AI YouTube ads can improve your ROI when you use the right tools. Read on to learn what these ads are, how they work, and the best platforms to try.
AI YouTube ads refer to video advertisements created or optimized generative AI tools and generative tools.
These ads often incorporate AI-generated scripts, voiceovers, and visuals that can make the creation process easier and more affordable.
However, with so many new platforms and features claiming to use AI, it can be overwhelming to know which can deliver the goods — many are rushed to market and may not be worth your time.
Read on to learn more about:
YouTube ads using AI appear within videos (think of the 5-second skippable ones), on the homepage, in the search results, and across partner sites. Any video or banner created with AI - or that uses AI algorithms and tools to improve performance - qualifies as an AI YouTube ad.
These AI-powered campaigns are performing well too. According to Google, they can deliver up to 271% higher return on ad spend (ROAS) (though they may be a bit biased).
Here are some top AI processes used to create online video ads:
If you’ve only thought of AI YouTube ads as using uncanny valley avatars and primitive, slightly R2D2-sounding voiceovers, then you’ll be surprised to learn that AI can be used by your ad team in much more sophisticated ways.
Creating scripts and ad creatives with AI are the obvious use cases, but predictive analysis tools can sift through massive datasets to identify the most receptive viewers — a pretty easy way to boost your ROI. Let’s check out how it works:
YouTube Analytics and the Google Ads Platform don’t just count views or subscribers — they use proprietary AI algorithms that track metrics like watch time, keywords, and engagement (likes, comments, shares).
Every interaction is looked at and analyzed — whether a viewer speeds up a video, clicks an ad, or leaves the channel — to adjust ad placements and messaging.
However, these models can sometimes misinterpret brief interactions or random skips as genuine interest, so it’s important to use them only as one part of an overarching strategy.
Demographic and Interest Data
YouTube’s algorithm collects data on viewers’ ages, locations, and interests by analyzing on-site behavior such as browsing history and declared interests. This helps your ads reach those most likely to care about them — think of a hiker seeing ads for the newest REI gear or a makeup enthusiast receiving recommendations from Sephora.
You can also incorporate data from third-party integrations that overlay performance metrics on YouTube’s own analytics, enabling more detailed reporting.
A tool like VidIQ is a good example of this approach. It overlays additional performance metrics — such as views over the past 60 mins, SEO ratings, keyword rankings, and detailed engagement data — directly on your YouTube Studio dashboard. This gives marketers a more granular view of their ad performance, allowing for more specific optimizations.
AI also speeds up the process of generating initial ad scripts and visuals. Tools like ChatGPT and Copy.ai can produce engaging scripts that serve as a solid starting point. Eleven Labs or Speechify can share text-to-voice narrations that are getting pretty good — like an AI-generated Morgan Freeman voiceover.
Platforms like Bestever.ai can scrape your existing ad library to quickly share visual and text combos for ads in large volumes.
These are all powerful tools and great for defeating writer’s block; however, they can often produce generic ads — your creatives will still need a human touch.
AI tools now come baked into YouTube or can be easily integrated.
Here are some top options to create better YouTube ads:
If you’re skeptical that these fancy algorithms and tools can’t beat your own skilled marketing team, well… you’re probably still right.
However, AI tools can save your team tons of time and money, and remove boring work (like watching video ads frame by frame) so they can focus on designing better ads. It’s a win-win for everyone.
Here are the most important benefits:
Google’s Performance Max offers features like Smart Bidding and automated ad creation to optimize ad placements and maximize ROI.
Smart Bidding uses machine learning to adjust bids in real time based on engagement data (you’ll bid more on the ads with viewers who are buying and less with more casual viewers), then you can automatically generate multiple creative variations to target the right audience.
Take eBay as an example. By using Google’s various tools from initial awareness to the moment the user clicks “Buy,” they saw a 34% increase in conversion rates. It’s a typical scenario now — the system recognized who was most likely to purchase, displayed ads in relevant videos, and let the algorithm do the rest.
Google’s Performance Max Experiments allow you to run multiple variations of your video ads without expensive third-party software. Here’s what you can do with AI:
Imagine running three versions of a product demo, from fast-paced to testimonials to humorous. AI can determine the humorous version resonates most with younger audiences, while testimonials work best with older demographics, allowing you to allocate your budget effectively.
You might think AI means dull, cookie-cutter ads. But ironically, it can help your team be more creative with its unlimited well of ideas and insights. Plus, your team can use your data to make choices based on what your users like, whether that’s color palettes or video length.
Google’s creative guidance provides actionable AI insights to refine your ad copy, visuals, and formatting — evaluating elements like logo visibility and video length.
Tools like Bestever can also generate plenty of designs and clips just by inputting your website’s URL. Then you can change the assets just by typing in new prompts, so even the most uncreative sales guy can whip up a batch of designs for clients while on a call.
Now let’s apply the above principles and use these tools to create a few strategies to test in your business. Here are three strategies:
With all the social media networks and available data, it’s no longer about creating that one perfect ad. You can now run more personalized ad variations for each segment of your audience.
For example, tools like Canva Bulk Create let you quickly generate large volumes of visual assets, while platforms such as Plainly Videos (which integrates with Adobe After Effects) enable you to automatically render a core video ad and then produce several versions by tweaking the intro, transitions, or call-to-action.
User-generated content (UGC) has proven that authentic endorsements convert better than slick brand-produced content or fake influencer ads. By combining UGC with AI, you leverage the trust factor of real customers alongside laser-focused audience targeting.
Tools like Creatify.ai will sift through your best customer reviews and testimonials, and generate ad variations tailored to specific audience segments, ensuring your ad spend isn’t wasted on disinterested viewers.
However, UGC ads work best because they’re from real people that your customers trust so don’t fully automate this yet.
Consumers connect with stories, not just facts. Tools like ChatGPT can quickly write up drafts of scripts that apply the best storytelling practices. The wording will still need help from your copywriting team, but this can save time and help you generate more scripts and create more ads to test.
You can also build personalized scripts and concepts based on analytics data from Google or third-party tools. Look through for topic ideas that your audience is searching or what they’re watching on competitors’ channels. Then send it to ChatGPT to generate more scripts — then rinse and repeat.
Use these tips to make your campaigns more engaging and efficient, and ultimately more profitable. Here they are:
Knowing how to fix underperforming ads is a top benefit of AI tools for YouTube Ads, and this is where Bestever’s platform can help.
We make designing ad campaigns almost as easy as one-click photo editing and use data from your audience to ensure those campaigns work. Here’s how we can help your YouTube ad campaigns:
Ready to optimize your top ads? Let our team walk you through a frame-by-frame video analysis so you can focus more on what’s working starting today.