Google innovates AI search to counter TikTok and ChatGPT threats in India

Google's latest AI-powered search overhaul aims to reshape India's e-commerce by enabling in-search purchases, challenging D2C brands and intensifying competition with TikTok and ChatGPT. This strategic move signals a major shift in how Indian consumers shop online and how brands must adapt to maintain relevance.

Sources:
ET BrandEquitySearchengineland
Updated 3m ago
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Sources: ET BrandEquitySearchengineland
At Google I/O, CEO Sundar Pichai unveiled a transformative AI-powered search experience aimed at reshaping how users in India shop online.

Google's new feature allows users to complete purchases directly within search results, bypassing traditional brand websites. This innovation targets major verticals like beauty, wellness, fashion, electronics, and daily essentials, all critical to India's direct-to-consumer (D2C) ecosystem.

"It is about owning the transaction layer in the most valuable verticals," a source noted, emphasizing the strategic importance of this move.

However, this shift poses challenges for D2C brands, as it removes the final click that leads customers to their sites, forcing brands to rethink their online presence. Experts advise focusing on post-purchase relationships and customer loyalty rather than just conversions.

Google's head of Search described this as the biggest change in Google Search's history, surpassing previous innovations like featured snippets and AI Overviews.

"There is no doubt that Google Search is changing in a big way," the executive said.

Despite Google's significant revenue from search ads, the company is concerned about losing users to emerging platforms like TikTok and ChatGPT, which offer new and engaging search experiences.

"Google is worried about TikTok, worried about ChatGPT, worried about searchers going to something new and better," industry observers commented.

While some users express frustration over these changes, experts stress the need to adapt and experiment in this evolving digital landscape.

"The bottom line is while many of us like to complain and we honestly have good reason to be upset, complaining won’t help. We need to adapt and change and experiment," a Google insider advised.

This AI-driven evolution in search signals a significant shift in how Indian consumers will discover and purchase products online, potentially redefining e-commerce and digital marketing strategies in the region.
Sources: ET BrandEquitySearchengineland
Google is revamping its AI-powered search in India to counter competition from TikTok and ChatGPT, introducing features that enable direct purchases within search results. This shift challenges direct-to-consumer brands and signals a major transformation in how users interact with search and e-commerce online.
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There is no doubt that Google Search is changing in a big way. This is likely the biggest change Google Search ever made in its history, it is bigger than the change in 2007, bigger than featured snippets and even bigger than AI Overviews.
Sundar Pichai
CEO of Google
Searchengineland
Key Facts
  • Google has launched a new AI-powered shopping feature in India that allows users to complete purchases directly within search results, reshaping the e-commerce landscape.ET BrandEquity
  • This innovation threatens direct-to-consumer (D2C) brands by removing the final click to brand websites, fundamentally altering customer acquisition strategies.ET BrandEquity
  • Google aims to own the transaction layer in key verticals such as beauty, wellness, fashion, electronics, and daily essentials, which are major categories in India’s D2C ecosystem.ET BrandEquity
  • Brands are encouraged to shift focus from conversions to post-purchase loyalty as Google increasingly controls the transaction process, urging a rethink of online presence.ET BrandEquity
  • At Google I/O, CEO Sundar Pichai emphasized AI’s transformative impact on Google Search, calling it the biggest change in the search engine’s history.Searchengineland
  • Earlier AI features like AI Mode and AI Overviews failed to drive organic traffic to websites, prompting Google to evolve its search experience further.Searchengineland
  • Google is motivated by competition from TikTok and ChatGPT to innovate its search experience and retain users amid changing search behaviors.Searchengineland

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