diff --git a/.storybook/snapshots/__snapshots__/generativedirectanswer--primary.png b/.storybook/snapshots/__snapshots__/generativedirectanswer--primary.png
index 55c6daed..d7e44aba 100644
Binary files a/.storybook/snapshots/__snapshots__/generativedirectanswer--primary.png and b/.storybook/snapshots/__snapshots__/generativedirectanswer--primary.png differ
diff --git a/docs/search-ui-react.aisignpostprops.label.md b/docs/search-ui-react.aisignpostprops.label.md
index 8b271783..346f9070 100644
--- a/docs/search-ui-react.aisignpostprops.label.md
+++ b/docs/search-ui-react.aisignpostprops.label.md
@@ -4,7 +4,7 @@
 
 ## AISignpostProps.label property
 
-Label displayed in the signpost button. Defaults to "AI-Generated".
+Label displayed in the signpost button.
 
 **Signature:**
 
diff --git a/docs/search-ui-react.aisignpostprops.md b/docs/search-ui-react.aisignpostprops.md
index 3894c588..522f6069 100644
--- a/docs/search-ui-react.aisignpostprops.md
+++ b/docs/search-ui-react.aisignpostprops.md
@@ -69,7 +69,7 @@ string
 
 </td><td>
 
-_(Optional)_ Label displayed in the signpost button. Defaults to "AI-Generated".
+_(Optional)_ Label displayed in the signpost button.
 
 
 </td></tr>
diff --git a/package-lock.json b/package-lock.json
index 6009d38c..eac023aa 100644
--- a/package-lock.json
+++ b/package-lock.json
@@ -1,12 +1,12 @@
 {
   "name": "@yext/search-ui-react",
-  "version": "3.1.0",
+  "version": "3.1.1",
   "lockfileVersion": 3,
   "requires": true,
   "packages": {
     "": {
       "name": "@yext/search-ui-react",
-      "version": "3.1.0",
+      "version": "3.1.1",
       "license": "BSD-3-Clause",
       "dependencies": {
         "@restart/ui": "^1.0.1",
diff --git a/package.json b/package.json
index 770db791..d3d8a5db 100644
--- a/package.json
+++ b/package.json
@@ -1,6 +1,6 @@
 {
   "name": "@yext/search-ui-react",
-  "version": "3.1.0",
+  "version": "3.1.1",
   "description": "A library of React Components for powering Yext Search integrations",
   "author": "watson@yext.com",
   "license": "BSD-3-Clause",
diff --git a/src/components/GenerativeDirectAnswer.tsx b/src/components/GenerativeDirectAnswer.tsx
index 99d2cf15..15455f2e 100644
--- a/src/components/GenerativeDirectAnswer.tsx
+++ b/src/components/GenerativeDirectAnswer.tsx
@@ -14,6 +14,7 @@ import { AISignpostIcon } from '../icons/AISignpostIcon';
 import { CloseIcon } from '../icons/CloseIcon';
 import { Markdown, MarkdownCssClasses } from './Markdown';
 import { useId } from '../hooks/useId';
+import { twMerge } from '../hooks/useComposedCssClasses';
 import React, { useCallback, useMemo, useRef } from 'react';
 
 /**
@@ -159,7 +160,7 @@ interface AnswerProps {
 export interface AISignpostProps {
   /** Icon displayed before the signpost label. Defaults to the SDK's AI signpost icon. */
   icon?: React.JSX.Element,
-  /** Label displayed in the signpost button. Defaults to "AI-Generated". */
+  /** Label displayed in the signpost button. */
   label?: string,
   /** Header displayed in the signpost popover. Defaults to "AI-Generated Content". */
   popoverHeader?: string,
@@ -181,6 +182,7 @@ function AISignpost({
   const popoverId = useId('ai-signpost-popover');
   const popoverHeaderId = useId('ai-signpost-popover-header');
   const popoverDescriptionId = useId('ai-signpost-popover-description');
+  const ariaLabel = label ?? t('aiGeneratedAnswerSignpostLabel');
   const handleSignpostClick = useCallback(() => {
     setIsOpen(current => !current);
   }, []);
@@ -189,16 +191,17 @@ function AISignpost({
   }, []);
 
