Paid Media News & Opinion #127

YouTube’s new shoppable ads format for CTV

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> What’s happening

YouTube has showcased a new interactive shopping ad format that will run on Connected TV (large screen) placements, which will let viewers browse and buy products directly from their television screens.

Previews show a carousel and grid layout of products, similar to responsive display ads, that prompt users to send the ad to their phone for further browsing. Another preview shows a QR code which can then be scanned for continued shopping on mobile. And interactive product feeds will let viewers browse through items.

The shoppable ads will display to the side of the main video ad, including skippable in-stream ads. Interactive product feeds let viewers browse multiple items with their remotes.

> Why we care

YouTube is a huge, global platform which integrates well within the Google ecosystem. Many people discover and search for new products & brands via YouTube, so bringing in interactive product ads is a bold but interesting move. Many viewers are with their mobile in hand, or close by, whilst watching, so this is a good opportunity to capture users at the right moment.

Big-screen ads can deliver high-impact impressions with a low CPV, which could now be followed by highly engaging product ads which users can convert near-seamlessly via mobile.

This comes at a time when YouTube has become the biggest video streaming service in the US (Nielsen, March 2025), representing a huge opportunity for advertisers on a high-impact placement.

Google adds device targeting to Performance Max campaigns

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> What’s happening

Google has introduced device targeting capabilities to Performance Max (PMax) campaigns, now allowing advertisers to control which device types their ads appear on. Previously unavailable for PMax, this new feature offers increased control and targeting.

Advertisers can now include or exclude specific device categories in their campaign settings. The supported device types include:

• Computers: Desktop or laptop devices with screens larger than 7 inches

• Mobile phones: Hand-held devices with phone capabilities

• Tablets: Mobile devices without phone functionality

• TV screens: Smart TVs, gaming consoles, and streaming devices like Chromecast (Note: available only for Display and Video campaigns)

This update allows for more specific targeting strategies based on where audiences are most likely to convert. Potentially improving efficiency by focusing ad spend on devices that generate best value.

> Why we care

This change provides further control for advertisers using Performance Max. The campaign type has often been criticized for its lack of transparency and control, this is another update addressing concerns allowing advertisers to:

• Exclude underperforming devices: For example, B2B campaigns can now exclude TV screens, which are typically less relevant for business-focused audiences.

• Focus on high-performing devices: Mobile-first strategies can now be implemented with precision, especially when paired with mobile-optimized landing pages.

• Align with user intent: Device-based behaviour varies; someone browsing on a mobile phone may be in a different mindset than someone using a desktop, and advertisers can now tailor campaigns accordingly.

This update signals Google’s continued efforts to balance AI automation with advertiser control. However, marketers must be cautious in adopting these new options, whilst they potentially may unlock greater campaign efficiency, one of the strengths of AI driven campaigns like Performance Max is the ability determine ad placement along the customer journey for best results. Removing some ad placements from its inventory may prevent it from reaching optimal performance.

Google launches AI-generated 3D assets for shopping listings

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> What’s happening

Google has released a new feature that uses generative AI to build fully interactive 3D product models for Shopping listings, using as few as three photos, powered by its new “Veo” system. In the released example, a few static images of a Google Pixel phone are shown, which then turns into a fully 3D interactive image that can be seen from all angles.

This leap lets brands - big and small - quickly create immersive, shoppable visuals that boost shopper confidence and conversion without the need for expensive studio setups.

> Why we care

There will always be a place for bespoke, custom creative to be made by experts. However, for a placement like Google Shopping where you want to give customers the best possible view of your product, a feature like this could be a great addition.

Some brands stock tens of thousands of products, so to be able to create 3D and interactive product listings using just a handful of static images would be hugely beneficial. The time and cost to create something like this without AI for literally thousands of products could be prohibitive even for a brand with large resources, let alone for smaller brands who simply don’t have the budget.

What else we've been talking about:

• Meta expands access to Opportunity Score to help improve campaign performance

• YouTube continues to dominate streaming market share

• Google Ads Performance Max image optimization now rolling out

• TikTok launches $1 million ad credit program to boost US small businesses

• YouTube outlines new ad options and usage stats at BrandCast 2025