Google has just started testing ads in the Image Search, but this was an expected movement, because the image search is very expensive to upkeep, for sure. Currently, it must be in a beta phase, because the ads rarely appear and I don’t see a menu in my Adwords that allows me to place that ads.
I’m sure affiliate marketers can’t wait to try them, even if the image ads conversion is lower than the text ads. Though, the advantage is that the ad also includes text, below an image. Fortunately, the image has an yellow background and above it is the text “sponsored image” so the users won’t click them by mistake. But I’m not that sure they won’t, especially they didn’t expect them to be there.
Once launched, we shall see the advertisers experiences on conversions, but I’m confident they won’t be combarable with the text ads in search.
Take a look at the ads

