Video content continues to dominate the digital marketing space, and YouTube remains a key platform for brands looking to engage users. As of 2025, over 90% of businesses are using video as a core part of their marketing strategy, according to the latest Wyzowl statistics.
YouTube’s reach and targeting capabilities make it a valuable channel, but understanding the different ad types is essential to getting the best return on your investment. Some formats are more effective depending on your goals, audience behavior, and the platform where the ad appears.
Here are the most common and effective YouTube video ad types to consider in 2025.
Key Points
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The average person sees hundreds of ads daily. Video continues to be one of the most engaging ad formats.
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YouTube offers a variety of ad formats to suit different goals, from awareness to direct response.
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Interactive and user-friendly ad experiences typically lead to better performance.
1. Skippable In-Stream Ads
These ads appear before, during, or after a video and allow viewers to skip after five seconds. Advertisers are only charged when a viewer watches at least 30 seconds or engages with the ad.
Best for: Brand awareness and storytelling
Cost: Based on engagement (CPV or CPC)
2. Non-Skippable In-Stream Ads
These are short video ads that viewers must watch in full before they can view the main video. The current time limit for these ads is 15 seconds.
Best for: High-impact branding with a guaranteed full view
Cost: Charged on a CPM basis
3. Bumper Ads
Bumper ads are six-second, non-skippable videos that appear before the main content. Despite their short length, they are effective for memorable and repeatable messaging.
Best for: Mobile-friendly, quick brand messages
Cost: Charged on a CPM basis
4. In-Feed Video Ads
Previously known as Discovery ads, these appear on the YouTube homepage, in search results, or alongside related videos. They include a thumbnail image, headline, and short description.
Best for: Driving interest and traffic to longer video content or YouTube channels
Cost: Charged when viewers choose to watch
5. Overlay Ads
These are semi-transparent banner ads that appear in the lower 20 percent of a video on desktop. They may include text, images, or clickable links.
Best for: Supplementary messaging that doesn’t interrupt the video
Note: Only visible on desktop
6. Outstream Ads
These mobile-only ads play on partner sites outside of YouTube. They start muted and viewers can tap to unmute.
Best for: Expanding reach beyond YouTube
Cost: Based on viewable CPM (vCPM)
7. Masthead Ads
These appear at the top of the YouTube homepage on desktop, mobile, and TV screens. They autoplay without sound for a few seconds and are typically reserved for major campaigns.
Best for: High-visibility promotions like product launches
Availability: Reserved through Google sales reps
8. Interactive Video Ads
These ads include clickable features such as end screens, shopping links, or info cards that appear during the video. They can encourage viewers to visit your website, buy a product, or sign up for an offer.
Best for: Driving conversions and user engagement
Cost: Based on interaction or engagement
9. Companion Banner Ads
These are display banners that appear alongside a video ad. They stay visible while the video plays and often include a call to action or clickable link.
Best for: Reinforcing your message during video playback
Note: Displayed only on desktop
Choosing the Right Format
The right ad format depends on your marketing goal. If you’re building awareness, skippable and bumper ads may be your best bet. For engagement and traffic, in-feed or interactive ads can be more effective. If you’re launching a big campaign, masthead placements can provide unmatched exposure.
Need help building a high-performing YouTube ad strategy?
Our team of Google Certified marketing experts can create a custom campaign that drives traffic, leads, and conversions. Contact us today to get started.
