Ionic liquids have been identified as a new class of solvent that offers opportunities to move away from the traditional solvents. The physical‐chemical properties of ionic liquids can be tuned and controlled by tailoring their structures. The typical properties of ionic liquids, such as non‐volatility, electrochemical stability and high conductivity, render them attractive as electrolytes for dye‐sensitized solar cells. However, the high viscosity of ionic liquids leads to mass transport limitations on the photocurrents in the solar cells at full sunlight intensity, but the contribution of a Grotthous‐type exchange mechanism in these viscous electrolytes helps to alleviate these diffusion problems. This article discusses recent developments in the field of high‐performance dye‐sensitized solar cells with ionic liquid‐based electrolytes and their characterization by electrochemical impedance analysis.