OpenAI is entering the advertising game, and the implications for digital marketers could be significant. After months of speculation, the company announced it will begin testing ads inside ChatGPT in the not too distant future.
Why would advertisers choose ChatGPT?
ChatGPT ads represent a fundamentally different advertising opportunity. Instead of appearing alongside search results or in social feeds, these ads will appear at the bottom of ChatGPT responses.
Users interact with ChatGPT when they’re researching, making comparisons, seeking recommendations, or working through complex tasks. So are ads that appear during these moments going to be effective?
If ChatGPT gets it right, advertisers have the potential to reach prospects with high intent, who are already in consideration mode and actively processing information. But do people go to ChatGPT to be sold to / advertised at? Or do they simply use it for research and to do time consuming tasks?
Which users will see the ads?
OpenAI is taking a measured approach to its ad rollout. Initially, ads will only appear for logged-in adult users (over 18s) on ChatGPT’s free tier and the newer ChatGPT Go subscription plan, which costs just $8 per month.
Users who won’t see ads include anyone under 18 and those subscribed to ChatGPT Pro, Business, or Enterprise plans. Additionally, OpenAI has committed to keeping ads away from sensitive topics including politics, health, and mental health – a safeguard designed to maintain trust and avoid inappropriate ad placements.
All ads will be clearly labelled, and users will retain significant control over their experience. They’ll be able to see why an ad was shown, dismiss it, disable personalisation, or clear ad-related data entirely. This user-first approach reflects OpenAI’s awareness that introducing advertising could undermine the trust it has built with its user base. However, while this is great for users of ChatGPT, what will it mean for advertisers?
How much is it likely to cost?
According to recent reports, OpenAI is pricing ChatGPT ads at approximately $60 per 1,000 impressions (CPM). That’s roughly three times higher than typical Meta ads, positioning ChatGPT as a premium advertising environment from day one.
The higher cost is being justified by the quality of attention and context ChatGPT provides, but there’s a catch: advertisers will receive only high-level reporting. Advertisers will only be able to see total impressions and clicks, but no insight into downstream actions like purchases, sign-ups, or other conversions that marketers typically rely on to measure ROI.
This limited measurement is by design. OpenAI has publicly committed to never selling user conversation data to advertisers and maintaining strict conversation privacy. While this stance builds trust with users, it creates a measurement gap that will be unfamiliar and potentially frustrating for marketers accustomed to the granular attribution available on platforms like Google Ads or Meta.
OpenAI has indicated it may expand measurement capabilities in the future, but for now, early adopters will be operating with less data than they’re used to.
What does this mean for advertisers?
The introduction of ChatGPT ads creates both opportunities and challenges for digital marketers. For brands focused purely on direct response and measurable ROI, ChatGPT ads may not be immediately compelling. The lack of conversion tracking and high CPMs will make it difficult to justify spend based on traditional performance metrics, especially at the high price point.
However, for brands that:
- Value premium brand placement and visibility
- Want to reach users during active research and consideration
- Can afford to experiment in emerging channels
- Can explore testing brand awareness in a low-clutter environment
- Have extensive budgets
ChatGPT ads could be worth a punt.
What’s next?
ChatGPT ad testing could be going live any day now, but testing will start in the United States only. As the rollout progresses, OpenAI plans to refine the ad experience based on user feedback.
For marketers, this is a watch-and-wait moment. The platform represents a genuinely new ad environment with unique characteristics, but the premium pricing and limited measurement mean it’s not for everyone – at least not yet.
Brands with larger budgets, a willingness to experiment, and marketing goals that extend beyond immediate conversions may find ChatGPT ads to be a valuable early test. For others, it may make sense to monitor how the platform evolves, what measurement improvements emerge, and how early adopters fare before committing advertising spend.