Gen Z aren’t just tuning into YouTube for the videos – they’re also watching the ads.

Six in 10 teens would watch a YouTube ad rather than skip it, while almost half can recall an ad they’ve seen on the platform. That’s according to Precise TV and Giraffe Insights research.

The news comes after YouTube reported a 4.4% increase in ad revenue for the second quarter of 2023.

Why we care. Brands wishing to connect with Gen Z (people born between 1997 and 2012) may want to consider transitioning their ad spend away from traditional TV and into YouTube for stronger engagement, recall and purchase influence.

Interesting stats. The research identified several findings that may be of interest to advertisers hoping to target the Gen Z audience, including:

• Almost eight in 10 teens watch YouTube, making it the number one platform in this market.
• 45% of teens are likely to recall an ad they’ve seen on YouTube.
• Gen Z teens are twice as likely to recall an ad on YouTube than TikTok.
• YouTube is where teens see the best and most engaging ads.
• One in five Gen Z teens said YouTube is part of their daily routine.

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A shift in ad spend. Precise TV’s Chief Commercial Officer. Denis Crushell, explained that advertisers are now shifting budgets from traditional TV to YouTube ads. He said:

• “These findings are already convincing many of our advertising partners — agencies, media companies and brands — to double down on YouTube as their top video advertising channel.”
• “Additionally, we’re experiencing more media buyers coming to us who were historically reluctant to target teens and families because Precise TV can uniquely deliver video-level targeting and performance — all in a completely COPPA-compliant way. As a result, expect more advertisers to move their ad buys from linear TV to YouTube.”

Deep dive. Read the Precise Advertiser Report in full for more information.