Google has been the same for most of its existence. You type a query, you get a list of blue links, you click one. Simple.

That is changing. Fast.

Google has rolled out AI generated answers at the top of search results. Other search tools powered by artificial intelligence are growing in popularity. The way people find local businesses in 2026 is different from how they found them in 2024, and it is going to keep evolving.

If you are a small business owner who relies on showing up on Google to get customers, this matters. Not because the sky is falling, but because the businesses that understand these changes and adapt to them will have a real advantage over those who ignore them.

What Is AI Search?

In simple terms, AI search is when a search engine uses artificial intelligence to generate a summary answer at the top of the results page instead of just showing a list of links.

Google calls their version “AI Overviews.” When you search for something like “best way to fix a leaking tap,” instead of immediately showing you 10 websites to click on, Google now often shows an AI generated paragraph that summarises the answer, with a few source links underneath.

This is not the same as the old featured snippets (those short text boxes that appeared at the top of results). AI Overviews are longer, more conversational, and pull information from multiple sources to create a blended answer.

Other AI powered search tools like ChatGPT, Perplexity, and Microsoft Copilot are also gaining users. These tools answer questions directly in a conversational format and may or may not reference specific websites.

How Does This Affect Local Businesses?

The short answer is: it depends on the type of search.

Informational searches are most affected

Searches like “how does SEO work” or “what is the difference between WordPress and Wix” are increasingly being answered directly by AI at the top of Google. This means fewer people click through to the websites that used to rank for those queries.

For content publishers and blogs, this is a significant shift. For local service businesses, the impact is more nuanced.

Local service searches are less affected (for now)

When someone searches “plumber Camden” or “web designer near me,” Google still shows the map pack, ads, and organic listings. AI Overviews do not typically replace local service results because the intent is transactional, not informational. The searcher wants to find and contact a business, not read a summary.

This is good news for local businesses. Your map pack listing, your website, and your Google Ads are still the primary way customers find you for service related searches.

Research stage searches are a mixed bag

Before a potential customer searches for “electrician Campbelltown,” they might first search “how much does a switchboard upgrade cost” or “do I need an electrician to install a ceiling fan.” These research stage queries are where AI Overviews are most active.

If your website has blog content that answers these types of questions, you have historically been able to capture that traffic and warm up potential customers before they are ready to hire. AI Overviews may reduce the clicks you get from these queries, but they also create a new opportunity: being cited as a source within the AI generated answer.

What This Means for Your SEO Strategy

AI search does not make SEO irrelevant. It makes certain aspects of SEO more important and others less so.

Content quality matters more than ever

AI systems pull information from websites that are authoritative, accurate, and well structured. Thin content pages with 200 words of generic text are unlikely to be referenced by AI. Detailed, well written pages that answer specific questions thoroughly are the ones that get cited.

This has always been true for traditional SEO, but AI amplifies it. If you have invested in quality content on your website, you are better positioned than competitors who have not.

Your Google Business Profile becomes even more valuable

As AI handles more informational queries, the searches that still show traditional results are increasingly local and transactional. “Plumber near me.” “Website design Camden.” “SEO agency Macarthur.” These searches trigger the map pack and local results, not AI Overviews.

This means that your Google Business Profile is becoming a larger share of your overall search visibility. Businesses that have neglected their GBP in favour of just doing website SEO are going to feel the squeeze.

Brand recognition gains importance

AI tools sometimes recommend businesses by name. When someone asks an AI chatbot “who is a good web designer in the Camden area,” the AI draws from review sites, business directories, and web content to formulate an answer.

Businesses with strong online reputations, lots of reviews, mentions in local directories, and an active web presence are more likely to be mentioned. This is another reason why building a genuine online reputation matters, not just for Google’s algorithm but for AI systems that are learning from the same data.

Structured data helps AI understand your business

Schema markup, the structured data code that helps search engines understand your business, is increasingly useful in the AI era. When your website clearly tells Google (and AI systems) what services you offer, where you are located, what your hours are, and what your customers say about you, it is easier for these systems to reference you accurately.

Most small business websites still have no schema markup at all. Adding it is a technical task, but it gives you an edge that most competitors lack.

What You Should Not Do

Do not panic

AI search is an evolution, not a revolution. The fundamentals of local SEO still apply. Having a fast, well structured website, an optimised Google Business Profile, quality content, and strong reviews will continue to be the foundation of local search visibility.

Do not stop creating content

Some business owners have heard that AI will reduce website traffic and concluded that creating blog content is no longer worth the effort. This is short sighted.

Content serves multiple purposes beyond just ranking in Google. It builds topical authority, supports your service pages, gives you material for social media and email marketing, and positions your business as a knowledgeable provider. Even if some blog posts get fewer clicks because of AI Overviews, the overall value of having quality content on your site remains high.

Do not chase every new platform

New AI search tools pop up regularly. You do not need to optimise for each one individually. The same fundamentals that help you rank on Google also help you get referenced by AI systems: quality content, accurate business information, strong reviews, and a well structured website.

Do not abandon Google

Some industry commentators have predicted that AI chatbots will replace Google for local search. That prediction has been made every year for a decade about various technologies, and Google still processes billions of searches daily. Treat AI search as an addition to the landscape, not a replacement.

What You Should Do

Keep your business information accurate everywhere

AI systems pull data from multiple sources. If your business name, address, phone number, and services are inconsistent across your website, GBP, directories, and social profiles, AI will either get confused or reference a competitor with cleaner data.

Invest in content that answers specific questions

Write blog posts and service page content that answers the exact questions your customers ask. “How much does a website cost in Australia?” “How long does SEO take?” “What is the difference between SEO and Google Ads?” These are the types of queries that AI Overviews reference, and being cited as a source drives both credibility and traffic.

Build your review profile

Reviews are a trust signal for both Google and AI systems. A business with 50 genuine reviews and a 4.8 star rating is more likely to be referenced than one with 3 reviews and no responses. Keep asking for reviews and keep responding to them.

Work with a provider who stays current

The search landscape is changing faster than it has in years. Working with an SEO provider who understands these changes and adjusts strategy accordingly is more valuable now than it has ever been.

The Bottom Line

AI search is not going to put local businesses out of business. It is going to shift some traffic patterns, change how some queries are answered, and reward businesses that have invested in quality content and a strong online reputation.

For Macarthur businesses that have been doing SEO properly, this is actually good news. The bar for what constitutes “good SEO” is rising, which means the gap between businesses that invest and those that do not is going to widen.

The businesses that adapt will win more customers. The businesses that ignore it will wonder why the phone stopped ringing.

If you want to understand how AI search affects your specific business and what you should prioritise right now, talk to our team. We will give you a clear picture of where you stand and what to do next.