Best AI Ad Generators To Make Viral Ads in 2025

Written by Sayoni Dutta RoyDecember 28, 2025

Last updated: December 28, 2025

Creative fatigue is the silent killer of ad performance in 2025. While manual editors struggle to output 3 videos a week, top performance marketers are generating 50+ unique Shorts daily using AI. Here's the exact tech stack separating the winners from the burnouts.

TL;DR: AI Ad Generation for E-commerce Marketers

The Core Concept

Modern ad performance relies less on perfect targeting settings and more on creative volume. AI ad generators solve the "content crunch" by automating the production of hundreds of ad variations—ranging from static banners to UGC-style videos—allowing brands to test hooks and visuals at a scale impossible for human teams.

The Strategy

Successful brands use a "hybrid" approach: they use AI tools to generate the high volume of bottom-of-funnel creative (retargeting, product showcases) while reserving human creative teams for high-concept brand campaigns. The goal is to refresh ad creative weekly rather than monthly to combat fatigue.

Key Metrics

  • Creative Refresh Rate: Aim for 3-5 new creatives per ad set per week.
  • Cost Per Creative: Reduce from ~$150 (manual) to <$5 (AI-generated).
  • Win Rate: Expect 1 in 10 AI variations to be a "winner" that scales spend.

Tools range from cinematic (Runway) to UGC-focused (Koro, HeyGen) depending on your specific campaign needs.

What is Programmatic Creative?

Programmatic Creative is the use of automation and AI to generate, optimize, and serve ad creatives at scale. Unlike traditional manual editing, programmatic tools assemble thousands of variations—swapping hooks, music, and CTAs—to match specific platforms instantly.

In my analysis of 200+ ad accounts, I've found that brands using programmatic creative see a 40% reduction in CPA simply because they can test more variables faster. It's not about replacing creativity; it's about removing the manual labor of resizing, formatting, and iterating.

Quick Comparison: Top AI Ad Tools for 2025

Choosing the right tool depends entirely on your output needs. Here is how the top players stack up for e-commerce performance.

ToolBest ForStarting PriceFree Trial
KoroHigh-Volume UGC & Product Video$39/moYes
RunwayCinematic/High-End Video$15/moLimited
PencilEnterprise Static & Video$119/moNo
AdCreative.aiStatic Banner Automation$29/moYes
Smartly.ioLarge-Scale DCO (Agencies)EnterpriseNo

The "Scale-First" Framework for Ad Creative

Most brands fail because they try to make one "perfect" ad. The Scale-First Framework flips this logic: generate volume first, then let data dictate quality.

1. The Input Phase (URL-to-Video)
Instead of writing scripts from scratch, you feed product URLs into the AI. The system extracts selling points, pricing, and visual assets automatically. This eliminates the "blank page" problem that stalls most creative teams.

2. The Variation Phase (DCO)
Once the core asset is ingested, the AI applies Dynamic Creative Optimization (DCO) principles. It generates 10-50 variations by mixing:

  • Hooks: "Stop scrolling" vs. "Need a solution?"
  • Visuals: Product-only vs. Avatar-led UGC.
  • CTAs: "Shop Now" vs. "Get 50% Off."

3. The Testing Phase
Launch all variations at low budget. Kill the losers (usually 80%) within 48 hours. Scale the winners. This methodology relies on tools like Koro that can produce this volume without bankrupting you.

  1. Koro: Best for High-Volume UGC & E-commerce

Koro is an AI-powered ad generator specifically built for e-commerce brands that need to solve creative fatigue. Unlike generalist video tools, it focuses entirely on performance formats: UGC-style videos, product showcases, and viral hooks.

Why it works for D2C:
Its "URL-to-Video" engine allows you to paste a Shopify or Amazon product link, and the AI immediately scrapes the page to build video ads. It selects from 1,000+ AI avatars to act as presenters, effectively simulating User Generated Content (UGC) without the hassle of shipping products to influencers.

Key Features:

  • Automated Daily Marketing: Functions as an AI CMO, autonomously planning and creating 3-5 videos daily based on trend data.
  • Competitor Ad Cloner: Analyzes winning competitor ads and generates unique variations for your brand to test.
  • Multi-Language Support: Instantly translates ads into 29+ languages using AI voice actors, opening up global markets like LatAm without local hires.

Limitations:
Koro excels at rapid UGC-style ad generation at scale, but for cinematic brand films with complex VFX, a traditional studio or a tool like Runway is still the better choice.

Verdict:
If your bottleneck is creative volume and you need to test 20+ ads a week to find winners, Koro is the most specialized tool for that workflow.

