YouTube ads: 3 formats that your brand needs in 2025

YouTube is one of the largest global platforms in 2025, with more than 2.5 billion users worldwide. In 2023, YouTube's global ad revenue reached $31.51 billion, an 8% year-over-year increase from the previous period.

YouTube is an ever-evolving platform that offers great potential for advertisers. With the right strategy, it is possible to effectively engage audiences through entertainment, education and inspiration.

The key to success is to make the most of the three main ad placements on YouTube.

In-stream ads: Educate your audience

The way people consume video content is changing. With more and more content being streamed on TV screens, in-stream ads offer a unique opportunity to reach viewers on the big screen.

According to eMarketer, YouTube usage on TV screens has increased 63% compared to mobile. This significant shift has occurred in just the last five years. At the same time, traditional TV viewership has declined by 40 million households over the past decade.

Many of these households are now using smart TVs, which allow apps like Google and YouTube to stream content directly to their screens. CTVs offer better targeting, richer data and the ability to integrate ad campaigns with other Google services. This allows you to use in-stream ads specifically to educate a broad audience.

In-feed ads: inspire and engage

Unlike traditional ads that interrupt your content viewing, in-feed ads are a natural part of it. This makes them ideal for capturing attention and inspiring action.

In-feed ads appear in three key places: in search results, on the YouTube homepage or as related content in the 'Look further' section. Each ad placement triggers a different type of user behaviour, allowing you to target audiences at different stages of the buying cycle.

Shorts ads: Entertain with short format

YouTube is constantly evolving and adapting to trends. This is evidenced by the success of YouTube Shorts, short vertical videos that launched in June 2021. In October 2023, Shorts reached a whopping 70 billion daily views, opening up more opportunities for businesses to engage and effectively reach their target audience.

A big advantage of Shorts is their versatility across platforms. A single vertical ad can run simultaneously on YouTube, TikTok, Instagram and Facebook. This allows you to effectively evaluate the performance of the creative in different contexts and optimize it to achieve your goals.

What's particularly interesting is how YouTube prioritizes Shorts in its app and strategically places them directly above content. They are thus the second thing users see after watching a video. This also reflects YouTube's investment in Shorts as a key part of the user experience.

Create Shorts ads that grab attention in the first seconds, entertain and spark action.

Sources: Statista / Searchengineland / Searchengineland / Emarketer