Ads in ChatGPT: What it means for your business

Introduction: The end of the ad-free AI bubble

For a long time, ChatGPT has been a sanctuary for users seeking answers without the cluttered ad placements of traditional search engines. However, with the launch of ChatGPT Go and the latest announcement from OpenAI, that era is ending. Advertising is becoming an integrated part of the experience for millions of users on the Free and Go tiers.

For many marketing managers, this raises a pressing question: Is this just another channel to spread our budget across, or are we witnessing a fundamental shift in how we capture attention? From a business perspective, this isn’t just a new placement—it is the beginning of “Conversational Advertising” at scale.

What is the news really about?

OpenAI has announced they are beginning to test ads in the US, with a global rollout to follow. These tests specifically target the free version and their new low-cost subscription, ChatGPT Go.

The core principles of OpenAI’s approach are:

Placement: Ads will typically appear at the bottom of a response when relevant to the ongoing conversation.

Interactivity: Unlike static Google ads, users can ask follow-up questions directly to the ad to qualify a purchase.

Integrity: OpenAI promises that the AI’s core response remains objective and unaffected by advertisers—a separation of “church and state” similar to the distinction between SEO and SEM.ns directly to the ad to qualify a purchase.

A common misconception is that this is simply “Google Ads in a chatbot.” It isn’t. While Google provides a list of options, ChatGPT provides a single answer. Being the selected ad in that context is exponentially more valuable—but also significantly harder to execute correctly.

The strategic perspective: Your considerations

You should not view ChatGPT ads as an isolated tactical move, but as a component of your overall Generative Engine Optimization (GEO) strategy.

Prioritizing first-party data

As conversations move into closed ecosystems, access to external data becomes limited. OpenAI emphasizes they do not sell user data to advertisers. This means your ability to target depends on the context the user creates in the moment. It requires a deeper understanding of the customer journey than simply bidding on a “broad keyword.”

ROI and trade-offs

We expect CPC (Cost Per Click) or, more accurately, CPA (Cost Per Action) to be high initially due to the novelty and limited inventory. As an advertiser, you must consider: Do we want to be “first movers” to master the format, or do we wait until attribution models are more mature?

The consequence of ignoring this development is clear: If your competitors manage to become the recommended solution within a decision-making process in ChatGPT, ranking number one on Google will only take you so far.

Practical recommendations: How to prepare

Even while we await the full global rollout, the groundwork should begin now:

Make your content “AI-ready”: ChatGPT’s ability to show relevant ads depends on how well the AI understands your products. Ensure structured data and sharp, problem-solving content on your own platforms.

Think in dialogue, not monologue: When your ads become interactive, your messaging must be able to sustain a follow-up conversation. What does the customer ask after the first click? Prepare those answers now.

Monitor your brand authority: Since OpenAI prioritizes helpfulness, brands with high authority and positive reviews are likely to receive priority in the algorithm.

Test ChatGPT Go yourself: Understand the user experience in the new price tier. How does the flow feel? Where do ads feel intrusive, and where do they feel like a genuine help?

Summary

The introduction of ads in ChatGPT marks the end of the “innocence” of AI models and the beginning of a new era for digital advertising. It is a unique opportunity to meet the customer exactly where their needs are articulated most precisely: in a direct conversation.

At Iternum Digital, we follow these developments closely, continuously analyzing how these new formats can be integrated into a performance-driven marketing mix.