The latest on ChatGPT advertising
Updates continue to come through, but only in small doses and not directly from OpenAI. Last month the main news was the partnership with Criteo, enabling ads to be bought through its platform. More recently, it has been reported that OpenAI is in talks with The Trade Desk, which would provide another way to access ChatGPT inventory via an established ad platform.
This could support The Trade Desk’s growth ambitions and help OpenAI demonstrate a clearer path to profitability. Selling ads through platforms such as The Trade Desk and Criteo could help to prove this. While OpenAI is also reportedly building its own ads manager, these early partnerships may be a way to get the ads business off the ground before moving more in house.
Meanwhile, the ChatGPT ads pilot has expanded to Canada, Australia and New Zealand, and reportedly reached $100 million in annualised revenue in under two months in the US. This includes over 600 advertisers, nearly 80% of which are small and medium sized businesses.
With $200,000 minimum commitments and CSV based reporting, this is limited for the level of investment. Click-through rates have reportedly been below Google Search and in some cases under 1%, suggesting the need for richer measurement to better understand user quality, intent and potential impact on conversions.
Why this matters
ChatGPT is starting to take shape as a new advertising environment, but it is still very early days. The fact that updates are coming through slowly suggests OpenAI is testing demand, partnerships and what the model could look like before fully committing. For advertisers, this points to a potential high intent channel, but one that is still limited when it comes to measurement, transparency and how you actually buy media. It is definitely a space to keep an eye on, rather than rushing in, especially while OpenAI works out how to balance ads, trust, privacy and monetisation.