   return (
-    <div className='relative mt-4 text-sm text-gray-700'>
+    <div className='relative text-sm text-gray-700'>
       <button
         type='button'
         aria-expanded={isOpen}
         aria-controls={popoverId}
-        className='inline-flex items-center gap-2 rounded-lg border border-slate-200 bg-slate-50 px-3 py-1.5 text-sm font-medium text-gray-700 transition-colors hover:bg-slate-100'
+        aria-label={ariaLabel}
+        className='inline-flex gap-1.5 items-center justify-center rounded-lg border border-slate-200 bg-slate-50 px-1.5 h-8 min-w-8 text-sm font-medium text-gray-700 transition-colors hover:bg-slate-100'
         onClick={handleSignpostClick}
       >
         {icon ?? <AISignpostIcon className='h-4 w-4' />}
-        <span>{label ?? t('aiGeneratedAnswerSignpostLabel')}</span>
+        {label && <span>{label}</span>}
       </button>
       {isOpen && (
         <div
@@ -206,7 +209,7 @@ function AISignpost({
           role='dialog'
           aria-labelledby={popoverHeaderId}
           aria-describedby={popoverDescriptionId}
-          className='absolute left-0 top-full z-10 mt-2 w-80 max-w-full rounded-lg border border-gray-200 bg-white shadow-lg'
+          className='absolute left-0 top-full z-10 mt-2 w-80 rounded-lg border border-gray-200 bg-white shadow-lg'
         >
           <div className='flex flex-col px-4 py-3 gap-3'>
             <div className='flex items-center justify-between'>
@@ -259,10 +262,10 @@ function Answer(props: AnswerProps) {
   }, [linkClickHandler]);
 
   return <>
-    <div className={cssClasses.header}>
-      {answerHeader ?? t('aiGeneratedAnswer')}
+    <div className={twMerge(cssClasses.header, 'flex items-center gap-2')}>
+      <div>{answerHeader ?? t('aiGeneratedAnswer')}</div>
+      {!hideAISignpost && <AISignpost {...aiSignpostProps} />}
     </div>
-    {!hideAISignpost && <AISignpost {...aiSignpostProps} />}
     <Markdown
       content={gdaResponse.directAnswer}
       onLinkClick={handleMarkdownLinkClick}
diff --git a/test-site/package-lock.json b/test-site/package-lock.json
index 2e22cc83..889b090f 100644
--- a/test-site/package-lock.json
+++ b/test-site/package-lock.json
@@ -33,7 +33,7 @@
     },
     "..": {
       "name": "@yext/search-ui-react",
-      "version": "3.0.6",
+      "version": "3.1.0",
       "license": "BSD-3-Clause",
       "dependencies": {
         "@restart/ui": "^1.0.1",
diff --git a/tests/components/GenerativeDirectAnswer.test.tsx b/tests/components/GenerativeDirectAnswer.test.tsx
index f87a1664..0e58a028 100644
--- a/tests/components/GenerativeDirectAnswer.test.tsx
+++ b/tests/components/GenerativeDirectAnswer.test.tsx
@@ -122,7 +122,7 @@ describe('GenerativeDirectAnswer with sufficient citation fields', () => {
     mockAnswersState(mockedState);
   });
 
-  it('displays the default AI signpost below the answer header', () => {
+  it('displays the default AI signpost next to the answer header', () => {
     render(<GenerativeDirectAnswer />);
 
     const answerHeader = screen.getByText('AI Generated Answer');
@@ -161,7 +161,7 @@ describe('GenerativeDirectAnswer with sufficient citation fields', () => {
     />);
 
     expect(screen.getByTestId('custom-ai-signpost-icon')).toBeTruthy();
-    await userEvent.click(screen.getByRole('button', { name: 'Custom Icon Custom Label' }));
+    await userEvent.click(screen.getByRole('button', { name: 'Custom Label' }));
 
     expect(screen.getByRole('dialog', { name: 'Custom Header' })).toBeTruthy();
     expect(screen.getByText('Custom Body')).toBeTruthy();