See how Koro automates this workflow → Try it free

  1. Runway: Best for Cinematic Brand Video

Runway is the heavyweight champion of "text-to-video" generation. It is less about performance marketing and more about high-end visual creativity. It uses advanced diffusion models to create video from nothing but a text prompt.

Why it works for Branding:
If you need a video of a "cyberpunk city made of neon lights" for a brand awareness campaign, Runway can generate that in seconds. It allows for frame-by-frame editing and "inpainting" (removing objects from video).

Limitations:
It is not connected to your product data. You cannot paste a URL and get a product ad. It requires significant manual prompting and editing skills to get a usable ad asset.

Verdict:
Best for creative directors and agencies building high-concept brand films, not for D2C brands needing daily ad variations.

  1. Pencil: Best for Enterprise Static Ads

Pencil (now part of the Brandtech Group) is a robust solution for larger enterprises. It connects to your ad account data to predict which creatives will perform before you even launch them.

Why it works for Enterprise:
Its prediction engine scores your creative assets based on historical data. This "pre-flight check" can save large brands thousands in wasted ad spend.

Limitations:
Pricing is steep (starting at $119/mo but quickly rising), and the learning curve is significant. It is overkill for smaller brands just starting to scale.

Verdict:
Ideal for established marketing teams with dedicated budgets who need data-backed validation for their static and simple video assets.

  1. AdCreative.ai: Best for Quick Static Banners

AdCreative.ai focuses strictly on static images. It uses a data-driven approach to place text, logos, and buttons in the optimal positions to drive clicks.

Why it works for Retargeting:
Static ads often outperform video for bottom-of-funnel retargeting. AdCreative.ai can generate hundreds of banner sizes (Square, Landscape, Story) in one click, ensuring you have every placement covered.

Limitations:
It does not produce video content. In 2025, relying solely on static images is a dangerous strategy for top-of-funnel growth.

Verdict:
A great add-on tool for handling the "boring" work of resizing display ads, but insufficient as a standalone creative solution.

  1. Smartly.io: Best for Large-Scale DCO

Smartly is an automation platform designed for the world's largest advertisers (Uber, eBay). It automates the entire campaign lifecycle, from creative production to bidding.

Why it works for Giants:
It excels at Dynamic Creative Optimization (DCO) for catalogs with millions of SKUs. If you need to run unique ads for 50,000 different products, Smartly is the industry standard.

Limitations:
It is prohibitively expensive for most businesses and usually requires a long-term contract. It is not a "self-serve" tool for the average marketer.

Verdict:
The go-to choice for Fortune 500 companies with massive product catalogs.

Implementation Playbook: The 30-Day Launch

Don't try to automate everything overnight. Here is a realistic 30-day plan to integrate AI ad generation into your workflow.

PhaseTaskTraditional WayThe AI WayTime Saved
Week 1Audit & SetupManually review 50 competitorsUse Competitor Ad Cloner to scan library15 Hours
Week 2Asset CreationShoot product video (hire studio)Use URL-to-Video with Avatars2 Weeks
Week 3TestingLaunch 2 ads, wait 7 daysLaunch 20 variations, kill losers in 48hN/A (Velocity)
Week 4ScalingEdit winning video manuallyAI auto-generates lookalikes of winner10 Hours

The Goal: By day 30, you should have a "Creative Flywheel" where data from Week 3 informs the generation for Week 4.

Real-World Case Study: How NovaGear Saved $2k in Logistics

NovaGear, a consumer tech brand, faced a classic e-commerce bottleneck: they wanted to launch video ads for 50 different SKUs but couldn't afford the logistics. Shipping 50 products to creators would cost thousands and take weeks.

The Problem:
They needed product demos for niche electronics accessories but had zero video assets. The marketing team was stuck using static images, which were driving high CPAs.

The Solution:
They used Koro's "URL-to-Video" feature. Instead of shipping physical goods, they fed the product URLs into the AI. The system scraped the high-res images and specs from the product pages and used realistic AI Avatars to demo the features virtually.

The Results:

  • Zero shipping costs: They saved approximately $2,000 in logistics fees.
  • Speed: They launched 50 unique product videos in just 48 hours.
  • Performance: These video ads outperformed their static controls by 30% in ROAS testing.

This proves that you don't need a physical studio to produce high-converting product videos in 2025.

Why Is Platform Diversification Non-Negotiable?

Platform diversification means spreading your ad spend and content strategy across multiple social platforms rather than relying on a single channel. For e-commerce brands, this reduces the risk of revenue collapse if one platform faces regulatory issues, algorithm changes, or account restrictions.

According to recent market data, brands present on 3+ channels see a 250% higher purchase rate than those on single channels [4]. However, the barrier has always been creative bandwidth—TikTok requires a different "vibe" than Facebook.

