What are Demand Gen campaigns?
According to Google Ads Help, Demand Gen campaigns combine video and image assets to drive engagement and action. They run where people view content, meaning feeds and video environments. Targeting works through audiences and assets. Unlike Search campaigns, Demand Gen campaigns do not use keywords.
Google presented Demand Gen in 2023 as the successor to Discovery campaigns. The remaining Discovery campaigns were due to be upgraded automatically from January to March 2024. The last Video action campaigns were due to be upgraded automatically by April 2026. Since June 2026, Display campaigns have also been moving across in stages.
Demand Gen or demand generation?
The two terms are often confused. Demand Gen is the name of a campaign type in Google Ads. Demand generation is a marketing discipline, especially in B2B. It builds awareness and interest through content, events and inbound marketing. A Demand Gen campaign can be part of such a strategy, but the terms do not mean the same thing.
Where the ads appear
- YouTube: Shorts, in-feed ads, home feed, suggested videos and search.
- Discover: the feed on mobile devices.
- Gmail: ads in the inbox.
- Google Display Network: partner websites and apps.
- Google Maps: in beta, according to Google.
Channel controls let you set where the ads run. A vertical video campaign, for example, can be limited to YouTube Shorts. According to Google, delivery for sensitive categories is generally limited to YouTube.
Ad formats and assets
For each ad you supply several assets, which Google combines. Google points out that more assets can improve performance. The specification in Google Help gives these values:
| Asset | Requirement | Number |
|---|---|---|
| Headlines | Up to 40 characters. At least one headline must have 30 characters or fewer, otherwise Ad Strength shows as “Incomplete” and the ad may not serve on the Display Network | 1 to 5, 5 recommended |
| Descriptions | Up to 90 characters | 1 to 5, 3 recommended |
| Business name | Up to 25 characters | 1 |
| Horizontal image | 1.91:1, 1200 × 628 pixels, at least 600 × 314 | 1 to 20, 3 recommended |
| Square image | 1:1, 1200 × 1200 pixels, at least 300 × 300 | 1 to 20, 3 recommended |
| Vertical image | 4:5, 960 × 1200 pixels, at least 480 × 600, optional | 1 to 20, 3 recommended |
| Logo | 1:1, 1200 × 1200 pixels, at least 144 × 144 | 1 to 5, 1 recommended |
| Video | Horizontal 16:9, vertical 9:16 or 4:5, square 1:1, each 10 to 60 seconds | 3 of each recommended |
Carousel ads consist of 2 to 10 image cards. Ads with products need a product feed from Google Merchant Center. Google Help lists the call to action as automatic. Check the requirements in Google Help again before you produce your creatives.
Audiences
- Audience segments: for example interests, in-market behaviour or custom segments.
- Your data: for example website visitors and customer lists. More on this in our article on retargeting and remarketing.
- Lookalike segments: people similar to your seed audiences. In Google Ads they mainly run in Demand Gen, and Google Help also mentions Video brand campaigns. Since March 2026, Google has been moving them in stages to a suggestion mode, in which they act as a signal and no longer limit reach.
- Optimised targeting: Google also looks for suitable people outside your segments. The feature is on by default and can be switched off in the ad group.
Bidding and requirements
| Goal | Bid strategy | What Google says |
|---|---|---|
| Clicks | Maximise clicks, Target CPC | No minimum budget needed for Maximise clicks |
| Conversions | Maximise conversions, Target CPA | With Target CPA, a budget of at least 10 times the target |
| Conversion value | Maximise conversion value, Target ROAS | At least 50 conversions in 35 days, 10 of them in the last 7 days, or 100 in 35 days across all Demand Gen campaigns |
Without a fixed target, Google recommends starting with Maximise conversions and moving to Target CPA or Target ROAS after at least 50 conversions. Our article on Smart Bidding explains how the strategies differ. According to Google, Demand Gen does not support manual CPC bidding or portfolio strategies. Billing is by CPM or CPC, depending on the surface and format.
For conversion goals you need working conversion tracking with the Google tag. In the European Economic Area, you must also send consent signals to Google, usually via Consent Mode v2.
Sample calculations for budget and target
- Budget with Target CPA: with a freely chosen target of €25 per conversion, the recommendation gives a budget of at least €250. Google Help does not state a unit here, while the budget panel in the account shows suggestions for daily budgets.
- Starting with Target ROAS: Google suggests a starting value 20% below the ROAS of the last 30 days. So 400% becomes 320%. For later changes, Google recommends steps of 10%.
Creating a Demand Gen campaign
Google Ads Help describes this process:
- Create it: select Create, then Campaign, and choose your objective, such as sales or leads.
- Set up the campaign: define conversion goals, devices, language and location. You set location and language either for the campaign or per ad group.
- Set bidding and budget: choose the bid strategy and a daily or campaign total budget.
- Create the ad group: choose channels and audiences. Optimised targeting is preselected.
- Create the ad: choose video, image or carousel and upload the assets.
According to Google, the ad review takes at least 24 hours. Google advises waiting for around 50 conversions before making major changes to bids or the campaign.
Demand Gen and Performance Max
According to Google, Performance Max aims for conversions across all Google channels, including Search. Demand Gen runs on the visual surfaces and gives you more control over creatives, audiences and placements.
| Feature | Demand Gen | Performance Max |
|---|---|---|
| Surfaces | YouTube, Discover, Gmail, Display Network | All Google channels including Search |
| Control | Channels, audiences and creatives can be chosen | More automated, audiences act as signals |
| Lookalike segments | Available | Not available |
| Suits | Creating demand and testing creatives | Conversions across all channels |
Display campaigns are moving to Demand Gen
According to Google, the move has two stages. Since June 2026, eligible advertisers have been able to move existing Display campaigns with a tool. Later, new Display campaigns can only be created in Demand Gen, and the remaining campaigns will be moved automatically.
A migrated campaign keeps its old name with the addition “#2”, and the original campaign is marked as “Removed”. Check beforehand which settings do not carry over. According to Google, these include shared budgets, combined audiences and bid adjustments. Uploaded HTML5 ads are not yet available.
Common Demand Gen campaign errors
- Budget too small: if it is well below ten times the Target CPA, the campaign falls short of Google’s recommendation.
- Too many ad groups: Google advises combining similar audiences in fewer groups, so that the system gets more data.
- No short headline: without a headline of 30 characters or fewer, the ad may not run on the Display Network, according to Google.
- Changes too early: major changes before around 50 conversions disrupt learning.
- Expecting a frequency cap: frequency capping is not available in Demand Gen. The system manages frequency, and you can evaluate it through Unique Reach at campaign level.
- Exclusions in the wrong place: you generally exclude topics, placements and keywords at account level under content suitability.
When Demand Gen suits you
- You have good image and video material: without usable creatives, the campaign has no foundation.
- You want to create demand: Demand Gen reaches people before they search for your offer. People who are already searching are reached through search ads.
- You can measure results: bidding learns from the conversions your tracking reports. Google also recommends events before the purchase, such as “add to basket”.
- You plan longer test periods: after moving to Target ROAS, Google recommends monitoring performance until the learning phase has ended.
