses must adapt to remain competitive in this evolving search landscape.
Prioritize accurate business name, address, phone number (NAP), hours of operation, and service area information. Add detailed service descriptions, high-quality photos, customer reviews, and structured data markup. Keep all information current and consistent across platforms to improve your chances of appearing in AI-generated summaries.
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