Google Ads Transition: Video Action Campaigns to Demand Gen in 2025

Starting in Q2 2025, Google Ads will transition its Video Action Campaigns (VAC) to the more dynamic Demand Gen campaigns. This change will offer advertisers broader reach, enhanced creative options, and improved audience targeting.

Google Ads is consolidating its Video Action Campaigns into the versatile Demand Gen campaigns beginning in the second quarter of 2025. This update aims to improve advertisers’ ability to tap into emerging demand and foster growth using a multi-format strategy.

Why It Matters

Advertisers currently using VAC may experience substantial benefits from shifting to Demand Generation campaigns. Incorporating both video and image assets in Demand Generation can boost conversions by 20% while maintaining the same cost per action (CPA) compared to relying exclusively on video, according to internal data from Google.

Key Features

• Broadened Reach: Demand Gen campaigns will enable advertisers to connect with up to 3 billion users monthly across YouTube, Discover, and Gmail.
• Enhanced Creative Flexibility: Advertisers can deploy both video and image ads within a single campaign, benefiting from detailed analytics to refine their creative approaches.
• Improved Targeting: Demand Gen’s lookalike audience segments assist brands in reaching new potential customers similar to their existing ones.
• Stable Performance: Advertisers using solely video assets in Demand Gen have reported performance levels comparable to VAC, ensuring a seamless transition without losing effectiveness.

Next Steps

• Immediate Action: Begin exploring and utilizing Demand Gen campaigns to leverage their advanced features.
• Early 2025: Google will release a migration tool for manually transitioning from VAC to Demand Gen.
• March 2025: Creation of new VACs will be discontinued by Google Ads.
• Q2 2025: All remaining VACs will be automatically upgraded to Demand Gen.

Success Case

Google has highlighted DoorDash, a prominent U.S.-based food delivery service, as a success story to demonstrate the advantages of Demand Gen. According to Google:

DoorDash achieved a 15-fold increase in conversion rates and a 50% improvement in CPA with Demand Gen compared to VAC.

Conclusion

This update is a strategic move to align with changing consumer expectations and recent updates to ad formats in Demand Gen. Starting to test Demand Gen and VAC now can provide a competitive advantage, allowing you to maximize these tools for better results before others in your industry catch up.

Our specialists will help you set up advertising and effectively use the new opportunities of Demand Gen campaigns. We will ensure a smooth transition, optimize your advertising strategy and maximize results for your business. Contact us now.

This article available in Ukrainian.