Google appears to be testing a hybrid of a local pack listing with shopping ads, where it is highlighting products available locally, but within a local pack style, including map.
Mike Blumenthal shared a screenshot showing it in action:
It shows a thumbnail of the product, along with details such as price and ratings, but it also adds a “Store pickup”, which are presumably shown on the map with the icons. It also appears to expand to “more products nearby.” They are clearly labeled as sponsored.
AdWords does have a program called Local Inventory Ads that allow local businesses to highlight their products to searchers located nearby. This appears to be a test expansion from these ads, since the information seems to be similar, and they do clearly distinguish between regular shopping ads and local inventory ads.
At Location World in November 2016, David Byrne from Google announced that pricing information would be coming to the local pack, so this could be what he was referring to.
If your products are shown in the local pack, it might be a good thing. But for those who show organically in the local pack, this might not be such a good thing, especially since regular organic listings would be shown below this sponsored local pack and regular AdWords ads.
I was not able to replicate it at.
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