When we ask our clients about their goals, “more revenue” is usually the first answer. But right after that comes “increasing demand,” which, in the end, is just another path to higher sales. Everyone wants that – but achieving it isn’t always straightforward. Fortunately, in the Google Ads universe, there are specific campaign types designed exactly for this purpose. And for us advertisers, the challenge remains: reach new audiences, increase brand awareness, and keep pushing boundaries.
Even though advertisers and clients often share the same end goal, getting there can be complex. That’s why Google’s introduction of Demand Gen campaigns is such a powerful step forward – a tool built specifically to meet this growing need. But what exactly are Demand Gen campaigns? How do they work, and who are they best suited for? Let’s find an answer for those questions.
What Are Demand Gen Campaigns?
Demand Gen campaigns – short for “Demand Generation” – are a relatively new campaign format within Google Ads, officially launched in October 2023. That means they’ve been on the market for about a year and a half. They’re considered the successor to Discovery campaigns, but they go significantly further in terms of functionality and use cases. As the name suggests, their goal is to generate demand by targeting potential customers during the inspiration or consideration phase – long before they have a concrete intention to buy.
What makes Demand Gen campaigns special is the combination of creative, visual formats with Google’s advanced AI-powered audience targeting. These campaigns are shown on high-reach platforms like YouTube (including Shorts), Google Discover, and Gmail. This enables advertisers to reach users where they consume content and find inspiration – not just where they actively search.
Of course, this raises a valid question: if these campaigns are so smart, why doesn’t every business just switch to Demand Gen? The answer is simple – the campaign format must match the nature of the company’s products or services and align with specific marketing goals. In many cases, combining different campaign types or even using another channel entirely might make more sense.
What Makes Demand Gen Campaigns Unique?
Compared to traditional search campaigns, Demand Gen places a stronger emphasis on visual storytelling, inspiration, and interaction. While search campaigns rely on keywords to capture user intent, Demand Gen campaigns work differently – here’s a breakdown of their key components:
Multi-Format Ads: Demand Gen supports a wide range of ad formats, including vertical, horizontal, and square images; carousel ads with swipeable visuals; and short-form videos that perform especially well on YouTube Shorts.
AI-Powered Targeting:
Google uses machine learning to analyze user signals and serve ads to audiences that are highly likely to show interest in a product or service – even before they’ve actively searched for it.
Audience Targeting:
Marketers can target both existing audiences (like website visitors or CRM lists) and new potential customers. Tools like Lookalike Audiences, interest-based targeting, and purchase intent signals help fine-tune delivery.
Integrated A/B Testing:
Demand Gen campaigns allow you to test different creative elements against each other – directly within the campaign structure, with no manual setup required.
These four features can significantly boost reach, visibility, and demand – as long as the campaign is well-configured and creatively equipped.
What Are Demand Gen Campaigns Good For?
Demand Gen campaigns are extremely versatile and can support a wide range of marketing objectives throughout the funnel. As mentioned earlier, your goals and business type play a crucial role in determining whether this campaign type is a good fit.
Let’s take a look at some of the most common use cases to understand who can benefit from this format:
If a business wants to build brand awareness, Demand Gen is an excellent tool. The combination of high-quality visuals and massive reach makes it ideal for brand positioning and storytelling.
It’s also perfect for generating interest and inspiring new audiences. Especially during the mid-funnel phase – when users are still exploring – Demand Gen can effectively reach those open to new offers. This makes it great for industries like fashion, travel, home decor, or lifestyle products.
Need more traffic to your website? Demand Gen campaigns can help here as well. By linking directly to landing pages or product pages, they can drive high-quality visits.
And let’s not forget remarketing: existing audiences can be re-engaged effectively, whether through tailored promotions or new product launches.
Of course, these are just a few examples – the key is always knowing your objective. Only then can you determine if Demand Gen is worth investing in. And as with everything in online marketing, the competition is fierce.
Who Are Demand Gen Campaigns For?
Let’s talk about who can benefit most from this campaign format – because it’s not a one-size-fits-all solution.
Companies with highly visual or tangible products can take full advantage of Demand Gen’s image- and video-based ads. This includes industries like fashion, beauty, travel, home & interior design – essentially anything that visually inspires or tells a story.
Brands with social media experience also have a head start here. Demand Gen campaigns are similar in logic to paid ads on platforms like Instagram, TikTok, or Facebook. If you’re already familiar with those, jumping into Demand Gen with Google will feel much more intuitive.
E-commerce businesses especially benefit from the ability to emotionally showcase their product world in a visually appealing way, inspiring new audiences. The combination of high-quality visuals and intelligent delivery across platforms like YouTube and Discover creates a strong foundation for building interest and increasing conversions over the long term.
Performance-driven marketers will also appreciate Demand Gen campaigns. With comprehensive conversion tracking, flexible bidding strategies like Target CPA or Target ROAS, and data-driven optimization powered by Google’s AI, these campaigns can be precisely managed to deliver measurable results – all without sacrificing creative freedom.
Why Demand Gen Is Worth It
With Demand Gen, Google has introduced an exciting new campaign format that shifts the focus from pure “pull” marketing toward proactive demand creation. For brands willing to invest in creative ads and inspirational content, Demand Gen offers a powerful tool – one that combines Google’s extensive platform reach with intelligent targeting and optimization.
For businesses looking to reach new audiences, boost their brand presence, or simply inject fresh energy into their Google Ads strategy, Demand Gen campaigns are a smart and worthwhile addition.
