The Beginner’s Guide to YouTube Ads for Small Businesses

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AVERAGE READ TIME

4 Minutes

Written by

Brad Smith

POST PUBLISH DATE

February 3, 2025

The Beginner’s Guide to YouTube Ads for Small Businesses

5 Tips That Will Transform Your YouTube Advertising

  1. YouTube is Underpriced Attention: Your ideal customers are already on YouTube, making it a cost-effective platform to reach high-quality leads.
  2. Create Relatable, Direct Ads: Use short, engaging videos (horizontal and vertical) with clear calls-to-action to teach or highlight your services.
  3. Set Up a Google Ads Account: Avoid YouTube’s native Promotions tool for better lead quality and sync your YouTube channel with Google Ads for advanced targeting.
  4. Target Competitors’ Audiences: Place your ads on channels your ideal customers watch to appear as recommended content, maximizing reach and relevance.
  5. Leverage YouTube Shorts: Shorts are low-cost, high-impact ads that cater to the growing trend of short-form content, driving views and subscribers.

Your ideal customers are on YouTube right now—learning, being educated, watching on their TVs, or scrolling on their phones. YouTube is underpriced attention, and it’s where you can excel, scale, and grow your business with high-quality leads. My best leads come from YouTube because they watch my videos, learn from me, and easily click through to my website.


Hey there! My name is Brad Smith, owner of AutomationLinks.com. I’ve been in marketing for over 10 years, helping over 2,500 people (no boring details—check my site if you want to learn more). These videos are super actionable, and today I’ll Walk you through simple steps to set up YouTube ads for your business. Stick around until the end for a bonus for you. Let’s dive in!


Why YouTube Ads Are the Best for Finding Customers

YouTube ads work because viewers are already in a learning mindset. When they watch your content, they can instantly click to your website or reach out. For example, I create 15-second videos (horizontal and vertical) that directly say, “Want to learn YouTube ads? Click this video. If not, keep scrolling.” Be direct, relatable, and show your face—the more personal, the better.


How to Set Up a High-Converting YouTube Ad

Step 1: Create Relatable Ads

Test different ad formats (horizontal/vertical) that teach something or highlight your service. Use clear calls-to-action like “Click to learn” or “Get help now.” Focus on value and authenticity.


Step 2: Set Up Your Google Ads Account

  1. Go to Google Ads and sign up (claim any free credits offered).
  2. Sync your YouTube channel under “Linked Accounts” in your Google Ads dashboard.


Pro Tip: Avoid YouTube’s native “Promotions” tool—it’s cheaper for views/subscribers but weak for leads.


Step 3: Launch Your Campaign

  • Choose “Video Views” as your goal for quick results.
  • Name your campaign, set a daily budget (5–
  • 5–15 to start), and target locations/languages.
  • Paste your YouTube video link and add headlines/descriptions.


The Best Audience Targeting Strategies

Target competitors’ audiences! Place your ads on channels your ideal customers watch. For example, if someone watches “Alex Hormozi’s” videos, your ad appears as a recommended video next. List 5–15 competitor channels to maximize reach.


How to Increase Watch Time and Engagement

Use YouTube Shorts. Shorts dominate TikTok/Instagram refugees and cost less per view. They’re perfect for quick, scrollable content that drives subscribers and views.


Final Thoughts & Next Steps

  1. Need a step-by-step blueprint? Click here to get it.
  2. Subscribe to my channel for weekly YouTube ad tips (every Friday at 12 PM Eastern).
  3. Ready to scale? Reach out to my team or an agency to optimize your campaigns.


YouTube ads are your shortcut to underpriced attention. Set them up right, and watch your business grow. See you in the next video!


  • Why should I choose YouTube ads over other platforms?

    YouTube ads are cost-effective and target audiences already in a learning mindset, making them more likely to engage with your content and convert into leads.

  • Do I need a Google Ads account to run YouTube ads?

    Yes, a Google Ads account is required for advanced targeting and better lead quality. Avoid using YouTube’s native Promotions tool if your goal is to generate high-quality leads.

  • How do I create effective YouTube ads?

    Focus on short, relatable videos (15 seconds or less) with clear calls-to-action. Use both horizontal and vertical formats, and ensure your ads teach something or highlight your services.

  • What’s the best way to target my ideal audience on YouTube?

    Target competitor channels where your ideal customers are already watching content. This ensures your ads appear as recommended videos, increasing visibility and relevance.

  • Are YouTube Shorts worth investing in?

    Absolutely! YouTube Shorts are low-cost, high-impact ads that cater to the growing trend of short-form content, making them ideal for driving views, subscribers, and engagement.

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