ROI-driven demand gen campaign strategy in Google Ads

Google Demand Gen campaigns are fast becoming the go-to solution for businesses aiming to maximize ROI through better leads and increased site visits. This AI-driven advertising solution is reshaping how brands reach and convert their audiences. With expanded reach on YouTube, more video ad formats, and new ad creative experiments and tools, this campaign format is setting the pace for what effective advertising should look like.

According to Google, “YouTube is 2X more likely than any other video services and social media platforms to be used for researching products and brands. Viewers rated YouTube ads significantly (16%) more trustworthy, credible, and honest than ads on the other video and social media platforms.”

(Source:https://support.google.com/google-ads/answer/13695777?hl=en)

 So, let’s dive into the power-packed details of Demand Gen and how it can uplift your business strategy.

What are Google Ads Demand Gen Campaigns?

Google Ads Demand Gen campaigns are AI-powered ad formats designed to capture attention and build brand interest in the awareness and consideration phases of the buying journey. Launched globally in October 2023, they have already proven their effectiveness across YouTube, Gmail, Discover, and now the Google Display Network (GDN) in 2025. That is why many companies are turning to Google Ads Demand Gen to drive quality leads and grow their traffic at scale.

Google Ads Demand Gen Campaigns has quite a few special aspects to it:

• Built on the foundation of Discovery Ads.
• Reaches over 3 billion monthly active users.
  
• Use new audience targeting to improve campaign relevance.
• Offers more control over where your ads appear.
  
• Supports video, images, and carousel ad formats.
• Enhanced with additional bidding options to suit diverse campaign goals.
• Ideal for long-term brand growth as well as short-term conversions.

Considering Google being the source of the information, Google Ads Demand Gen Campaigns consist of these several distinguished components:

Demand Gen Campaign Basics

Demand Gen: Engage Customers and Drive Results

This ROI-driven strategy in Google Demand Gen campaigns helps businesses gain more leads and boost website traffic efficiently. Demand Gen shines in turning passive scrolling into meaningful clicks and conversions. It leverages expanded reach on YouTube and more video ad formats, which are perfect for engaging today’s visual-first audiences.

• Access premium placements like YouTube Shorts, In-Stream, and In-Feed.
  
• Use vertical and horizontal videos for platform-native appeal.
• Benefit from noticeably lower CPA (cost per action) vs. traditional paid social ads.
• Seamlessly integrate with Gmail promotions and Discover feeds.
• Take advantage of new ad creative experiments and tools to boost performance.

With smart automation and AI-powered optimization, your campaigns learn and evolve to hit your performance goals. You can also test A/B creatives and leverage predictive performance tools.

How Demand Gen Campaigns in Google Ads Help You Rise

Demand Gen campaigns are built to deliver high-value leads while significantly increasing online visibility and traffic. Climbing ahead of the competition in the digital space means mastering tools that combine data with creativity. Demand Gen does just that:

• New audience targeting includes custom segments and lookalikes.
• Additional bidding options like Maximize Clicks, Target CPA, and Target ROAS allow for flexible performance strategies.
• You get more reporting options, like view-through conversions and asset-level insights.
• Helps your brand rise in competitive SERPs and social-like environments.
• Gives advertisers the tools to react quickly to market shifts and consumer behavior trends.

Demand Gen vs. Competitors

Google Ads Rolls Out Demand Gen to All Customers Globally

The global rollout of Demand Gen in October 2023 marked a pivotal moment in Google Ads. With the GDN added in 2025, advertisers now enjoy unprecedented reach across:

• Gmail and Discover Feeds
• YouTube in multiple placements
• Google Display Network (millions of websites)
• Contextual placements through AI-enhanced delivery

Early adopters are already reporting:

• Higher engagement rates
• Increased brand awareness
• More efficient ad spend
• Faster scaling for D2C and B2B brands alike

What’s the Difference Between Google Ads Demand Gen Campaigns and Google Discovery Ads?

Think of Demand Gen as Discovery Ads’ upgraded sibling. Here’s how they differ:

• Ad Formats: Discovery focused on static images; Demand Gen adds more video ad formats like Shorts and In-Stream.
• Targeting: Demand Gen introduces new audience targeting using lookalikes.
• Placement Control: Gain more control over where your ads appear, including YouTube Shorts and GDN.
• Performance: Google data shows a higher CTR and lower CPA with Demand Gen.
• AI Automation: Better learning and optimization engines.
• Dynamic Experience: Enables real-time creative testing and adaptation.

Demand Gen vs. Discovery Ads

Best Practices for Google Demand Gen Campaigns

With its ROI-first approach, Demand Gen in Google Ads delivers consistent improvements in lead quality and traffic flow. If you want to get the most from your Demand Gen campaigns, follow these best practices for Google Demand Gen campaigns:

• Use high-quality assets: 1080p videos and 1200x1200px images.
• Deploy 5 or more creatives for higher engagement.
• Begin with broad lookalikes and refine them based on insights.
• Combine carousel, video, and image.
• Test additional bidding options like Target CPA and Maximize Conversions.
• Leverage more reporting options for data-driven decisions.
• Specify placements (e.g., YouTube Shorts only) for better control.
• Monitor creative performance weekly and rotate assets regularly.
• Prioritize mobile-first design and vertical video formats for YouTube Shorts.

How to Start a Google Demand Gen Campaign

• Step 1: Sign in to Google Ads
  • Go to your Google Ads dashboard.
• Step 2: Click + New Campaign
  • Choose a goal like Sales, Leads, or Website Traffic.
• Step 3: Select Demand Gen as Campaign Type
  • It’s listed under awareness or consideration-focused campaigns.
• Step 4: Set Up Bidding Strategy
  • Choose from Maximize Clicks, Target CPA, or Maximize Conversions.
• Step 5: Choose Target Audiences
  • Use custom segments, lookalike audiences, or interest-based targeting.
• Step 6: Select Ad Placements (Optional)
  • Choose specific platforms like YouTube Shorts, Gmail, or Discover.
• Step 7: Upload Creatives
  • Add video, image, and carousel assets (at least 5 recommended).
• Step 8: Launch & Monitor
  • Set budget → Review settings → Click Publish
  • Track performance using more reporting options

Why Demand Gen Completes Your Strategy

Still wondering why Google Ads Demand Gen campaigns are the missing piece in your digital marketing strategy? Here’s a summary:

• Combines Google’s reach with social-style engagement.
• Optimized for action with more video ad formats.
• Target users early in their buying journey with new audience targeting.
• Offers more control over where your ads appear.
• Reduces cost while boosting CTRs and conversions.
• Empowers agile testing and faster creative rollout.
• Works harmoniously with Search and Performance Max campaigns for holistic growth.

Final Thoughts: Elevate with Demand Gen in 2025

Whether you’re aiming for better engagement or higher conversions, Demand Gen campaigns can drive both leads and traffic efficiently. With smarter targeting, creative flexibility, and extensive reach, Google Demand Gen campaigns are redefining digital advertising. Whether you want to build brand awareness or drive conversions, these campaigns can deliver real ROI.