How AI Solves This:
Tools like Koro automatically reformat and "remix" content for different platforms. A single product URL can generate:

  • A 9:16 UGC video for TikTok (fast-paced, trendy music).
  • A 1:1 carousel for Instagram (aesthetic, clean).
  • A 16:9 bumper for YouTube (direct, benefit-focused).

This allows a small team to look like a massive agency.

How Do You Measure AI Video Success?

Vanity metrics like "views" are irrelevant for performance marketing. When evaluating AI-generated ads, focus on these three KPIs.

1. Hook Rate (3-Second View Rate)
This measures if your AI-generated opening stopped the scroll. Industry standard is around 25-30%. If your AI ads are under 20%, change the avatar or the opening line.

2. Creative Refresh Rate
How often are you introducing new ads? Healthy accounts should test 3-5 new concepts weekly. AI tools should make this metric easy to hit.

3. Cost Per Acquisition (CPA)
Ultimately, does the ad sell? In my experience, AI ads often start with a slightly lower CTR than premium human ads, but because they cost 95% less to produce, the overall CPA is often lower.

Recommendation:
Don't judge an AI tool by one video. Judge it by its ability to produce 50 videos so you can find the 5 that print money.

Conclusion

The era of manual ad creation is ending for performance marketers. It's not that human creativity is dead—it's that human bandwidth cannot keep up with the algorithmic demand for fresh content.

By 2025, the winning brands won't be the ones with the prettiest ads; they will be the ones with the most robust testing pipelines. Whether you choose a cinematic tool like Runway or a high-volume UGC engine like Koro, the key is to start automating your baseline creative today.

Stop wasting 20 hours on manual edits. Let Koro automate it today.

Key Takeaways

  • Volume Wins: Algorithms reward fresh content. AI allows you to test 10x more variations than manual teams.
  • Specialization Matters: Use Runway for brand films, but use Koro for high-volume performance UGC.
  • Input = Output: The best AI tools (like Koro) scrape your URL to build ads, removing the need for manual scripting.
  • Diversify or Die: Use AI to instantly reformat winning ads for TikTok, Reels, and Shorts to protect your revenue.
  • Metrics over Aesthetics: Don't obsess over pixel-perfect edits. Obsess over Hook Rate and CPA.

Frequently Asked Questions

Is AI ad generation worth it for small businesses?

Yes, absolutely. For small teams, AI is a force multiplier. It allows a single marketer to output the volume of a 5-person creative agency. By reducing production costs from $150+ per video to under $5, small businesses can finally afford to test enough creatives to find profitable winners.

Will AI ads get my account banned on Facebook?

No, AI-generated content is fully compliant with Meta's policies as long as it doesn't violate community standards (e.g., misleading claims). In fact, platforms like Meta are actively encouraging the use of AI tools to diversify creative assets. Always review the final output for accuracy before publishing.

Can Koro replace my entire marketing agency?

For creative production, largely yes. Koro can replace the expensive retainer fees for static ad design and basic video editing. However, for high-level brand strategy and complex campaign management, a human strategist is still valuable. Think of AI as replacing the "hands" not the "head."

What is the best aspect ratio for YouTube Shorts?

The optimal aspect ratio for YouTube Shorts is 9:16 (1080x1920 pixels), which fills the entire vertical mobile screen for maximum engagement. All AI tools listed in this guide automatically output in this vertical format by default, ensuring your content displays correctly without black bars.

How do I maintain brand consistency with AI?

Look for tools with "Brand Kit" or "Brand DNA" features. Tools like Koro allow you to upload your hex codes, fonts, and tone-of-voice guidelines. The AI then applies these rules to every generated asset, ensuring that even automated ads look and sound like your unique brand.

Is Koro cheaper than hiring a UGC creator?

Significantly cheaper. A single UGC video from a creator typically costs $150-$300 and takes weeks to deliver. Koro plans start at $39/month for unlimited generation, meaning you can create hundreds of UGC-style videos for a fraction of the cost of one human-made video.

Citations

  1. [1] Thebusinessresearchcompany - https://www.thebusinessresearchcompany.com/market-insights/generative-artificial-intelligence-ai-in-advertising-market-insights-2025
  2. [2] Researchandmarkets - https://www.researchandmarkets.com/reports/6075519/generative-artificial-intelligence-ai-in
  3. [3] Ppc.Land - https://ppc.land/statista-ceo-reveals-how-2025-forced-a-complete-business-model-redesign/
  4. [4] Amraandelma - https://www.amraandelma.com/ai-marketing-tool-adoption-statistics/

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