Google-owned YouTube has announced that it is rolling out new ad formats to its short-form feature Shorts.
The company said that it is expanding Shorts into its video reach campaigns.
"Video reach campaigns use Google AI to serve the best combination of ads, and improve your reach and efficiency on YouTube," Google said in a blogpost.
With this update to Video reach campaigns, users will be able to simply upload a 60-second (or shorter) vertical video along with their other assets.
In addition to Shorts, the company is adding "In-feed video ads" to Video reach campaigns to bring more opportunities to connect with users' audiences across YouTube.
Moreover, the video streaming platform has introduced the YouTube Select Run of Shorts lineup.
With this technology, users' ads will appear alongside the most popular and relevant videos in viewers' Shorts feed so their brand can stay top-of-mind as they scroll through their latest videos.
"With the new First Position on Shorts, piloting across YouTube Select, advertisers can also breakthrough at the start of a viewing session. When a viewer opens YouTube Shorts and starts watching, your ad is the first one they will see. This lets you land a strong first impression in a highly immersive environment," the company stated.
Meanwhile, YouTube saw its revenue from ads falling 2.6 per cent (year-on-year) in the March quarter -- third quarter in a row that its ad revenue has decreased.
YouTube logged $6.69 billion in advertising revenue for the quarter that ended March 31, compared to $6.87 billion during the same period last year.
The company, however, is seeing growth in Shorts as watch time and monetisation is "progressing nicely".