Demand Gen (Google Ads): definition, formats and use cases

What a Demand Gen campaign is, where it runs, its formats and audiences, how it compares with Meta, the 2026 benchmarks and the mistakes to avoid

The essentials

  • Definition: Demand Gen is a Google Ads campaign type, successor to Discovery in 2023, that runs visual and video ads on YouTube (feed, Shorts, in-stream), Discover and Gmail to create demand among audiences who aren't searching yet.
  • Its role: Google's equivalent of social advertising — awareness, consideration, visual remarketing — powered by Google's intent data.
  • 2026 benchmarks: CPM €3 to €8, CTR 0.5 to 1.5%, cost per conversion above search but below classic display.
  • Prerequisite: quality visuals and vertical videos, lookalike or custom audiences, and a clear objective (traffic, conversions, views).

Demand Gen is a Google Ads campaign type launched in 2023 to replace Discovery campaigns. It runs visual ads (images, carousels) and video on Google's "discovery" surfaces: the YouTube home feed and Shorts, in-stream ads, Discover on mobile, and the Promotions and Social tabs in Gmail. Unlike search, which answers an expressed demand, Demand Gen addresses people who aren't searching yet: it is Google's equivalent of Meta or TikTok social advertising, powered by Google's intent data. The formats by platform are compared in the ad formats that work by channel.

Where and how Demand Gen runs

SurfaceFormatsContext
YouTube home feed and recommendationsImage, carousel, videoBrowsing, high reach
YouTube ShortsVertical 9:16 videoYounger audience, short formats
YouTube in-streamSkippable videoBefore or during a video
DiscoverImage, carouselA personalised news feed on mobile
GmailImage, carouselThe Promotions and Social tabs
Display (an option since 2025)ImagePartner sites, to switch on or not

The audiences available

  • Lookalike audiences: built from a list of customers, converters or viewers, at 2.5%, 5% or 10% similarity; this is the best-performing audience for acquisition. Google kept them in Demand Gen after removing them elsewhere.
  • Custom segments: people who have searched certain terms on Google or visited certain types of site; see Google Ads custom segments.
  • In-market and affinity audiences: purchase intent and interests defined by Google.
  • Remarketing: site visitors, channel viewers, customer lists; covered in Google Ads remarketing.
  • Optimised targeting: the algorithm broadens beyond the signals you provide; switch it off for strict remarketing.

2026 benchmarks

MetricDemand GenComparison
CPM€3 to €8Meta €4 to €12, Display €1 to €4
CTR0.5 to 1.5%Meta 0.8 to 1.8%, Display 0.3 to 0.8%
Cost per view (video)€0.02 to €0.06Close to YouTube in-stream
Cost per conversion1.5 to 3 times that of searchComparable to Meta for acquisition
View-through share of attributed conversionsHighTo be read on clicks alone in GA4

Use cases

  1. Launching an offer: creating demand among audiences similar to your existing customers, before search captures it.
  2. Visual remarketing: reminding visitors of products and offers on YouTube and Discover, with creative distinct from acquisition.
  3. Local or niche awareness: a short video across an area or an interest, measured by brand searches.
  4. Complementing Meta: the same vertical creative run on Google's surfaces to reach people who are barely on Instagram.
  5. Feeding search: the brand searches and visits generated then feed your search and Performance Max campaigns.

Mistakes to avoid

  • Judging it by search's cost per conversion: Demand Gen creates demand, it doesn't capture it; measuring it includes assisted conversions and brand searches.
  • Reusing display banners: Demand Gen's surfaces are social feeds; the creative has to look like content — vertical, with subtitles. The rules are in visuals and videos in SEA.
  • A single piece of creative: test 3 to 5 variants and refresh them every 4 to 6 weeks.
  • Optimised targeting on remarketing: it broadens the audience and distorts your reading.
  • Too small a budget: below €20 a day, the algorithm can't learn.
Our advice: launch Demand Gen with a single 5% lookalike audience built on your customers from the last 12 months, three vertical videos of 10 to 15 seconds and a conversions objective, and leave it untouched for six weeks. Then measure three things: cost per conversion on clicks in GA4, the rise in brand searches in Search Console, and the cost per conversion of your search campaigns over the same period. If the last two improve, the campaign is working, even if the first looks high.

How GreenRed helps

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Frequently asked questions

What is a Demand Gen campaign?

A Google Ads campaign type, successor to Discovery, that runs visual and video ads on the YouTube feed and Shorts, in-stream ads, Discover and Gmail. It addresses people who aren't searching yet, to create demand, like social advertising.

What is the difference between Demand Gen and Performance Max?

Performance Max runs across every network, search and Shopping included, to capture and convert with limited control. Demand Gen focuses on the discovery surfaces (YouTube, Discover, Gmail) with control over audiences and creative, to create demand. The two complement each other.

Demand Gen or Meta Ads?

Both play the same role with different data: Meta targets by interests and social behaviour, Demand Gen by search intent and YouTube history. The CPMs are comparable (€3 to €8 against €4 to €12). The right choice is tested by running the same creative on both for six weeks, judged on cost per conversion on clicks.

How do you measure a Demand Gen campaign?

By cost per conversion on clicks in GA4 rather than the Google Ads figure, which includes view-through; by the rise in brand searches in Search Console; and by the effect on your search campaigns' cost per conversion. A demand-creation campaign is judged over a quarter.

From theory to practice

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