Google’s AI-Driven Advertising Tools Launch in India
Google has rolled out a collection of its AI-driven advertising tools in India, which first appeared in the U.S. in May. This launch follows the repeal of the so-called “Google tax,” making the Indian market more appealing to global tech companies engaged in online advertising.
Reversal of the Digital Advertisement Levy
In March, the Indian government abolished its 6% digital advertisement tax, effective from April, to address trade issues highlighted by the Trump administration.
Trade Concerns Addressed
The United States Trade Representative had labeled the tax as “discriminatory and unreasonable,” since it exempted local companies. Its elimination will reduce operational costs for tech giants like Google, Meta, and Amazon.
AI-Powered Marketing Tools Unveiled
On Thursday, Google conducted a special local edition of its Marketing Live event to introduce its AI tools tailored for Indian marketers. Key features include “Generated for You,” which identifies content opportunities and automatically creates images and videos for merchants, and Smart Bidding Exploration, an opt-in feature that utilizes AI to capture new leads.
Enhancements in Google Ads and Analytics
Google has also introduced new functionalities in its Ads and Analytics platforms. Dan Taylor, Google’s Vice President for Global Ads, mentioned that these tools learn from various inputs—such as datasets and real-time campaign performance—to help businesses achieve their goals more efficiently.
Performance Metrics from Early Testing
Google’s AI Max for Search Campaigns aims to enhance ad campaign performance by identifying high-performing search queries. Early testing showed that Indian marketplace Cashify experienced a 15% increase in conversions and a 12% reduction in customer acquisition costs thanks to AI Max.
Growing Digital Advertising Landscape in India
With the rapid growth of India’s digital advertising scene, projected to reach nearly $7 billion by the end of 2025, Google continues to innovate and meet local demands. Chobey emphasized India’s potential due to its vast user base actively engaging with Google’s products.
