What most business owners have not fully clued into yet is AI search is not some future thing waiting on the horizon. It is already sitting at the top of the results page, quietly deciding which local businesses get mentioned by name.
Key takeaways
- AI Overviews appear in roughly 68% of local searches, according to a Whitespark study, while traditional local packs appear in about 39%.
- Simple searches like “plumber London Ontario” still show a local pack more than 90% of the time.
- Longer questions are where AI takes over. Informational queries triggered an AI Overview about 92% of the time, and hybrid research plus buying queries about 97%.
- Traditional search has not declined. SparkToro found 95% of users still use search engines monthly, and Semrush found Google usage rises after people adopt ChatGPT.
- AI answers are assembled from reviews, directories, forums, and third party mentions, not just your website.
- GatherUp found 67% of consumers do not fact check what AI tells them about a local business, so inaccurate summaries usually go unchallenged.
- The three fixes that matter most for small businesses are consistent listings, active review management, and website content that answers real customer questions.
First, the good news. Google is not dead
You have probably seen the headlines. Search is over, SEO is finished, everyone lives in a chatbot now. The actual numbers tell a much calmer story.
An August 2025 study from SparkToro found that only about 20% of Americans use AI tools ten or more times a month. Roughly 40% touch them at least once a month. Meanwhile 95% of Americans are still using traditional search engines every single month.
Even more interesting, Semrush looked at what happens when someone starts using ChatGPT. Their Google usage went up, not down. People are not swapping one for the other. They are asking more questions in more places.
So nobody needs to tear up their marketing plan. This is an additional channel, not a replacement one.
Now the part that actually matters for local business
Here is where it gets real for anyone selling to a local market.
Whitespark ran a study on how often AI Overviews appear in local searches. AI Overviews are those generated summaries that sit above the regular results. They found AI Overviews turning up for about 68% of local searches. Traditional local packs, the map with three businesses pinned to it, showed up for about 39%.
But the averages hide the interesting bit. It depends entirely on how the person asks.
Simple searches like “plumber London Ontario” still bring up the local pack more than 90% of the time. Those searches are working the way they always have.
The change is in longer questions. Informational searches like “how long does an eye exam take near me” pulled an AI Overview about 92% of the time. Hybrid questions, the ones that mix research with buying intent, hit roughly 97%.
Think about what that means. The searches where somebody is comparing, budgeting, or working up the nerve to call you are exactly the searches now being answered by AI before your website ever gets a look.
Where that answer comes from
This is the piece that surprises people. The AI is not reading your homepage and reporting back. It is assembling an answer from all over. Your website, sure. But also Reddit threads, Yelp pages, Google reviews, news mentions, directory listings, and whatever a competitor wrote in a blog post three years ago. If your business has a thin presence outside your own website, there is very little for the AI to work with.
And when there is very little to work with, AI does what AI does. It fills in the gaps.
That is a genuine risk for small businesses. GatherUp found that 67% of consumers are not carefully fact checking what AI tells them before choosing a local business. If the summary gets your hours wrong, your service area wrong, or your pricing wrong, most people will never know. They will just call somebody else.
What this means for you, practically
You do not need to become a technology expert. You need to become findable and quotable. Three things move the needle most.
Your information needs to be consistent everywhere. Same business name, same address, same phone, same hours across Google, Facebook, directories, and your site. Inconsistency is where hallucinations start.
Your reviews are doing more work than ever. AI tools summarize review content directly into their answers. GatherUp found 98% of consumers consult reviews before choosing a local business, and 50% consider Google’s review content the most trustworthy. Those reviews are now feeding the machine too.
Your website needs to answer real questions. Not just “Our Services” and a contact form. Actual pricing ranges, actual timelines, actual answers to the questions customers ask on the phone every week. That is the content AI can pick up and repeat.
Start here this week
Open ChatGPT or Google AI Mode and ask it about your own business. Ask what it costs to hire you. Ask who the best provider in your city is. Ask if you are any good.
Whatever comes back is what your next customer is seeing. It is worth ten minutes to find out.
Curious what AI is saying about your business right now? We are happy to take a look and walk you through it.
Reach out to the team