YouTube Shorts Ads: How They Work 

Advertising your brand’s content on YouTube is a way to reach billions of people every month. This network is powerful because you can appear on YouTube and Google, Yahoo, Bing, and YouTube Shorts ads. With the craze of short-form video content, YouTube Shorts ads allow you to tap into an engaging audience. 

From our 2026 YouTube Study, we analyzed 799,718 videos from 71,177 accounts across every industry, niche, and account size to see what’s really happening on YouTube in 2026. Our data shows that the Shorts algorithm is the dominant force on the platform. YouTube Shorts continues to have the highest engagement rate, making it one of the biggest short-form video advertising platforms for brands and product discovery.  

Overall, marketing and YouTube Shorts ads can generate leads and conversions across multiple channels simultaneously. Are you curious about the findings from our latest 2026 YouTube study? Dive into the complete insights by downloading them below:

What Are YouTube Shorts Ads? 

YouTube Shorts are the network’s short-form video content. These vertical, 60-second videos appear in the “Shorts” feed on the network, similar to the Reels feeds on Facebook and Instagram. 

YouTube Shorts ads are directly integrated into the Shorts feed, appearing as regular content. However, these ads will include a “Sponsored” label and normally a call to action. Each ad can be skipped and scrolled past. 

With this in mind, advertising on YouTube Shorts is less intrusive than other platforms. Plus, with a 60-second cap, these YouTube ads are short, sweet, subtle, and effective at converting users.

How to Advertise on YouTube Shorts 

Short-form video advertising helps brands reach mobile-first audiences. Since YouTube is part of the Google Ads ecosystem, you’ll create and manage your YouTube Shorts ads through your Google Ads account.

Once you sign in to Google Ads, you’ll see your campaign dashboard with performance insights, recommendations, and existing campaigns. To create a new campaign, click the “+” button and select “Campaign.”

1) Choose Your Campaign Objective

First, select the campaign objective that aligns with your marketing goals, such as:

• Sales
• Leads
• Website traffic
• Brand awareness and reach
• Product and brand consideration

Next, choose “Video” as your campaign type to create a YouTube Shorts ad campaign.

2) Configure Your Campaign Settings

Complete your campaign setup by entering the following information:

• Campaign name
• Geographic locations
• Languages
• Bid strategy
• Daily or total budget
• Campaign start and end dates
• Networks

3) Optimize for YouTube Shorts Ads

This is one of the most important steps when creating ads for YouTube Shorts. Under “Additional Settings,” select “Devices” and choose “Mobile Phones Only.” YouTube Shorts are designed for mobile-first viewing in a 9:16 aspect ratio. Limiting your campaign to mobile devices increases the likelihood that your ads will appear within the Shorts feed.

While Google Ads doesn’t let advertisers exclusively target Shorts ad placements, optimizing for mobile devices helps your YouTube Shorts ads reach the most relevant audience. 

4) Define Your Target Audience

Next, build your audience using Google’s targeting options, including:

• Demographics
• Audience segments
• Keywords
• Topics
• Placements

The more relevant your targeting is, the more likely your ads will reach users who are interested in your content, products, or services. 

5) Create Your YouTube Shorts Ad

In the “Create Your Video Ads” section, paste the URL of an existing YouTube Shorts video that you want to promote. Then choose your preferred ad format, such as:

• Skipable in-stream ad
• In-feed video ad

You can also add:

• A landing page (Final URL)
• A call-to-action (CTA)
• A headline

6) Launch Your Campaign

Before publishing your campaign, upload a cover image for your Shorts ad and set your bid for the ad group. Review all campaign settings, then click “Create Campaign.”

Google will review your ad to ensure it complies with its advertising policies. Once approved, your YouTube Shorts ads campaign will begin serving across eligible YouTube placements, helping you reach highly engaged mobile audiences through short-form video advertising.

YouTube Shorts Ad Specs 

YouTube Shorts ads can appear as square or vertical, and must follow these specs:

Can You Earn Money on YouTube Shorts Ads?

Yes, creators in the YouTube Partner Program can earn money through revenue sharing. To qualify, your channel must meet one of the following requirements:

• 1,000 subscribers and 4,000 public watch hours in the last 12 months 
• 1,000 subscribers and 10 million valid public Shorts views in the last 90 days

To check your eligibility, go to YouTube Studio and open the “Earn” tab. If you’re not eligible just yet, you can enable notifications for when your channel does qualify. Once eligible, you can apply for the YouTube Partner Program directly through YouTube Studio.

After monetization is enabled, track your YouTube Shorts ad earnings in YouTube Studio Analytics under the “Revenue” tab. You can also view which Shorts have monetization turned on in the “Content” tab. 

What Our 2026 YouTube Study Reveals About Shorts and Audience Growth

Before launching a YouTube Shorts ads campaign, it’s important to understand how people are discovering and engaging with content on the platform. Our data shows that the Shorts algorithm is the dominant force on YouTube, creating new opportunities for brands to reach audiences through short-form video advertising. 

Here’s a sneak peek of what’s inside:

• YouTube growth is still possible: Smaller YouTube creators continue to find success. 11% of accounts under 10K followers grew between 2025 and 2026.
• Publishing more content isn’t always the answer: For long-form YouTube videos, the ideal publishing frequency is 2-4 videos per week. However, Shorts provide a higher content ceiling, allowing creators and brands to publish more frequently and increase discovery opportunities. 
• Shorts are driving discovery: The Shorts algorithm has become the primary driver of content discovery on YouTube, making YouTube Shorts ads a crucial channel for brands looking to expand their reach. 
• YouTube monetization is changing: Our study found that monetization metrics for long-form and short-form video advertising are declining. YouTube Shorts ads appear between videos as users scroll, creating a monetization model that affects revenue performance.

YouTube Advertising With Metricool

Did you know you can create Google Ads that appear across Google’s Partner Networks, including YouTube? With Metricool, you can easily build and manage advertising campaigns from one intuitive platform. 

Create your campaign by adding your URL, enabling Google Ads, and configuring your targeting, keywords, budget, and ad creative. Then, track performance with key metrics like impressions, clicks, conversions, CPC, CTR, and ROAS. You can also customize social media reports with your advertising data, branding, and selected platforms. 

Get the tools you need to optimize your marketing strategy and get started by signing up for a Metricool Account.