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Google Demand Gen upgrades view-through conversion targeting

▼ Summary

– Google is shifting VTC optimization in Demand Gen campaigns to focus exclusively on video assets, with image assets no longer eligible for bidding or shown in the primary Conversions column.
– VTC optimization will be enabled by default for all new Demand Gen campaigns, requiring advertisers to manually opt out if unwanted, while existing campaigns keep their current settings.
– VTC optimization is expanding beyond YouTube and Discover Feed to include the Google Display Network.
– Video assets served on Display will switch from cost-per-click to cost-per-thousand impressions billing, applying to all Display video assets in Demand Gen regardless of VTC usage.
– The update positions VTC as a video-first feature, prompting advertisers to review campaign settings and potential cost impacts, especially for image-heavy or video-based strategies.

Google is rolling out a significant shift in how view-through conversion (VTC) optimization operates within Demand Gen campaigns. The update prioritizes video assets for bidding, expands the feature to new inventory, and alters billing structures for Display video ads.

Over the next several months, Google will introduce three major changes to VTC optimization. The most notable shift is that VTC bidding will now apply exclusively to video assets. While image asset view-through conversions will continue to be reported as secondary conversions in existing campaigns, they will no longer influence bidding or appear in the primary Conversions column.

Additionally, VTC optimization will be turned on by default for all newly created Demand Gen campaigns. Advertisers who prefer not to use the feature must manually disable it during setup. Existing campaigns will keep their current configurations and will not be automatically opted in.

The third change expands VTC optimization beyond YouTube and the Discover Feed to include the Google Display Network, broadening the reach of video-driven conversion tracking.

Billing adjustments accompany the Display expansion. Video assets served on Display will transition from cost-per-click (CPC) to cost-per-thousand impressions (CPM) billing. Google confirms this applies to all Display video assets within Demand Gen, regardless of whether advertisers activate VTC optimization.

For advertisers running image-heavy campaigns, the loss of VTC bidding on those assets represents a notable shift. Those relying on video should evaluate how the move to CPM billing may impact overall campaign costs and performance. Since VTC optimization is now the default for new campaigns, advertisers must review settings carefully during setup rather than assuming the feature is disabled.

This update positions view-through conversion optimization as a video-first strategy in Demand Gen, while extending its footprint across Display and establishing it as the standard optimization approach for new campaigns.

The news was first shared by paid search expert Arpan Banerjee, who posted the communication he received on LinkedIn.

(Source: Search Engine Land)

Topics

vtc optimization 98% demand gen campaigns 95% billing model 92% video advertising 90% google display network 88% campaign defaults 86% advertiser impact 84% conversion tracking 82% youtube inventory 78% Cost Management 76%