Google's internal data from 2025 shows that advertisers generated nearly 70 million creative assets using Gemini in Google Ads in Q4 alone - a figure that illustrates how quickly AI-powered creative production has moved from experimental to operational.
Asset Studio, Google's creative hub within Google Ads, now incorporates Imagen for image generation and Veo for video generation - including the Nano Banana image-to-video capability that generates video from static product images.
What this changes for advertisers
The most immediate change is the cost and speed of creative testing. Testing ad creative has historically required briefing designers, waiting for production, trafficking assets, and running tests over weeks. AI-generated creative compresses that workflow - assets can be produced in minutes and tested within days.
For Performance Max and Demand Gen campaigns, where creative variety directly drives ad strength scores and placement eligibility, the ability to produce a wider range of assets without proportional increases in creative budget is practically useful. These campaign types explicitly reward having more assets across more formats and aspect ratios.
What it doesn't change
The reduction in creative production cost doesn't reduce the importance of creative strategy. AI tools produce assets based on inputs - product images, brand guidelines, creative direction. The quality of the output is directly shaped by the quality of those inputs and the judgement applied in reviewing generated options.
Brand consistency is the most obvious risk. AI-generated creative that deviates from established brand guidelines can erode brand coherence across campaigns.
The second thing that doesn't change is the relationship between creative and conversion. A technically competent AI-generated video ad still needs to say the right thing to the right audience at the right moment. Message-market fit is a strategic question, not a production question.
The recommendation
Use AI creative tools to increase asset variety and testing velocity, not to reduce creative investment overall. The advertiser who uses these tools to test more ideas more quickly - while maintaining brand judgement and strategic direction - will find a real competitive advantage in the speed of learning.