Marketing

ChatGPT Ads in Europe - How does advertising on ChatGPT work?

ChatGPT Ads - advertising in ChatGPT

ChatGPT Ads now available in Europe

ChatGPT Ads are now available in Europe, including the United Kingdom. ChatGPT Ads are the next stage in the platform’s development, giving businesses the opportunity to reach users directly while they are using ChatGPT. The solution was initially made available to advertisers in the United States and is now available in Europe, including the United Kingdom. Campaigns can be created and managed using ChatGPT Ads Manager, which also allows advertisers to analyse campaign performance.

However, the way these ads work differs from traditional campaigns in search engines or social media. In ChatGPT, it is not just the specific query that matters, but above all the context of the conversation and the need the user is trying to address. This means an ad can be related to the topic of the conversation and appear at a point when the user is genuinely considering a particular product, service or solution.

How does ChatGPT Ads work and how does it differ from traditional advertising?

ChatGPT Ads primarily uses the context of the conversation and the user’s intent. An ad is not selected solely based on a specific keyword. The system analyses the topic of the conversation and determines whether the promoted product or service may address the user’s current need. However, purchasing an ad does not mean having exclusive access to a particular topic or query. ChatGPT will not direct users exclusively to a specific advertiser or encourage them to purchase its product or service. An ad may be displayed if the system determines that it could be useful in a particular context, while the ChatGPT response remains independent of the ad.

For example, a user might write: "I’m looking for a laptop for work. I need good battery life, a lightweight design and a budget of up to PLN 4,000." ChatGPT will still answer the question and may present various available options. If an ad for a specific product is relevant in this context, it may appear below the generated response, in a separate advertising space. It does not appear directly within the response as a sponsored recommendation, nor is it presented as the only or best choice. The ad provides additional information and is clearly separated from the recommendation generated by ChatGPT.

How much does advertising on ChatGPT cost?

Campaigns are created and managed in ChatGPT Ads Manager. Advertisers can set a budget, campaign duration, countries where the ad will be displayed, and the contexts in which their offer is most relevant. The cost of advertising depends on the chosen billing method and campaign objective. Advertisers can set a daily or total budget and pause or change campaign settings at any time. They can then analyse performance by reviewing metrics such as impressions, clicks and conversions.

However, not every company or advertisement can appear on ChatGPT. OpenAI defines categories that cannot be advertised, including weapons, gambling, drugs, sexual content, politics and scams. Restrictions also apply to ads appearing in conversations about particularly sensitive topics. Some regulated industries, such as financial, medical and legal services, are subject to additional requirements and may require verification.

A campaign also has no predefined duration. Advertisers decide when to start and end a campaign and can pause it at any time. However, minimum budgets apply when launching a campaign. The current minimum daily budget is USD 25 or GBP 15, depending on the currency and market. For campaigns charged on a cost per click basis, OpenAI recommends an initial maximum bid of USD 3 to 5 per click. By comparison, Google Ads does not specify a single minimum daily budget, allowing advertisers to set their own budget.

What does ChatGPT Ads change for advertising and sales?

ChatGPT Ads gives businesses the opportunity to reach potential customers when they are actively looking for information, comparing solutions or considering a purchase. Unlike traditional advertising, communication does not have to rely solely on specific keywords. An ad can be matched to the context of the conversation and the user’s needs, allowing a company to appear at an earlier stage of the purchasing process.

From a sales perspective, this could make it easier to reach people who have not yet decided exactly what they need. For example, a user may describe a problem and ask for available solutions rather than searching for a specific brand or product. If a company’s offering addresses that need, its ad may appear at the right moment.

This does not mean that ChatGPT Ads will automatically increase sales for every business. It is a new advertising channel, and its effectiveness will depend on the industry, type of offering, target audience and campaign strategy. What changes, however, is the way businesses can reach customers: an ad may be present not only when a user knows what they are looking for, but also when they are still trying to find the right solution.

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