Google Ads Info & Updates

Google Ads Updates for 2026: Everything You Need to Know About AI Max and Demand Gen

Cristina Jiménez
June 25, 2026
5 min read

Straight from Google's offices, we've received the latest guidelines and Google Ads updates for 2026. If one thing is clear, it's that the algorithm is getting smarter, but it needs us to give it the right control. Micro-segmentation is a thing of the past; the future relies on data consolidation, artificial intelligence, and "Full Funnel" impact.

In this article, we summarize the most important changes and best practices to scale your campaigns this year, focusing on two main protagonists: AI Max for Search and Demand Gen.

AI Max for Search: Less Segmentation, More Intelligence

The new era of search campaigns is called AI Max for Search. Google is clear: the more freedom and data the tool has, the faster it will learn and the better results it will deliver. Here are the keys to configuring them successfully in 2026:

Structure and Keywords

  • Group to win: Avoid creating separate campaigns by match types or locations. Consolidate as much as possible to feed the algorithm with more data and shorten the learning phase.
  • Ad groups by concept: Maintain semantic consistency by grouping around clear themes.
  • Goodbye manual Long Tail: Focus solely on Core Keywords. AI Max's intelligence automatically captures long-tail searches for you.

Brand Control and Targeting

  • Brand inclusions and exclusions: Use the new Brand Inclusions/Exclusions tools instead of relying exclusively on negative keywords. It's much more precise.
  • Negative keywords with caution: Use negative keywords based on what actually works or doesn't, but do not overdo it. An excess of negative keywords will limit the system's learning.
  • URLs under control: Make sure to properly set URL inclusions and exclusions to direct traffic exactly where you want it.
  • Precise locations: Take advantage of Location Controls and Location Interests to refine who and where you target.

Copy and Ads

  • Make the most of Text Guidelines to write higher-quality copy and use Text Disclaimers if your industry requires them.

Demand Gen: The Consideration-Generating Machine

If Search campaigns capture demand, Demand Gen is here to create it. And Google's promises are strong: this campaign type aims to lower CPA by 5% and increase conversions by 14%.

To achieve this, you must build on these strategic pillars:

Budget and Bidding Strategy

  • The budget rule: Set a daily budget that is at least 10 times your target CPA per campaign, or about $100/day if you use the Maximize Conversions strategy.
  • Volume first: Start with Maximize Conversions. If you decide to use tCPA or tROAS, set realistic goals (similar to what is already working for you on Meta Ads or TikTok Ads).

Data and Audiences

  • First-Party Data is king: Prioritize your own data using Customer Match (customer lists), GA4 audiences, and Remarketing lists.
  • Smart expansion: Enable NCA (New Customer Acquisition) and Optimized Targeting (flexible bidding) so Google can find users similar to your best customers.
  • Ad Group Structure: Separate them by typology. For example: High Intent, Affinities, Retargeting (e.g., website visitors in the last 60 days), and Customer Match.

Creatives: The Engine of Demand Gen

Demand Gen is highly visual. Without good assets, there are no results.

  • Minimum formats: Upload at least 1 video per format (horizontal, vertical, and square), although the recommendation is to provide as many as possible. For images, a minimum of 3 (one per format).
  • Turn on optimization: Enable Asset Optimization.
  • Inspiration and Formats: Use the YT Best in Ads portal for inspiration. Furthermore, Google strongly encourages the use of influencer content.
  • Product catalog: If you have an e-commerce store, always link your Product Feeds.
  • Copy approach: Demand Gen is for the consideration phase, not "pure branding." Your ads must show added value or clear promotions.

Patience and Measurement (The 50 Conversions Rule)

Careful! Demand Gen is extremely sensitive to changes. If you are going to tweak budgets or creatives, do it all on the same day and wait.

  • Do not evaluate the results until the campaign reaches 50 conversions (you have to arm yourself with patience and budget during the learning phase).
  • Evaluate different conversion types, not just the final lead. Look at clicks or views. Often, Demand Gen generates the interest, but the purchase is closed through another channel two weeks later. Reliable tracking is vital!

New Google Reports: "Collapsing" the Traditional Funnel

The meeting left us with a clear reflection from Google: we have to "collapse the funnel." If you start by doing pure branding without a connection to the sale, people don't end up buying. You have to constantly push the user toward the end of the funnel.

To measure this, Google will launch two fundamental reports in 2026:

  1. Full Funnel Impact: An econometrics-based report that will demonstrate how Demand Gen helps boost the performance of your other campaigns. For example, you will see how your brand searches or Search conversions rise when you activate Demand Gen.
  2. ABS (Attributed Brand Search): This will show you the direct relationship of how searches for your brand on Google grow right after users see your video ads (although, for privacy reasons, they won't provide the specific search terms).

Conclusion: Are You Ready for Google Ads in 2026?

Google's message for 2026 boils down to trust in the algorithm and first-party data. AI Max for Search asks you to consolidate structures and focus on core concepts, while Demand Gen demands patience, extreme care with creatives, and an analysis that goes beyond the last click.

Do you need help applying all these updates to your campaigns and avoiding burning budget in endless learning phases?

Cristina Jiménez
June 25, 2026
5 min read

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